How did the conversion rate increase?
Overview
Basalam is a social marketplace where you get to know producers, artists and artisans, farmers, sellers, etc, and buy their products directly from them. The experience of buying and socializing in Basalam is like buying from your local market.
What’s the group purchasing?
Group purchasing is a process that allows several people to come together to buy various goods at a discounted rate. The idea behind this purchase is to combine the purchasing power of all group members and use this purchasing volume to convince sellers to extend the same low rates to each group member.
Small retailers often use this approach to secure discounted pricing for merchandise, allowing them to compete successfully with larger retailers.
Advantages of group buying for products and business:
The Customer Acquisition Costs are reduced by group sharing
Increasing the number of purchases
Increase Gross Merchandising Value
Metrics to measure the success of the changes:
Conversion rate
Participation rate
Customer Acquisition
Items to Control the Metric:
Discounts amount
The number of participants in a group
Amount of waiting time to complete a group
Time limit to finalize the purchase after group completion
Problem
The business team had identified a large gap between the number of people in the group and the number of people who would finalize the purchase.
Root Cause Analysis
To identify the underlying factors, we had to focus on the factors contributing to the problems.
Interview
We interviewed to gain valuable insights directly from users, which allowed us to understand their needs, behaviors, and preferences.
Findings
Fraud
We recognized individuals who joined the group with fake, friends, or family accounts to complete the group and make only one purchase.
Brainstorming
We conducted a brainstorming session to reach the collective creativity and diverse perspectives of our team. Finally, we chose a solution that was to change the payment step in the flow.
Solution
We redesigned the flow of the Group Purchasing because it effectively addressed business needs, and aligned with the project goals.
User testing
We didn’t conduct any user testing on the new design because the final design was considered low-risk and had minimal impact on user interactions.
Impact
We redesigned the flow of the Group Purchasing because it effectively addressed business needs, and aligned with the project goals.