The Advantages of Strategic Conversion Optimization

Companies with ecommerce sites may have an overly high percentage of customers who through their behavior tell you “no thanks, I’m just looking.” Imagine being able to increase your Web site’s conversion rates by 30% or more and adding millions of dollars in additional revenue. Online testing is the key. For even better results, consider implementing a comprehensive, strategic conversion optimization process.

Many organizations are not testing
The vast majority of organizations with e-commerce or B-to-B lead generation sites are currently using Web analytics packages such as Omniture Site Catalyst, Google Analytics, Webtrends or CoreMetrics to measure visitor behavior. Never before has such a richness of immediate and actionable customer data been available within the online arena.

However, the majority of users are failing in their efforts to analyze and use this data. Most tend to look back and report on past behavior, but are unable to truly make the data actionable to drive improved site conversion. Many websites suffer from high bounce and cart abandonment rates. B-to-B sites may see low lead form-fill rates. Site sections devoted to customer service may instead be driving a high number of customer inquiries to the call center. This is the online version of a retailer whose store visitors enter the store, look around and leave without making a purchase.

There are several reasons why many websites under-perform. In many situations, creative typically drives the appearance. The mandate to make it “cool and state of the art” doesn’t take into account the analytics groups’ input and strategy. Often top management of an organization has a hunch or feeling about how the site should look. Sometimes a business has done usability testing, but fails to validate its findings with data. Or web content and placement is driven by a committee approach that tries to satisfy everyone, but ends up hurting performance.

What’s prevalent is a lack of testing awareness and the necessary cross-functional expertise. In short, everyone drives site performance except the customer. These sites are not being built around the customer—they lack “customer centricity.”

Testing enables companies to move from a website that is intuition-driven to one that is customer-driven. It’s existed in the direct marketing world for years, but testing’s rigorous approach has largely been absent in the online world. Testing should not be optional; without it your site will not realize its revenue potential. Testing proves what works for a site, quickly and with minimal risk. Customers cast their “vote” on content by either clicking through to conversion—or not.

But it’s not just about testing. It’s important to employ a comprehensive, strategic process that gains a complete understanding of a website’s customers, followed by use of their data to create a detailed picture of customer segments. Testing design, process, analysis and communicating results and actionable recommendations must be worked through, along with having the necessary expertise. These are all parts of developing a testing culture that truly speaks to customer centricity.

I’m Testing Online but the Results are Disappointing

For companies using online conversion testing tools like Omniture’s Test & Target or Google’s website Optimizer, they recognize the importance of testing. But results may still fall short due to a lack of:\

*The proper cross-functional testing team in place.

*Appropriately deployed resources.

*Detailed understanding of the segmentation process and customer segments.

*Customer perception of site and business; visitor site behavior understanding.

*Understanding what variables to test for the best return on investment.

*Testing priorities.

*Testing design, validation process, tool expertise and plan with document in place.

*Integrated testing and analytics tools.

*Accounting for testing “noise” – external factors.

*Properly designed reports and analysis.

*A smooth communication process.

*Corporate buy-in.

It’s important to use a comprehensive, strategic process that provides a complete understanding of a website’s customers, followed by use of their data to create a detailed picture of customer segments. Testing design, process, analysis and communicating results and actionable recommendations must be worked through.
Lastly, to ensure success, make sure that the proper cross-functional team is in place.

Alan Sherman ([email protected]) is principal consultant, marketing analytics, at Experian Marketing Services.

Related articles: