Content Testing & Optimization (CTO) Webinar, April 29 2010

1www.onetooneinteractive.com

Content Testing & Optimization (CTO)April 29, 2010

One to One Interactive, 2010. All rights reserved.


Agenda


What Is Content Testing & Optimization?

%?

(But how many made it through?)

Sale!


The Main Question

“Can we rapidly test new landing page elements -- or

entirely new pages -- to continue to lift our site’s

conversion rate?”


Introduction

Who should consider Content Testing & Optimization?

Marketers looking to increase online conversion, revenue and ROI by leveraging the unique opportunities offered by the digital space to improve visitor response

What will we cover today?

The philosophy, planning and implementation that drives a Content Testing and Optimization (CTO) strategy and share a few of One To One’s successes

What will be my takeaways?● The digital marketing strategy behind Content Testing and Optimization● How A/B/N and multivariate test strategies are designed● How CTO can lead to significant lifts in conversion, revenue and ROI● How optimization learnings can improve ongoing marketing strategy


One To One’s Approach To Content Testing and Optimization(CTO)


Approach To Content Testing and Optimization

Test Formats

Content development (A/B/N testing) Content elements (multivariate optimization testing)

Approach

Conduct test in waves against specific objectives Design tests to always achieve statistical significance with rapid turnaround times (2-6 weeks)

Objectives

Create ROI positive sustainable improvements in content performance against desired actions Build ongoing optimization engine


A/B/N Redesign Test

Champion Page Redesign A Redesign B

• The “A/B/…N” approach provides the simplest approach to Content Testing and Optimization


A/B/N Redesign Test

Champion Redesign A Redesign B

• Present highly varied, competing page concepts designed to demonstrate as widely different designs as possible


A/B/N Redesign Test


● The greater potential to affect overall results temporarily supersedes your ability measure the effect of specific elements on the page


A/B/N Redesign Test


● Don’t get trapped trying to keep any elements “consistent”. Your visitors will only ever see one version!


Most popular complaint to A/B/N testing

“But I don’t know why that page won!”

Solution?

Eye Tracking


● Understanding which elements on your

winning page generated the most fixation

and longest gaze duration can help provide

the “why” of A/B/N testing

Using Eye Tracking To Identify Areas of Interest

B

A

Area of Interest Fixation Count Fixation Count Duration (ms) Duration (ms)

Image 22.40 14.60 253.99 307.42

Header 32.60 18.20 228.39 267.60

Body 17.60 14.80 292.14 307.98

CTA 39.20 36.40 295.97 247.64

Feature 17.20 30.80 363.31 252.54

BA BA


Multivariate Testing (MVT) Completion

● Once an A/B/N test’s winning design is determined, the losing designs are turned off and the winner is declared the new Champion

● Any findings are determined via methods such as eye tracking or link analysis, though the specific “what’s most important on this page?” answer may not be available… yet

● At this point “multivariate” or “MVT” testing of specific page elements on the new Champion is recommended


Multivariate Testing (MVT)● Elements within a layout such as imagery, copy, calls to action are varied and

tested against each other in differing combinations, or “recipes”

SecondaryCTAsCTA 1

CTA 2

CTA 3

CTA 4

CTAs

CTA 1

CTA 2

CTA 3

CTA 4

Messages

Message 1

Message 2

Message 3

Message 4

Headline/Subhead

Headline/Subhead 1

Headline/Subhead 2

Headline/Subhead 3

Headline/Subhead 4

Imagery

Image 1

Image 2

Image 3

Image 4


Multivariate Testing (MVT)● The best performing recipe (for example, Headline “1” + Image “3” + Call To

Action “2,”) becomes the winner and is rolled out into the next ongoing campaign

SecondaryCTAsCTA 1

CTA 2

CTA 3

CTA 4

CTAs

CTA 1

CTA 2

CTA 3

CTA 4

Messages

Message 1

Message 2

Message 3

Message 4

Headline/Subhead

Headline/Subhead 1

Headline/Subhead 2

Headline/Subhead 3

Headline/Subhead 4

Images

Image 1

Image 2

Image 3

Image 4


Multivariate Test Dimensions

Sample elements for test consideration

• Quantity

• Design style

• Text surrounding, “prompting”

CTAs

• Color

• Location

• Size

• Prominence

• Highlighted feature content

Calls To Action

• Size

• Theme

• Location

• Quantity

• Prominence

• Style – lifestyle, product

• Headline within imagery

• Clickability of image

Imagery

• Style – story v. straight

• Size

• Location

• Color

• Length

• Case sensitivity

Headlines

• Style – story v. straight

• Search keyword matching

• Banner ad image matching

• Search / banner message or

offer matching

• Trust message

• Testimonials/Statistics

• Geo/demo message

• Feature information in pop-ups

• Offers

Content/Message


Test Wave Approach

Wave 1 Wave 2 Wave 3 Wave 4 Wave 5 Wave 61.0%

1.3%

1.5%

1.8%

2.0%

2.3%

2.5%

2.8%

3.0%

Conv

ersi

on R

ate

Base action rate before testing: 1.60%

Impacting Success Metrics

Redesign Tests MVT Optimizations

● Try to project out ongoing lift prior to launching any test, then benchmark against your projections to ensure a continued positive return on investment

Action rate after Wave 6: 2.60%

Lift: 63%


● Maybe surprisingly, the sum of the winning MVT elements is often NOT the best possible page

Accounting For Interaction Effect

Imagery

Image 1

Image 2

Image 3

Image 4

Test 1

Theoretical Best Recipe

Image 1 Headline 3 Message 4

CTA 4 Secondary CTA 2

Messages

Message 1

Message 2

Message 3

Message 4

Test 3

Headline/Subhead

Headline/Subhead 1

Headline/Subhead 2

Headline/Subhead 3

Headline/Subhead 4

Test 2

CTAs

CTA 1

CTA 2

CTA 3

CTA 4

Test 4

Secondary CTAs

CTA 1

CTA 2

CTA 3

CTA 4

Test 5

#2 Headline


● Tests can be completed more rapidly using the popular “one element at a time” approach… but at the risk of missing better pages

Accounting For Interaction Effect

Sign Up To Hear Our Latest Offers!• Lorem ipsum dolor sit amet, consectetur• Adipisicing elit, sed do eiusmod tempor• Incididunt ut labore et dolore magna• Aliqua. Ut enim ad minim veniam

Recipe AAll Winning Elements Options From Wave 1

Conversion Rate: 16.7%

Find Out If Service Is Available In Your Area!• Lorem ipsum dolor sit amet, consectetur• Adipisicing elit, sed do eiusmod tempor• Incididunt ut labore et dolore magna• Aliqua. Ut enim ad minim veniam

Recipe DAll Winning Element Options except Headline #2

Conversion Rate: 23.5%


OTOi’s Content Testing & Optimization Philosophy● Determine test objectives, e.g. Clickthrough From Page vs. Action Rate vs. Conversion Rate

● Start with the ideal optimization process

Optimization Wave: Ideal

Redesign Optimize Optimize Redesign Optimize Optimize

Optimization Wave: Lower-Volume Traffic Source

Redesign Removed Optimize Removed

! The greatest growth in conversion is usually seen with alternating waves of redesign and optimization

● Estimate actionable volume based on projected traffic

● Extend and/or remove tests due to insufficient volume or time


Typical testing success metrics include:● Conversion rate (share of visitors completing a sale)● Revenue per visitor● Average shopping cart value

Secondary success metrics include:

● Bounce Rate

● Action Rate (percentage of visitors completing a valued non-sale action)

● Funnel Depth (average number of steps through the purchase funnel taken)

Recommended Success Metrics


● Some tests may be rightfully set up to only measure clicks off the test page

● Be careful that success isn’t determined by a point too early in the funnel

Beware Incomplete Fallout

Landing Page A40% Clickthrough

Landing Page B30% Clickthrough

Step 1

Step 1

Reach Step40%

Reach Step30%

Step 2

Step 2

Reach Step34%

Reach Step27%

Step 3

Step 3

Reach Step28%

Reach Step25%

Conversion

Conversion

Convert18%

Convert23%


Key Questions

1. How many visits does your tested page receive per month?

2. How long will you continue to award credit to the new, winning page? 12 months?

3. How many conversions or other desired outcomes is your winning page expected to provide over your Champion?

4. What’s the value of each desired outcome -- in terms of average lifetime revenue if available?

Forecasting Incremental Revenue

100,000

1-Mo Visits

1,200,000

Projected Annual Visits

x 12 =

2.00%Winning Design

24,000=

1.80%Champion Design

21,600

x

=

Conversion Rate

Projected Conversions

+2,400Projected Additional Annual

Conversions

$600Estimated Lifetime

Value Per Conversion

xSample Return Estimate

$1,440,000Projected Total Incremental

Revenue

Revenue - CostCost = ROI


Case Studies


Case Studies: Comcast 2009 Results

11% Lift In Conversion RateWave 1



Test Champions Test WinnersConversion Rate Metric

36% Lift In Action Rate

(over lowest performer)

Wave 4


Case Study: 2009 Wave 3 Multivariate Test● A 2009 Comcast multivariate study focused on testing:

1. Image

2. Headline /

3. Call To Action

● The test audience was all visitors who had clicked on a Comcast Paid Search ad

● All versions of the new page’s design were tested against the prior Champion page


Case Study: Comcast 2009 Wave 3 Results

● The redesign’s template seemed to significantly beat the Champion no matter which combination of Image and Headline/Copy were used

● Among the winning Images, those with the people facing toward the headline and next step button seemed to perform the best (see above)

Headline/Copy Results% Lift In Conversion Over Champion

“Married Man”

“Orange Woman”

Image Results% Lift In Conversion Over Champion


“Champion” Landing PageTest Hypothesis:“Versioning a banner ad’s landing page to match the design of the banners will increase clicks to the next page”

Methodology:Version “Champion” elements against variations designed to match the banner ad creative more closely

Elements Matched:

● Primary Headline Viewed

● Primary Image

● Call To Action Colors

2

1

3

Case Study: Comcast Business Class


“Champion” Elements“Small vs. Big”

Elements“Dream Big” Elements “Compare” Elements

He

ad

line

Pri

ma

ry Im

ag

eC

all

To A

cti

on

Co

lors

Case Study:Variable Elements


winner

Question: “Does matching landing page content to the campaign creative shown make a difference in clickthrough?”

Answer: For all creatives tested: yes

Case Study: Winning Pages

Creative Clicked OnMixed Landing Pages

Fully Matching Champion


Building Your Library


● Firms should view Content Testing & Optimization as an ongoing process which yields an ongoing lift in conversion

● Never forget that you’re looking to build out a library of best practices to inform future designs



Past studies have produce insights which have radically changed the prior approach to content, as ongoing testing has driven substantial lift in conversion via such findings such as:

Images perform far more successfully on the right side of the page, potentially due to the natural “inverse C” path of eye tracking




For consumer products, images of people are far more successful in driving conversions than images of products – especially of faces



Click To Sign Up Now!


The newer an offering, the less successful hard-sell messaging such as “Sign Up Now!” is to drive page interaction


Check Out Products And Features!



Images of happy consumers looking in the direction of Calls To Action rather than out of the screen generally generate higher conversion


Offer! Offer!



Matching landing page messaging to the copy in a paid search advertisement clicked is far more important when the copy includes an offer



In Conclusion

● A Content Testing & Optimization strategy effectively leverages the unique opportunities offered by the digital marketplace and provides a foundation of best practices for ongoing content development

● By engaging in the ongoing process of content testing, firms can rapidly implement new content to generate increased response, resulting in steady lifts in conversion, revenue and return on investment (ROI)

● GIVE IT A TRY!

Content Testing & Optimization (CTO) Webinar, April 29 2010

Technology

Transcript of Content Testing & Optimization (CTO) Webinar, April 29 2010