I was recently conversing with a client who was unable to purchase a complete set of books on Amazon.com. He was extremely frustrated that the website would only suggest one book at a time, when he knew that they should be sold as a set. He eventually abandoned his session on Amazon and purchased the set elsewhere online. The injection of a live chat system may have saved the sale in this example; it may also have prevented my client from sharing this negative experience with me.

Kuno Creative published an entire article dedicated to when angry online shoppers turn to social media to vent their brand-frustrations.
To e-tailers selling is becoming less about driving lots of traffic to your website or online store and more about helping prospects buy. Many websites suffer from the “high-traffic, low-conversion conundrum” according to Fast Pivot , who gives the example of woman running a Yahoo! Store. She had only had two sales after ten thousand website visits.

Low conversion in online commerce is compounded by market saturation in a sector. Consider just how many e-commerce sites are selling shoes to women. The road to profitability for online or e-commerce businesses continues to become longer and longer. This article makes a case for implementing live chat systems as a pathway to an increased amount of onsite conversions.

A Brief Introduction to Live Chat

Live chat support is a powerful tool to initiate online communication between a brand and a consumer in real time or similarly during business to business communications online. Once the chat session has begun, a visitor can interact with a customer service representative or salesperson via text messages on the screen. The purpose is to have the brand or business address any questions or concerns of the consumer.

According to a recent survey by eDigital Research, consumers were more satisfied with live chat as a means for customer service than any other channel, including email, phone or social media. The response of these consumers suggests that they are familiar with live chat systems and that many online businesses use live chat support to connect with their customers and respond to their queries. The study suggests that consumer expectations are changing. They are no longer satisfied with intricate automated answering systems and delays when they pick up the phone. Furhermore, they expect answers to email queries quickly with less than a quarter willing to wait 24 hours for a reply from a brand. Social media is seen as an avenue for complaining more than a source for solving their problems
Live chat support systems do an excellent job of allowing you to respond to customer queries in real-time while addressing potential customer concerns before they are spread all over the internet. The Amazon example is tame when compared to the unforgiving customer criticism that we’re all familiar with.

Key Benefits of Live Chat for Businesses

While averting poor customer experiences and subsequently some bad press is important for your brand’s reputation, there are many additional benefits to live chatsystems for businesses. A survey conducted by Forrester Research reveals

“Around 44% of online consumers say that having questions answered by a live person while in the middle of an online purchase is one of the most important features a Web site can offer.”

LIVE CHAT SAVES MONEY – Companies that use live chat have seen an overall reduction in the cost of serving customers. Such solutions are quick to implement and a lot cheaper than other customer service alternatives like phone or email support. The interaction time is reduced as well.   “Consumers are quite familiar with live chat software … those that use the Web-based functionality… are more likely to buy and less likely to abandon their sessions.”

According to the International Customer Management Institute, live chat systems save the customer time and the company money. The cost savings come from many angles.

First, the amount of customer enquiries directed at a call center are reduced with live chat systems. If these systems are managed correctly they could effectively replace an entire call center which equates to huge cost savings. With more money in your company’s pockets you’ll have a larger budget to invest in really understanding your customers.

LIVE CHAT LETS YOU LISTEN TO CUSTOMERS – In order to sell more of your products or services, it’s crucial to listen to your customers. A live chat support system makes understanding customers’ concerns and needs easier because you’ll have a written log of what is causing customer headaches that can be mined for data. The more you know about your customers, the better you’ll be able to offer them solutions.

LIVE CHAT INCREASES CONVERSIONS – By this stage you’ve saved money and you increased your understanding of what your customers want. It’s time to start converting these customers.

According to an article on Sitepoint, the top ten reasons buyers abandon their online shopping sessions are often related to confusion and complications at checkout. Confused customers may have a question that they want answered in real time. Live chat support fulfills this need of addressing questions or concerns during the sales process, thereby increasing conversions or sales.

A recent Website Magazine article discussed this benefit, saying “Consumers are quite familiar with live chat software (just under two-thirds of U.S. shoppers have used live chat — a 15 percent rise from 2009). What’s more, those that use the Web-based functionality — be it on a retail or service site — are more likely to buy and less likely to abandon their sessions. It’s also a whole heckuva lot cheaper than running a call center.” Case and point for saving money and increasing conversions.

Some Things to Keep in Mind

Live chat systems aren’t perfect but they’re effective. With all the stats listed above, a case for live chat can clearly be made, however nothing can replace a true one-to-one human experience. One of the downsides to any text message experience, whether in live chat or using a mobile device, is the possibility of miscommunication. Without tone of voice or body language, live chat may have difficulty addressing a person’s concern if the text communication isn’t completely clear.

With the recent increase in live chat praise, it isn’t surprising that companies are already improving the ways that these systems operate to help fill the communication gap.

According to a recent press release by iPerceptions, “Live assistance systems can be significantly enhanced by recognizing the intent of individual visitors and initiating chat sessions with distressed buyers or other identified user groups. This greatly increases the effectiveness and return on investment made in live assistance systems.”

This company has recently created an engine to detect onsite user intent. In the case of live chat, this engine can be used to identify the right moment to inject live chat support. Live chat systems will never replace a live customer experience but they can be enhanced to become more effective, more intelligent and more efficient.

So, when is your business adopting a live support system? Please feel free to leave a comment below.

About the Author

Jenix is a journalist who specializes in discovering and documenting digital media. She makes a living as a copy writer specializing in web content and recently began writing for her personal blog: Jenix Writes. Jenix is also a proud new mother and when she isn’t writing she’s sharing in the daily discovery of her beautiful daughter. Reach out @JenixHastings

Let me tap you on the shoulder and tell you that another year has passed. I tell you this because it is I have a way for you to get the growth in ecommerce sales your planning for this year.
What strategies are you using to grow in the new year?

  • Launching new products?
  • Doing more upselling and cross-selling?
  • Increasing organic search?
  • Increasing ad spend?
  • All of the above?

May we suggest hedging your bets by adding Conversion Optimization to your strategy. This is a reliable way to add 5%, 10% or more to your bottom-line ecommerce revenue growth. But it takes a little time.
Call Conversion Sciences for a consultation  at (888) 961-6604 and ask about our 180-day Conversion Catalyst program. It’s a complete turnkey solution. We do all the planning, development, and creative for you.
It could be the most effortless way to hit your year-over-year goals.
Call us at (888) 961-6604 or fill out a simple form to schedule a call.
It’s not to late to make sure you’ll hit your growth goals in the coming year.

PS: If you’d like to understand how much ecommerce revenue small changes in conversion rate will deliver this year, try out our Converion Optimization Upside Calculator.

We test just about everything we can here at Conversion Sciences. We are always surprised by what new technologies teach us about people, even if the technologies aren’t widely available.
oPhoneWe’ve been fortunate to participate in a trial of the new oPhone, a device manufactured by Vapor Communications. The oPhone transmits scent across the Web, right to the desks of shoppers and to their olfactory receptors. Vapor has put the device into a large group of beta testers who keep it attached to their computers while they go about their daily tasks.
We designed a test to understand which scents drove more sales of which products on a client site that sold a variety of products. Would a leather scent sell more shoes? Would a male cologne make women buy more?
We designed a system that would send one of ten different scents to any individual oPhone beta users that visited a client website. They were never told when they were visiting an oPhone enabled site.
The scents we tested were leather, lavender, bubble gum, Old Spice cologne, new car, pine, Febreze®, Chanel No. 5, mint, and no-scent. Each  of these scents required that we have a separate oPhone attached wirelessly to a one of ten computers. These were then routed through our testing software for delivery to the oPhones attached to the beta testers’ computers.

Why odor is different from our other senses

Odor is of particular interest to us because of the way the brain processes odors. It is the only one of the five senses that bypasses the thalamus, the traffic-cop of the brain. Smells, it seems, have free and direct access to the limbic system – the “lizard brain” – and the neo-cortex, where memories and experiences are stored. This, it is believed, is why smells are able to transport us to places we’ve been before, affecting our moods, emotions, and appetite.

Smell  requires fewer “clicks” to reach it’s destination.
Smell  requires fewer “clicks” to reach it’s destination.
The oPhones device both “records” scents and “plays them back.” It will accept a scent in the form of a gas, spray or aerosol. The devices analyze the odor and transmit a signature to the host computer who then controls when that signature is sent (scent?) to the visitor’s computer via IP triangulation. If the visitor’s computer is connected to an oPhone, the odor is reproduced for them.
As our tests reached statistical significance, the “Old Spice cologne” odor was winning for all products in all categories, far above the other eight scents and the control (no scent).
“Why was mint so successful in driving sales?” we wondered. So we played the scent back on our oPhone.
It wasn’t Old Spice.
The subtle, yet nostril-inflaming aroma was quickly identified as belonging to the methane family of gases. Methane is rare in urban society, outside of the water closet.

One of our scents goes awry

It seems that keeping track of ten oPhones and ten computers and ten test treatments proved too much for the person setting up these tests. An investigation revealed that one of the team members dropped an oPhone into their lab coat pocket in a rush to get off to the bathroom.
During their extended visit to the loo, our test assistant was back in the lab capturing scent samples from each of the oPhones. She didn’t notice that one was missing. As far as we can tell, she captured a smell signature from the oPhone sitting in the pocket of his bowl-clearing colleague. It was supposed to be the “Old Spice” odor.
Of course, we were relieved to have discovered the error. We would have had trouble convincing people that this guy had the odoriferous secret to sales of almost any product.
We were also able to recommend some dietary changes to our colleague. Something just wasn’t right there.
Nonetheless, we were left with a puzzle. Why did a scent that no one would consider odorable win so handily in our tests.

Relief is a powerful motivator

We believe that the issue at work here is “relief.” Whatever our oPhone-stealing colleague had eaten the night before, the central compound in the odor was methane. This is true for all of us. After years of daily visits to our porcelain sculpture gardens, our brains learned to associate methane with a feeling of relief; a lighter feeling; a feeling that our vertical leap is maybe a few centimeters higher. All of these feelings were accompanied by one distinct smell: methane.
Methane means “things are good” to our limbic brains.
We speculate that people are tense when they shop. Perhaps the olfactory signal that relief has arrived made them feel more comfortable buying online. It could be true.
Another hypothesis is that the odor made them feel that they needed to empty their carts quickly, before they “had an accident.”
None of these conjectures can be verified without more testing.
What scent do you think we should test next? Let us know in the comments before April Fools day is over.

Do Facebook posts, Tweets, and YouTube videos convert anything into sales? Are we wasting our time? Is there really any point in social commerce at all?

To better understand how social media is impacting the eCommerce industry, Shopify analyzed data from 37 million social media visits that led to 529,000 orders. In the process, they uncovered loads of interesting statistics that you need to see.  Some surprising facts include:

        

  • 85% of all orders from social media belong to Facebook.
  •     

  • Vimeo and YouTube beat out Pinterest, Instagram, AND Twitter in conversions. Video content consistently converts at 1.16%.
  •     

  • Social orders drop by 10-15% on the weekend.

Social CommerceCourtesy of Conversion Sciences Web Optimizers

Women’s Bay, Alaska – 98% of Shoppers abandon their full shopping carts.
In an event termed, “Reality imitating the Internet,” a trove of shoppers left shopping carts full of merchandise at the checkout counters of this small Alaskan discount retailer.
“Everything seemed fine, “ said store owner Edsel “Mac” Jones. “They were shopping, comparing prices, asking questions… then they just dropped off their carts and left.”
Jones estimates that some 100 carts were left for his employees to restock, and that only two store visitors completed their purchases.
When asked why they didn’t complete the checkout, shopper Marnisia “Seeya” Firth said, “Oh, I don’t have any money. I just love to shop! I still want to go abandon something at Crazy Lorath’s down the street before they close. Then maybe I’ll catch a movie.”
“Easy. The line was too long,” said abandoning shopper Mustapha Monty, who estimated he spent an hour filling his cart. “I wasn’t really sure I wanted all this stuff, and then there were these two other people in line ahead of me, so I bailed. I’ve got places to be!”
Another shopper complained that they were afraid the store bagging clerk would require a tip. “I wasn’t sure what was appropriate. Tip? Don’t tip? It was easier just to leave.”
Store owner Jones lamented that he and his staff would have to restock all of the items. “I’ll probably have to close down for a few hours. How do Internet stores restock all of their empty carts?”
“Restock?” asked a shopper overhearing our interview. “Can’t you just leave it here in case I come back?”
In related news, diners in a New York bodega request to read the store’s privacy policy before ordering.

Are you collecting abandoned shopping carts at the end of your day? Let us help fix that!

Social media sites can be used in a wide variety of ways in many different industries. Though for most businesses, a site like Facebook is typically used to promote products and services rather than to sell them. With a few key tweaks, however, you can change that and actually use the social networking giant as a direct sales page for your products.

You can sell directly on Facebook? Yes! Some market analysts even think that Facebook will eventually spawn a whole new category of online e-commerce, called F-commerce.

Melding your social media advertising with your selling and creating one centralized hub might just be a great way for your small business to cut costs and increase productivity. Follow these five simple Facebook marketing steps to help you sell products.

Selling Products with Your Facebook Page

1: Building a Store Page

Creating a Facebook page (rather than a simple profile) is the first step in this process. Take advantage of the customizable tabs and other options on Facebook to fill in your company information, your mission statement, and other essential info about your business.

Use the cover photo of your page to present your brand’s logo and to create a clean, professional-looking environment that seeks to use Facebook for business and not for  personal interactions.

2: Constructing a Landing Page

You  need to create a separate landing page, where you will set up a store experience. Chose a platform that allows you to create custom pages, different categories, an SSL certificate, a responsive, adjustable format, and more. Just search around through different apps and platforms, read real user reviews, and find a store platform/app that’s affordable, feature-rich, and one that can be used to tie your store in with Facebook seamlessly.

3: Finalizing the Store

Once you have a landing page/store created and your Facebook page finalized, you have to bring the two together to create a seamless store experience on Facebook. To do this efficiently, you should use one of the e-commerce widgets on the market today.

Ecwid is a one widget to try out. It’s affordable, provides around 30 separate payment options, and you can sell shipped products, downloadable products, and more. It’s also a responsive widget, meaning that mobile users will go to the same fully functioning store that desktop users go to.

This isn’t your only option, though. Other widgets, including StoreYa, are available and allow you to create multiple product categories, list dozens of products, choose from a variety of templates, and ultimately integrate your store with your Facebook page to create a seamless e-store experience. Your Facebook fans will be able to purchase your products without ever leaving your Facebook page.

4: Marketing Your Products

Now that your store is created and running on your Facebook page, it’s time to implement some Facebook marketing to help you sell your products. Your first step  should be to check out some of the literature available on Facebook marketing tips and tricks. Look into third-party ad-management apps, various ad types, different organic methods, and other marketing staples.

To start out with a bang, however, you may want to try running a promotion right out of the gate. Spread the word around through targeted advertisements that you’re offering a free product or a hefty discount for people who like or purchase through your Facebook page.  You can use a wide range of apps to create games and other promotions, hold photo or slogan contests, and a slew of other promotions that will draw people in.

5: Performing Brand Upkeep

It’s up to you to stay entertaining and engaging as a marketer on Facebook. Make sure you post on a regular schedule, provide interesting material that your audience wants to see, solve problems for your niche, always add incentives, and give people material that they would want to share with their friends.

Paid advertising in the form of Sponsored Stories and Promoted Posts are great, but don’t forget basic methods like video reviews of your products, real user feedback, infographics explaining things, and other social-friendly and trending methods that will help keep your brand in a good light.

From creating your Facebook page and store page to promoting your products and working to engage with existing fans while attracting new ones, you have to play to the social context of the network. It’s hard not to come across strictly as an advertiser, so don’t try to be something you’re not. Promote yourself as a business – just make sure to include a personal side that likes to engage with people on Facebook, that cares for and appreciates fans and customers, and that always offer quality products and quality customer service.

 

This is a guest post by Alexander Richter
How to get a new sports car when you run an e-commerce company?
Revenue/Visit – nice Things will happen
In most cases the conversion on an e-commerce website is a sale. The measure of how many people bought is vital since you can not only evaluate the success of your advertising efforts, but the effectiveness of your webshop.
Unfortunately that’s only half the truth ­because a conversion as a boolean value does not tell you how profitable the order was or how much value it had for you. As an e-­tailer it is primarily not just about the count of the disposal, it is about the profit (or better, the gross profit!). That is what you pay the sports car from. Optimizing the proportion of revenue per visit brings great results to surface. Suddenly you as an e­-tailer can spend more money on advertising since a average visit has more value now ­ a conversion can be more expensive. On this point you can clap your heels together three times and wish something: Do you want more profit based on the number of visits you have (who wants that?) or “buy” more conversions (by increasing the number of visitors by SEA/SEO/Affiliate etc. activities) for the same price? Either way a single visit has an higher value for you!
How come Revenue Optimization and Conversion Rate Optimization is not always one Thing?
The conversion rate (CR) and the revenue/visit (RPV) are the two key performance indicators (KPIs) which are not connected fixedly. In many cases an improvement of the CR means an increase of the RPV. But there is optimization that can go wrong without knowing it and just having an eye on the conversion rate.
We are getting a little negative first
An example, starting with a negative view: An ecommerce site implements an overview of the top sellers directly on the homepage. A split­testing­tool is setup to quantify the success of this action. Yay! The conversion rate is higher now, likely the customers can find the most bought stuff easier now.
What have not been seen? ­ The actual revenue per customer is regressive. Maybe because of the easier way it was no longer necessary for the customer to have a closer look on the rest of the line of goods in the category ­listings etc. Cross selling by exploring did not take place any longer.
Nevertheless this action could have a positive effect on both metrics. It is just important to test and keep in mind that your web-shop has one primary mission: Getting as much gain per visitor as possible. That is what makes a website sexy for the e­tailer.
A positive Example
An example, but no rocket science, how you can increase the revenue/visit is the implementation of a free shippingthreshold. If your customer passes a certain purchase total the shipping is free. Here it is important to choose the threshold wisely. It is not unusual that the CR will not change or will even get worse. Visitors find the article they looked for, but the total is too less for the threshold. This could be frustrating, they got the feeling of getting it cheaper somewhere else and will leave. Here comes the big BUT: Customers with a cart value close to the threshold feel encouraged to crack the threshold by putting some more (mostly peanuts) in their carts. The average order value is rising. As a consequence the CR is maybe going down a little, but the RPV looks better now. Cool ­ one step closer to your (not necessarily imaginary) sports car!
Get real
On the following chart you can see the trend of an A/B­split test where two thresholds have been implemented: ­

  • A free­shipping­threshold for orders greater 100 EUR (136 US­Dollar) ­
  • A gift if 200 EUR are exceeded (272 US­Dollar)

Comparing the challenger (here named “before”) and the competitor (here “after”) you can see that there was two (quite flat) accumulations before. With the competitor they were shifted to the right (higher order value) and become more acute (more orders of that order value). In average there was a higher order value per visit.

Revenue per Visit Chart

In Numbers:

Visits Orders Value Av. OV CR Av. PRV Improvement
Before 151.122 5.209 711.940,00 € 136.67 € 3.45% 4.71 €
After 150.041 5.165 752.950,00 € 145.78 € 3.44% 5,02 € 6.52%

 
Dr. Flint McGlaughlin and the “magnitude of the change”
I like Dr. Flint McGlaughlin ­ especially one very true quote of him: It’s not the magnitude of the change on the page that impacts conversion. It’s the magnitude of the change in the mind.
Takeaways
● The metrics conversion rate and revenue/visit are akin, but not the same
● Don’t just optimize the usability ­ optimize the motivation of the visitor to buy (more)

Alexander Richter
 
 
 
 
 
 
About the author:
Alexander Richter works for the ReBOOM GmbH in Germany. My everyday work is just one thing: Optimizing commerce sites.
 
 

This is a guest post written by Melissa Sawyer

The internet has revolutionized many aspects of modern life, from the way we work, to the way we shop. E-commerce is an industry built entirely around the internet. Purchases in e-commerce occur solely within an online environment eliminating the elements of physical interaction that using a traditional brick and mortar store brings.

For it to be viable for customers to shop online instead of at a brick and mortar store, the online experience needs to be convenient and practical – more so than using the physical store. In many cases, this will manifest in the form of cheaper products and a wider variety of stock than a small store could offer.

However, the strength of a brick and mortar store will always be that the customer leaves with the stock then and there. The item is theirs immediately, without any further delay. Shoppers are willing to wait for their items only if the online shopping experience is easy and free of complications.

Excellent service and efficient delivery are just as important as a well designed site

Many online shoppers are simply there to browse. They place items in their basket, but ultimately pull out of the transaction at the end. This is what is known as shopping cart ‘abandonment’. Since online shoppers can easily comparison shop, it is important that the experience is of the highest standard. This extends beyond just how a site functions, and is applicable right up until the product has been successfully delivered to the customer.

Internet shoppers will always be influenced by the aesthetics of an online store. If it works well and looks good, customers will be happy to give you their money. Businesses know this and spend large amounts of money on web development. However, a flashy site but poor customer service is a sure fire way to alienate customers and ensure that they won’t return.

One of the biggest criticisms online retailers face is poor delivery of purchased items. Goods arriving late, damaged, or failing to arrive altogether are common issues with online retail. The New York Times recently ran a piece that highlights the some of the issues online retail face, particularly shipping mistakes.

Certain hiccups are bound to happen from time to time, but if those issues are resolved well, then the customer is more likely to return. If missing or damaged items are dealt with professionally, and swiftly, then a customer will be more likely to give their businesses in the future. However, if a customer is left waiting a long time for an inadequate resolution, then you can forget it.

Steps can be taken to prevent delivery mishaps

It seems painfully obvious, but a well placed ‘fragile’ sticker on a package can work wonders. People will tend to be more careful if they know the item will be easily damaged. Packing orders well is another must. If orders from your e-commerce site keep arriving broken, then your packaging may be to blame just as much as an heavy handed courier or delivery staff.

Selecting a reputable company to carry out your deliveries is essential. As always in the world of business, reputation is everything. Choose someone you know has a good track record of quick, safe deliveries. It is even better to use a company that offers recorded delivery, especially if real-time tracking of shipments is offered. This offers peace of mind to online stores who dispatched the order, and customers who eagerly await the goods that they have paid for. After all, if any complications arise, it will be your job to explain this to the customer. This is a small detail that is often overlooked and can be extremely damaging to customer relations.

Many online retailers opt to do as money.co.uk suggest and protect their items during the delivery stage through the use of ‘goods in transit’ insurance. This means if items are lost or damaged while it is being delivered, then they are covered and costs can be recuperated.

If your store operates locally, and runs its own local delivery service, then it may be an idea to fit delivery vehicles with a vehicle tracking system. This allows you to see the driving habits of delivery staff, with some systems being so advanced that they can analyze the sharpness of turns and harshness of braking. These can be valuable tools for stamping out any aggressive driving that may be responsible for damaging products in transit.

Ultimately, e-commerce is built upon trust

Online shoppers put their trust into online stores to a greater extent than in physical shops. There is a massive degree of faith involved. Online shoppers cannot inspect the items themselves, so are trusting online retailers that the products they order bare resemblance to what is presented on screen, but also that they will be delivered within the time frame stated.

People flock to online shopping due to its ease and flexibility. The majority of time, this will prove to be a smooth experience, but even small errors cost businesses money. It is important to remember, just because an order has been placed and the products have been shipped, it does not signify the end of an online retailer’s relationship with a customer.

World Market Opacity What parts of your ecommerce product page are seen in the crucial first seconds of a visit?

What’s the worst and the best thing that could happen to your e-commerce site?
The answer is that a Conversion Scientist tried to buy something from you.
It’s good because, we are very likely to write about our experience. It’s bad because we are going to point out what you’re doing wrong.
We recently tried to buy some stand-up desks for some of the team here at Conversion Sciences. Like so many shoppers, we found ourselves paralyzed by choice.
In true Conversion Scientist form, we decided to collect some data to help us with our choice. We compared desks at National Business Furniture, Rakuten and World Market. However, our decision to buy was based on how their product pages performed, not on price and features.
We invented the game Product Page Roulette.
Find out which site won our dollars (and probably the dollars of many other visitors) in my Marketing Land column An Expensive E-commerce Game: Product Page Roulette.


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Why the @WorldMarket site is winning the ecommerce game.
Tweet: Roulette is a game of chance. Your product pages shouldn’t be a game of chance. http://ctt.ec/0Kv4R+ @bmassey via @MarketingLand
Tweet: The job of the product page is to provide what the visitor needs to decide to “Add to Cart.” http://ctt.ec/bN7e1+ @bmassey
Tweet: Eye-tracking simulators estimate what an eye-tracking study would tell us without the expense. http://ctt.ec/n5EGO+ @bmassey
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