This episode emphasizes moving beyond simple conversion rate optimization to focus on profit optimization through rigorous A/B testing. It highlights the importance of considering revenue per visitor and profit per visitor, not just conversion rates, when making decisions about pricing, discounts, and website changes. Merchants will learn how to approach testing strategically to maximize overall profitability.
Key takeaways
Prioritize A/B testing product list prices and shipping thresholds as initial steps to uncover significant revenue opportunities, even small changes can have a large impact.
Shift focus from solely conversion rate to 'revenue per visitor' and 'profit per visitor' by considering Average Order Value (AOV) and product margins in your testing strategy.
Utilize testing platforms to evaluate the holistic impact of potential changes, including discounting, to understand true profitability rather than just increased conversion at a potential loss.
Embrace a testing mindset where even 'failed' experiments provide valuable data and learnings that can inform future, more successful strategies.
Recognize that different user segments might respond differently to various offers; consider segmenting your testing to uncover more tailored insights.
On this bonus episode of Honest Ecommerce, we have Adam Kitain. Adam is the CTO and Cofounder of Intelligems, helping e-commerce brands optimize conversion and profits.
We talk about adopting a testing mindset, balancing creativity and analytics in a CRO, iterating quickly after test failures, and so much more!
Frequently asked about this episode
What does this episode say about conversion & cro?
Prioritize A/B testing product list prices and shipping thresholds as initial steps to uncover significant revenue opportunities, even small changes can have a large impact.
What does this episode say about analytics & attribution?
Shift focus from solely conversion rate to 'revenue per visitor' and 'profit per visitor' by considering Average Order Value (AOV) and product margins in your testing strategy.
What does this episode say about dtc strategy?
Utilize testing platforms to evaluate the holistic impact of potential changes, including discounting, to understand true profitability rather than just increased conversion at a potential loss.
What does this episode say about conversion & cro?
Embrace a testing mindset where even 'failed' experiments provide valuable data and learnings that can inform future, more successful strategies.
What does this episode say about conversion & cro?
Recognize that different user segments might respond differently to various offers; consider segmenting your testing to uncover more tailored insights.
