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Archive for the ‘Analytics & Testing’ Category

Digital Marketing: 3 test ideas to optimize your incentive offers

June 13th, 2016

Coupon. Free download. Discount code. Gift card. Complimentary ebook.

These are just a few of the countless types of incentives marketers use to influence customers to say “yes” at the final macro-decision – whether that’s making a purchase, filling out a lead gen form or some other form of conversion.

Incentive can be just what some customers need to commit to an action you want them to take. But how can you ensure your incentive offers are having optimal effect on conversion?

Here are three tests you could use to optimize your incentive offers.

 

dollar-versus-percentage-incentiveIncentive Test #1. Percentage off vs. Dollar amount off

This first test idea is definitely a numbers game.

What do customers see more value in: a percentage discount or a defined dollar amount discount?  One case study from deep within the library of our sister site MarketingSherpa tested this question.

Evo, an online retailer of outdoor gear and fashion apparel, offered a coupon for certain product packages that had an average price of $333, and a minimum price of $250. With these numbers in mind, the team determined that $50 was the ideal discount point.

In addition to a traditional $50 off coupon, the team elected to test a 15% off coupon as well, which roughly equaled $50 off the average price of $333.

The test produced these results:

  • The $50 off coupon produced a 72% higher conversion rate
  • The $50 off coupon generated 170% more revenue than the 15% off coupon

It’s important to measure both conversion and overall revenue with this test. Even if one treatment results in more purchases, it may have lower average order amounts. If the average order amount is lower overall, the treatment with fewer orders of higher amounts could be your best choice moving forward.

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Setting the Right Tone: Two key principles to build positive customer momentum

May 19th, 2016

During last week’s Web clinic, “Does Fear-based Marketing Work?,” we looked at a recent Twitter test run by MarketingExperiments’ parent company MECLABS Institute in promotion of the latest issue of the Executive Series.

Which tweet do you think achieved a higher clickthrough rate?

 

Here’s some context in case you need help choosing …

In Tweet Version A, the message is straightforward.

  • “Customers are more willing to engage with newspapers than you might think.”

In Tweet Version B, the message taps into an implicit fear that a marketer may have — that poor design is negatively impacting performance.

  • “Poor UI design and user experience may be negatively impacting the perception of your digital subscription.”

OK. Now make your choice. You can say it out loud if it will help you.

Whatever you do, don’t look directly below this line of text.

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2015 Year in Testing: Lessons on value copy and friction

May 9th, 2016

As test database specialist at MECLABS Institute (parent company of MarketingExperiments), I maintain our library of tests, analyze the results and search for insights to inform future testing. The chart below breaks all of our 2015 tests down by category and stacks them by count.

As you can see from the big bars on the left, most of the tests we ran in 2015 focused on value copy and friction.

Now look at the outcome of all those tests in the box plot below. This chart measures level of confidence along the left-hand side, and the boxes contain 50% of the data, centered on the midpoint, represented by the black line. Straight away, you can get a good idea of the general performance for each category. Higher level of confidence is better, and we ideally want everything to be above 95%. So how did the value copy and friction tests do?

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Transparent Marketing: Research into social media marketing reveals surprising consumer discovery

April 25th, 2016

If you’ve read MarketingExperiments for any amount of time, you’ve seen how clarity trumps persuasion. Instead of trying to sell in marketing emails or on landing pages, help your customers clearly understand the value they will get from your conversion objective.

That’s why I was so surprised by some research I recently came across about sharing promotions on social media, a medium where selling is particularly frowned upon.

You can watch the interview with Dr. Lauri Baker, Assistant Professor in Agricultural Communications at Kansas State University and co-creator of the Center for Rural Enterprise Engagement, where we discuss this specific research along with other social media marketing tips. Below the video, I’ll give you my take on the subject.

 

Social media is a great channel for transparent marketing.

“There has been a lot of research done on transparency,” Dr. Baker told me. “Everybody wants to see that product from start to finish. They want to see that farmer aspect; they want to see that created in an authentic environment. A lot of that happens from just stories. Highlighting the people that are producing this food or this product, and show the places that it’s coming from. Those are the things that customers are really connecting with and wanting to see.”

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Marketing Optimization: 4 steps to more efficient practices and processes

April 18th, 2016

24 hours. That is all we have to accomplish the one million tasks on our daily agendas. Do you find yourself subconsciously running strategic tests to ensure that you are spending your time efficiently? Whether it is experimenting with alternative routes to work each day or using multiple programs to manage your inbox, task lists and projects, in the end, you want to make sure that you aren’t wasting a minute of your day on a tedious task.

Marketing optimization is the process of improving marketing efforts to maximize desired business outcomes. As an operations manager, part of my role is to improve and advance my team’s business processes to allow them the opportunity to spend quality time on the departments’ goals that will ultimately help benefit our audience.

Marketing optimization

When optimizing your marketing practices, the first thing you want to consider is the customer experience. If that part of the equation fails, it’s back to the drawing board even if that process works well for your team.

As marketers, the main challenge we face is making the time to define successful practices. Instead, teams tend to simply follow processes as they have always been done. We need to forget the short-term excuse of not having enough time and make time to start thinking about the future.

To optimize your own marketing processes, follow these four simple steps.

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Social Media Testing: How simple changes to Twitter copy led to a 119% increase in clickthrough

April 14th, 2016

Here at MECLABS Institute, parent company of MarketingExperiments, we never stop testing. Whether it be subject lines, email copy, Web clinic format or landing pages,  a day rarely goes by where there isn’t an experiment taking place on our campus. This culture of testing extends far beyond just the optimization team — it permeates the entire organization.

Case in point, a recent Twitter test imagined by our resident marketing operations specialist, Walker Ragland. Walker is famous around the Institute for his quick wit, strong marketing copy and love of all things Valdosta, Georgia. You might recognize Walker from last month’s MECLABS Live Optimization webinar, where he provided viewers with actionable tips on improving the performance of their site banners.

“Social media is still a new frontier for this company, so I’ve been encouraged with a generous budget to test out what works and what doesn’t work as far as different aspects of the creative of social,” Walker told me.

Armed with this healthy testing budget and a strong team supporting him, Walker has recently set out to test some of our social media sends across multiple platforms.

For this experiment, Walker wanted to test which Twitter messaging approach would work best when promoting the newest issue of the MECLABS Institute Executive Series.

“This is a relatively new product,  so I tried three different copy options with this test,” Walker said. “The first option used a quote from the piece, and it was a positive quote. The second featured a quote based on a negative point. And then the third option was just a standard offer.”

Take a look at the three approaches that he tested and see if you can correctly pick the winning treatment.

 

Version A: Positive messaging

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