SINGAPORE (May 10): If there is one thing that internet and app-oriented start-ups track closely regardless of the industry they operate in, it is the conversion rate. This metric measures how much user traffic is translated into a desired action, for instance, sales. The aim, obviously, is to have a high conversion rate in order to boost the chances of success.
Recommend Group, which operates platform apps in three Southeast Asian markets, has found a way to improve the conversion rate. The home maintenance and improvement services platform has run trials in Indonesia with Grab, a much bigger regional platform with services ranging from ride-hailing to food delivery.
What Recommend did was to temporarily integrate its offerings with the Grab app in Indonesia, enabling users to procure services, such as air-conditioner servicing, plumbing, renovation works, interior design, architecture and construction, from the service providers also on the platform.
These transactions were captured and reflected on Recommend’s back end.
The outcome was incredible. “In the space of six weeks, [our] conversions increased by 800%. So, the proof was there, [as] the [trial tie-up] showed that this was something viable,” Alex Tan, co-founder of Recommend, tells The Edge Singapore in an interview.
Find out more in this week issue of The Edge Singapore (Issue 881, week of May 13), on sale now at newsstands. Subscribers can log in and read the story or click here to subscribe.
