The world of ecommerce is filled with endless opportunities but also daunting challenges. From shipping costs that eat into profits to customer expectations that seem impossible to meet, new entrepreneurs can feel like they’re up against a never-ending battle. These ecommerce challenges often hold back budding online businesses before they even get off the ground.
But what if you could overcome these hurdles with the right approach to ad creatives?
Enter Fraser Cottrell, co-founder of Fraggell and CreativeOS. With his ad creative agency responsible for scaling over 200 DTC brands, Fraser knows something about crafting high-performing ads that tackle these ecommerce roadblocks to boost customer retention or drive sales.
Ready to transform your ecommerce business with actionable insights? Let’s dive into Fraser’s proven methods and unlock your online store’s potential.
The biggest ecommerce challenges new entrepreneurs face
Starting an ecommerce business is exciting, but it has hurdles. New entrepreneurs often encounter obstacles that can slow down growth or lead to frustration. From balancing shipping costs to meeting the standards your customers expect, let’s explore the most common challenges and how to navigate them.
Managing shipping costs
High shipping costs can eat into profits and drive away potential customers who expect affordable or free delivery. This challenge can cause new entrepreneurs to lose sales to competitors who offer better shipping deals.
To tackle this, use creative ads to highlight your shipping policies as a benefit. Promote offers like "Free shipping over $50" or limited-time shipping discounts with eye-catching visuals. This turns shipping into a perk, making your store more appealing while keeping costs manageable.
Meeting customer expectations
Online shoppers expect products to match what they see on your online store. If there’s a gap between your visuals and the actual product, this can lead to customer dissatisfaction and returns.
Use creative ads to show your product accurately. Feature high-quality images, close-ups, and real-world use cases. Including user-generated content (UGC) or testimonials ensures customers know exactly what to expect, reinforcing trust and boosting customer satisfaction.
Shopping cart abandonment
High shopping cart abandonment rates can hurt your sales. Customers often abandon their carts due to unexpected fees, complicated checkouts, or second thoughts about their purchases.
Before turning to ads, ensure your checkout process is seamless and transparent: reduce steps, offer multiple payment options, and eliminate surprise fees. Then, use creative ads to showcase your improvements, like “Fast, One-Click Checkout.”
Building customer loyalty
Without a strategy to foster your shoppers’ loyalty, you risk losing repeat business to competitors offering similar products.
Use creative ads to highlight perks that reward loyal customers. Promote your loyalty program with exclusive discounts like “VIP members save 20%.” Featuring satisfied customers or testimonials in your ads can reinforce the value of sticking with your brand.
Why ad creatives are essential for overcoming ecommerce challenges
The right ad creatives attract customers and help tackle common ecommerce challenges by enhancing the overall shopping experience.
How creative ads improve customer satisfaction
Creative ads enhance customer experience by setting clear expectations and addressing pain points. When ads accurately reflect your product’s features and benefits, customers are less likely to feel misled, reducing customer dissatisfaction.
Align your messaging with your target audience’s needs. For example, Glossier uses ads highlighting real users applying their products, reinforcing the message, “What you see is what you get.”
Clear, authentic ads build trust and improve the overall shopping experience.
Boosting customer retention through creative strategies
Customer retention is crucial for long-term success, and creative ads can keep your audience engaged and loyal. Effective ads remind customers why they love your brand by highlighting exclusive perks, new products, or personalized offers.
For example, Bulletproof promotes its coffee with posts featuring fun phrases to connect with those who’ll spend their holidays with their family.
This targeted messaging keeps customers returning, making them feel valued and strengthening their connection to your brand.
Fraser Cottrell’s strategies for creative ad success
To create ads that truly perform, Fraser Cottrell emphasizes a strategic approach rooted in market research, simplicity, and authenticity. His methods focus on understanding your target market and crafting ads that connect quickly and meaningfully with online shopping audiences.
Research: the foundation of effective ads
According to Fraser Cottrell, great ads start with understanding your customers and their needs. Effective research means diving into market research, analyzing customer data, reading reviews, and identifying why people buy your product.
Knowing your target market’s pain points and desires helps you create ads that resonate and drive action. This approach ensures your ads connect with the right audience and lay the groundwork for a successful ecommerce website.
For example, when Fraser explored reviews for caffeine gummies, he discovered that runners and athletes used them to avoid energy crashes during workouts. This insight led to ads highlighting the gummies’ slow-release energy and ease of use—messaging that directly met consumer expectations and boosted ecommerce sales.
Quick wins with static ads
For new entrepreneurs, static ads offer a fast, cost-effective way to get results. Fraser Cottrell highlights their simplicity: you can create them quickly, test different angles, and refine your approach without heavy investments in production.
Static ads showcase key benefits or limited-time offers with punchy visuals and direct messaging. This streamlined method benefits commerce companies aiming to build a successful online store with minimal initial costs.
For example, Athletic Greens uses static ads featuring their signature green supplement with keywords like “Nutrition boost” and simple product visuals.
These clean, eye-catching ads quickly communicate the product’s benefits, making engaging a target market focused on health and driving ecommerce sales easier.
The power of UGC content
UGC in static ads helps build trust by showcasing real people enjoying your product. Fraser Cottrell highlights that UGC feels genuine and relatable, making it easier for potential customers to connect with your brand.
Authenticity helps reduce skepticism and boost confidence in a product, which is crucial for commerce companies that want to deliver good customer service and foster lasting relationships.
A great example is Poppi, the prebiotic soda brand. Its ads feature UGC-style images and vibrant, playful visuals. This simple yet relatable approach and actual customer enthusiasm help commerce companies stand out and create winning ecommerce sites.
Poppi’s UGC ads enhance engagement and trust—key components of excellent customer service in the modern commerce business landscape by connecting authentically with their customers and focusing on good customer service.
Advanced ad strategies to tackle ecommerce challenges
Once you’ve mastered the basics, it's time to explore advanced ad strategies to overcome bigger hurdles and scale your ecommerce business. From investing in high-production ads to using customer feedback, these tactics can refine your approach and drive lasting success.
High-production ads for scaling your ecommerce business
High-production video ads can boost your ecommerce business by showcasing your brand’s professionalism and building trust. Fraser Cottrell advises investing in these ads when you’re ready to scale, launch a major campaign, or differentiate yourself in a competitive market. High-quality visuals and polished storytelling help create a premium brand image that resonates with your target audience.
For example, Liquid Death uses high-production ads with cinematic visuals and bold humor to promote their canned water.
These ads stand out, reinforce the brand’s edgy identity, and capture attention, making them ideal for reaching broader audiences and driving growth.
Using customer feedback to refine your creatives
Incorporating buyer feedback into your ads makes your brand relatable and authentic. Fraser Cottrell emphasizes that even negative feedback can be transformed into clever, engaging content. You can turn criticism into a memorable selling point using humor and satire.
A classic example is Volkswagen’s iconic “Ugly is only skin deep” ad.
Based on feedback about the car’s unconventional appearance, the static ad showcased the Volkswagen Beetle with this witty caption. It acknowledged the critique while confidently highlighting the car’s reliability and quality, transforming skepticism into a powerful, humorous message.
Creating a diverse ad strategy for long-term growth
A successful ecommerce business requires a diverse ad strategy to meet market demand and sustain growth. Using a mix of static ads, UGC content, and high-production videos, you can engage different segments of your target audience, improve customer experience, and address various pain points. A well-rounded strategy across multiple social media platforms is essential for small businesses looking to compete with larger ecommerce companies.
Step 1: Set your goals
First, decide what you want your ads to achieve. Are you trying to increase brand awareness, drive traffic to your site, or boost sales?
Knowing your primary goal will help shape your ad strategy and determine what kind of creatives you need to produce. Leveraging social media and digital marketing tools can make this process easier and more effective for small businesses.
Step 2: Know your audience
Understanding your audience is key to making effective ads. Identify your ideal customers, including their age, interests, and shopping habits.
Think about what problems your product solves for them. The better you know your audience, the easier it will be to create ads that connect with them and improve their overall customer experience.
This insight is particularly valuable for ecommerce companies operating across multiple social media platforms.
Step 3: Pick your ad types
Choose a mix of ad formats that suit your goals and audience. Static ads are great for quick promotions or product highlights. Video ads tell your brand story and showcase your product in action.
UGC content builds trust by featuring real people who are using and loving your product. Running these ads on social media platforms allows you to reach wider audiences and respond to changing market demand.
A diverse ad mix is essential for delivering an excellent customer experience and maintaining relevance in a crowded digital marketing space.
Step 4: Craft your message
Write a clear and engaging message that speaks directly to your audience. Focus on your product's benefits and how it solves your customers' problems.
Use eye-catching visuals that match your brand identity and include a strong call to action (CTA) to encourage people to take the next step, such as visiting your website or purchasing.
Tailoring your messaging for social media ads helps ensure your content aligns with your audience's expectations and enhances their customer experience.
Step 5: Create and test
Develop different versions of your ads to see what works best. Try changing up headlines, visuals, and CTA.
Test static ads against video ads or UGC content to determine which format your audience responds to most. Social media is a perfect place to experiment because of its low cost and broad reach.
This continuous testing helps ecommerce companies stay adaptable and responsive to the market while optimizing their digital marketing efforts.
Step 6: Launch, track, and optimize
Once your ads are ready, launch them on platforms where your audience spends time, such as YouTube, Instagram, or Facebook.
Monitor key metrics like clicks, conversions, and customer feedback. Use these insights to refine your ads: keep what works, improve what doesn’t, and incorporate what your customer base says about your products.
Continuous tracking and optimizing, especially on social media, will help ensure long-term success.
The ability to adapt your strategy based on real-time data is crucial for maintaining an excellent customer experience and staying competitive in the ecommerce space.
And, scene!
Tackling ecommerce challenges can feel overwhelming, but knowing how to overcome ecommerce challenges with the right ad strategy can make a world of difference.
Strategic and creative ads help online retailers overcome hurdles, such as managing expectations about online shopping experiences, reducing cart abandonment, and building a loyal customer base.
Leveraging a mix of static ads, UGC content, and high-production videos can boost customer experience, improve retention, and scale your brand. Fraser Cottrell’s proven strategies emphasize the importance of thorough research, quick wins with static ads, and the power of authentic content.
Now it’s your turn. Take these insights, craft your ad strategy, and start conquering those ecommerce challenges. Consistency, creativity, and a deep understanding of your audience are your keys to success.
PS Here’s the webinar recording with Fraser Cottrell’s where he goes over everything creative ads!