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Analytics & Testing:

Systematically improve performance


with Google Analytics and Website Optimizer
Agenda
• Really Smart Testing
• Benefits of conversion testing
• The analytics & testing process:
A Case Study
• Key takeaways and resources
Benefits of Conversion Testing
Inexpensive

Quick and easy to setup

Drives revenue growth

Empirical results

Eliminates guessing and arguments


Case Study: Petwellbeing.com
About PetWellBeing.com
• Established in 2003
• Online retailer of holistic pet health
products
• Weak in market penetration, sales growth,
and conversion rate… but great products
About PetWellBeing.com cont…
Testing was not a part of the corporate culture

They believed in analytics and data-driven


decision making (using Google Analytics)
The Results
Over 50 Website Optimizer tests performed

A 275% increase in monthly revenue (Nov


2007 vs. Nov 2006)

Site-wide conversion rate increased 56%

In the next 12 months monthly revenues are


expected to increase another 200-300%
The Testing Process
1. Information gathering
2. Analytics review
3. Create personas
4. Formulate performance hypothesis
5. Select testing methodology
6. Develop test pages
7. Set up test
8. Launch test
9. Analyze results
10. Run follow up test
11. Implement the winner
12. Start planning next test
The Testing Process cont…
1. Information gathering

Goal: Increase revenue by 200% in 12 months

USP: Vet-formulated herbal treatments for pets

Demo and psychographics


– American, female, from CA & NY
– distrustful of pharmaceuticals, open to natural organic treatments

• Analytics Platform: Google Analytics


• Interviewed customer service reps*
• Reviewed customer feedback surveys*
The Testing Process cont…
The Testing Process cont…
1. Analytics review

Agree upon Key Performance Indicators (KPIs)


– Unique visitors, bounce rates, conversion rates, revenue

Establish baseline data from analytics

Look for problems and opportunities


Product pages that have high bounce rates

Low click through rates from landing pages to product pages

Low browse to cart ratio


The Testing Process cont…
The Testing Process cont…
The Testing Process cont…
The Testing Process cont…
1. Create personas based on your research

Meet Marion Akhurst


Female

37 years old

Married w/ children

Lives in West Hollywood, CA

Works full time

Completed high school and some college


Marion has a 10 year old terrier named Ben…

She is worried about the side effects of RX on Ben


The Testing Process cont…
• Formulate performance hypothesis
• Why performance is poor and how do we improve it?
• Test hypothesis with quick/informal user test
• Develop shortlist of pages to test
Test pages need to get a significant amount of traffic

Test pages also need to offer a significant number of success events.


If a sale or lead isn’t generated often enough, make the success event a
step further up the conversion funnel
The Testing Process cont…
Poor headline

Copy is confusing

Calls to action below fold

Author’s name omitted


The Testing Process cont…
1. Select testing methodology

Select a testing methodology and test that will


generate momentum
– Start with an A/B test vs. a Multivariate test
– Create a test that will be able to have 100
successes/combination in a 1 month period

• Define successful outcome


The Testing Process cont…
1. Develop Test Page

Focus on big things first and subtleties later

Potential items to test


– Headlines, subheads, calls to action, images …

Create alternatives to be tested


– Both text and visual elements
The Testing Process cont…
Variations
– Headline
– Picture
– Body text*
The Testing Process cont…
1. Set up test
Add GWO code to test page
Set up test in GWO
Test implementation
The Testing Process cont…
1. Launch test
The Testing Process cont…
1. Analyze results
The Testing Process cont…
Winning Variation – a 59% improvement
New title

Original image

New body
The Testing Process cont…
1. Run follow up test
Original Challenger
The Testing Process cont…
1. Implement the winner
New headline

Original picture

New body copy

Result
60% increase in CTR from landing page to product page

31% increase in revenue from product sales


The Testing Process cont…
1. Start planning next test
i. Information gathering
ii. Analytics review
iii. Create personas
iv. Formulate performance hypothesis
v. Select testing methodology
vi. Develop test pages
vii. Set up test
viii. Launch test
ix. Analyze results
x. Run follow up test
xi. Implement the winner
Key Takeaways
Data-driven corporate cultures get results

Following a process leads to more


consistent results

Test all changes made to your website


start testing and stop guessing
Tools and Resources
Tools
– Google Analytics & Website Optimizer
– Crazy Egg
– MSN’s AdLabs

Resources
Blogs

Conferences

Agencies

Books
Thank you

John Hossack
www.vkistudios.com
604-733-1474
jhossack@vkistudios.com
Slides available at: www.vkistudios.com/ama
Q&A will be answered at: http://blog.vkistudios.com/