Unlocking Higher Business Value with Multi-Traffic Strategies
When selling your online business, having a high volume of traffic is an attractive feature that will capture the attention of interested buyers.
That said, you can have all the traffic in the world, but if it’s not the right kind of traffic, it’s not going to do much good for your business valuation.
You need meaningful traffic. Traffic that’s actually interested in what you’re offering because that’s what will convert into sales, repeat customers, and a boost to your bottom line.
So how do you increase the odds of drawing in your target customers? By diversifying your traffic sources.
Think of your website as a store in a busy shopping mall. You want foot traffic to come in, browse your products, and make a purchase. Diversifying your traffic sources is like having multiple doors to your store – each door represents a different way for people to find you. The more doors you have, the more likely it is that your target customers will find their way in and make a purchase.
Let’s take a look at some multi-traffic strategies you can use to diversify your traffic and increase your conversions.
The Importance of Diversifying Traffic Sources
With Google algorithms and social media platform policies threatening the stability and longevity of traffic, depending on a single source of traffic is a risky move.
It not only limits the number of potential customers you can connect with but also limits your control over the flow of visitors to your site. While having all your eggs in one basket may work out for a while, it’s always best to have a backup plan in case something goes wrong.
By diversifying your traffic sources, you’re spreading out your risk and giving yourself a better chance of success in the long run.
The Benefits of Diversifying Traffic Sources
Diversifying your traffic sources is like investing in a well-rounded stock portfolio for your online business – it’s a smart move with lots of perks. Here are some of the benefits of a multi-traffic strategy.
Stability and Resilience
With multiple traffic sources, you’re spreading your risk. If one source takes a nosedive, you’ve got backups to keep your website’s traffic steady.
Diversification can also stabilize your revenue by reducing the effect of seasonal fluctuations.
Essentially, diversification helps to build a protective moat around your business, giving you more tools to tap into when times get tough.
Why limit yourself to only one type of customer when a variety of consumers ripe to make a purchase are well within your reach?
By spreading your traffic sources out, you’ll be able to cast a wider net and connect with more potential customers. More eyes on your business will also increase your brand awareness.
More Data to Analyze
When conducting a scientific study, the more data points you have, the more accurate and comprehensive your results will be. The same is true when analyzing your customer behavior.
By analyzing the performance of different traffic sources, you’re collecting data on your customers’ behavior and preferences. And with more data, you can make more informed decisions.
Connecting with a more diverse group of consumers also provides greater opportunities for feedback, helping you to improve your product or service and align your business more closely with what your customers actually want.
Improved Conversion Rates
When you’ve got a diverse group of visitors, you’ve got a better chance of attracting your target customers and boosting conversions.
You’re spreading the risk and increasing your odds of getting a great return on investment. A strong conversion rate can positively impact search engine optimization and the overall reputation of the business, making it more attractive to investors and potential buyers.
Mitigation of Algorithm Changes
With a mix of traffic sources, you can effectively dilute the effect that algorithms used by search engines and social media platforms have on your business.
That’s not to say that algorithms and penalties won’t hurt you, but instead of derailing your traffic and income entirely, they’ll simply make a dent in your overall performance.
As you can see, there’s a plethora of benefits to be had from diversifying your traffic sources. Online business brokers are well aware of these benefits and will take them into account when valuing your business.
Now let’s explore the different types of traffic sources you can make use of.
The Benefits of SEO
Search engine optimization (SEO) is a powerhouse when it comes to driving traffic to your website.
Think of it like a GPS for search engines. Just as a GPS helps drivers find their way to their desired destination, SEO helps search engines find and understand your website, so it can show up in relevant search results. Good SEO practices make it easier for search engines to navigate and categorize your website, just like a clear and accurate GPS makes it easier for drivers to reach their destination.
SEO is not only a cost-effective way to increase your organic traffic, but it also helps to boost your brand’s credibility. Websites that rank high in search engine results are often seen as more trustworthy, leading to more conversions and an improved brand reputation.
Unlike paid advertising, which stops as soon as you stop paying, the benefits of good SEO practices can continue to pay dividends long after your initial investment.
How to Maximize the Effectiveness of Your SEO
SEO can be broken down into a few key areas. Here are some of the important areas to focus on when trying to optimize your SEO.
Keyword research involves researching what terms and phrases your target audience is searching for so that you can include those terms in your content.
This helps to attract your target audience to your site and also gives you a better understanding of their needs and desires.
On-page SEO refers to optimizing your website’s content, metadata, and internal links to make it easy for search engines to understand what your website is about and rank it for relevant keywords.
The easier it is for search engines to understand what your site is about, the greater your chances of search engines promoting your site to the correct audience.
Providing value to your consumers should be one of your core goals as it will keep them coming back to your site. Flooding your site with low-value, poorly written content may help to boost your rankings for a short while, but sooner or later you will be penalized by Google, so it’s not worth the risk.
Create high-quality, informative, and engaging content that is optimized for both search engines and users.
Backlinks are links from other websites to your website. These links serve as a “vote of confidence” for your website and indicate to search engines that other websites consider your content to be valuable and relevant.
In the US, around 49.78% of website visits are from mobile devices, compared to 50.22% percent from desktops.
This means that if your website isn’t optimized for mobile, you could be halving the potential traffic coming to your site!
Analytics tools help you monitor your website’s performance so you can figure out what’s working, what’s not, and make informed decisions on how to improve.
Analytics tools also help you to keep track of experiments and strategies you’ve used so that you don’t waste time repeating things you’ve already tried.
The Power of Paid Ads
Paid advertising, also known as pay-per-click (PPC) advertising, is a type of online advertising where businesses pay a fee each time one of their ads is clicked.
The cost of PPC campaigns varies depending on your industry and the search volume of your desired keyword.
The benefit of paid ads is that they can be highly targeted, allowing you to focus on specific demographics, interests, and other factors, making it easier to reach the right people with the right message.
While it can take months to generate a significant amount of organic traffic using SEO, paid ads generate much faster results, allowing you to get your brand in front of a large audience quickly. This is particularly useful if you are running a time-sensitive promotion like a holiday offer.
PPC results also appear above SEO results in most search engines, so consumers will notice your brand first before scrolling down to your competitors.
The best way to maximize the effectiveness of your paid ads, and make sure you’re not wasting ad spend, is to clearly define your target audience. Which social media platforms are they most active on? What are their interests and hobbies? What demographics do they fit into?
This will help to ensure that your ads are seen by the right people and increase the likelihood of conversions.
A better understanding of your target audience will also help you select the appropriate platform for your paid ads. Different platforms like Google Ads, Facebook Ads, and Twitter Ads offer different targeting options and pricing, and they reach different audiences.
Paid ads aren’t the only way to target social media. Let’s take a look at how to generate organic leads from different social media platforms.
The Role of Social Media in Driving Traffic
Social media platforms have millions of active users and the average person spends roughly 147 minutes on social media every day.
It doesn’t take a math wiz to work out that advertising your business on social media can get a whole lot of eyeballs on your brand!
Just keep in mind that you’re not the only business to realize the potential of social media advertising. You have to think tactically if you’re going to stand out from the crowd.
Much like with paid ads, it’s important to narrow down your target audience, or else you’ll just find yourself shouting into the void. If you’re selling novelty gadgets aimed at high school students, for example, you’re not going to get much traction advertising your business on a platform like LinkedIn.
Understand your audience, pick the appropriate platform, and create high-quality content that is not only eye-catching but provides value too. If your content provides value, whether it’s through educational content or purely entertainment value, it is more likely to be shared and liked by your audience.
But remember, engagement is a two-way street. If you want consumers to comment on your content and share it with their friends and followers, you need to build a community. Respond to comments and messages, ask for feedback, and encourage an open line of communication.
Another way to divert traffic from social media back to your website is to use influencer marketing. This is where you partner with individuals who have a large social media following to promote your products or services.
These influencers can be celebrities, bloggers, social media personalities, or other individuals who have a strong online presence and influence over a particular niche or audience. The influencer promotes the brand to their followers through sponsored posts, mentions, or product reviews, which can drive awareness and increase sales for the brand.
Influencer marketing allows you to tap into the influencer’s large and engaged audience and leverage the trust that the influencer has with their audience to boost your brand awareness.
Outcompete Your Competitor on Cost
The beauty of generating organic traffic through SEO and social media is that organic traffic is 100% free.
By bulking out your traffic acquisition strategy with these extra traffic sources, you become less reliant on paid ads. This means you can lower your customer acquisition costs (CAC) and increase your return on investment.
It also gives you the upper hand over your competitors.
While they’re burning through their budget on paid ads, your blended traffic sources give you room to maneuver.
You could keep pace with your competitors when it comes to paid ads, beating them to the finish line by adding your organic traffic into the mix. Or, you could reduce your paid advertising spend and reinvest that money into outpricing your competitors. Alternatively, you could target more competitive and expensive keywords with your paid ads, knowing that you have your organic traffic to fall back on.
Looking at the bigger picture, lowering your CAC has a direct effect on your bottom line, increasing your profits and in turn, your business valuation.
A Multi-Traffic Strategy Is a Win-Win
As you can see, a multi-traffic strategy is the key to unlocking higher business value for your online business.
By diversifying your traffic sources and incorporating SEO, social media, and paid ads, you can increase your reach, reduce your cost per acquisition, and improve your return on investment.
A multi-traffic strategy also gives you an advantage over competitors who rely solely on paid advertising. While they may see immediate results, you can establish a strong online presence and build brand recognition over time. By using a combination of organic and paid traffic, you can reach a wider audience and create a more diverse customer base.
In today’s competitive landscape, online businesses must adapt and evolve to stay ahead of the competition. A multi-traffic strategy can help you achieve your online business goals and increase your overall business value.
So, don’t miss out on the opportunity to take your online business to the next level and unlock higher business value with a multi-traffic strategy!
If you want to know how much your online business is worth, use our free valuation tool. Or, register an account on our site if you’re ready to move one step closer to a profitable exit. We have a large pool of qualified buyers who are eagerly waiting to check out everything your business has to offer!