Introduction and Challenge
Carwiser connects individuals looking to sell their used car with real, verified buyers, making the process quick and reliable. If you’ve ever tried to sell a used car, you know what a PITA the process is, from test drives with ewirdos to fumbling through dm title transfer paperwork.
We run Google Ads, specifically paid search campaigns for Carwiser and so our OKRs are CPL and CAC. This means we need actual car sales. So we want to look at the full funnel.
One key learning in the data was that that users with accounts are far more likely to accept offers (meaning, sell cars). The current form does not require an account to get an offer. Se we know that users with accounts are 98% more likely to accept offers.
Our mission was clear, to increase account creation.
Here’s how we achieved a 38% increase using strategic analysis and psychological insights.
Understanding the Funnel
Our first step was to thoroughly document and analyze Carwiser’s user funnel. We set up detailed tracking across all major funnel sections to understand where potential users dropped off and why. Our analysis focused on understanding the user’s buying state and Carwiser’s value at each step, identifying critical points where interest waned.
Analysis of User Drop-offs
The initial section of Carwiser’s funnel involves entering car details. This section performed exceptionally well, with only a 3% drop-off rate. However, the subsequent sections, which involved offer delivery and account creation, presented challenges. We noted that the user’s perception of Carwiser’s value could fluctuate significantly during these stages. Users who found the initial offers appealing moved forward, but those who were less impressed tended to exit without creating an account.
Strategic Intervention
To address this, we leveraged psychological principles that influence consumer behavior. We hypothesized that extending the user’s engagement with the platform could encourage them to create an account. Thus, we implemented a simple yet effective message: “Our best offers take up to 24 hours to finalize. Create an account and we’ll email you the details.”
This approach played on the psychological tendencies of anticipation and commitment. By suggesting that even better offers were forthcoming, we tapped into users’ curiosity and desire for the best deal, prompting them to take the extra step of creating an account.
Remarkable Results
The change was small, but its impact was significant—account creation surged by 38%. This not only enhanced user engagement but also provided Carwiser with better opportunities to interact with potential customers, significantly increasing the likelihood of converting offers into sales.
Conclusion
Our success with Carwiser underscores the importance of understanding psychological factors in marketing strategies. By analyzing the consumer’s decision-making process and strategically intervening at the right moments, businesses can significantly improve their engagement and conversion rates.
If you’re looking to enhance your marketing funnel or want to understand how psychological analysis can benefit your business, contact us for a detailed analysis and tailored recommendations.
