Ready to Experiment? A/B Testing Optimizes the Considered Purchase Journey
Data Analysis – The Reveal
CTA test results revealed a lot that Wyndham did not know about their customers and helped to guide more strategic digital decision making. For example, customers who accounted for 20% of annualized incremental revenue use Microsoft Edge web browsers. Why? Applying some Smart Panda Labs creative intelligence, the team hypothesized that Edge browser-users trend older and are less tech-savvy. They are the ones who use the default browser on their PC versus downloading browsers such as Chrome or Firefox. Analytics data was used to validate this hypothesis and: While Edge visitors only accounted for 3.9% of website traffic, they accounted for 20% of incremental revenue with many in the 45-54 age range and most in the 55-65 range. Wyndham had speculated they had an older demographic but never had the data to back up their hunch. With fact-based insights, they were armed with the information they needed to cater to and target this audience.
Conversions are So Uplifting
While it should be noted that some tests for Wyndham called for multiple variations to be tested as part of a single experiment, for the most part, Smart Pandas Labs focused on two keys areas for A/B testing and analytics: 1) Call to Action (CTA) on the Unit Page; and 2) the User Experience (UX) of the Payment Information Page. Smart Panda Labs chartered a digital path for Wyndham that effectively elevated company bookings.
Results from CTA Experiment
- Unit-to-payment information conversion lift of 9.5% with a projected $4.2 million incremental annual yield
- For Microsoft Edge users, unit-to-booking conversion lift of 35% (see Sidebar: Data Analysis – The Reveal)
Results from UX Payment Page Experiment
- Increased revenue per visitor (a metric that blends average order value and booking conversion rate) by +5.63% or about +$33 per visitor to the payment information page.
- While the average revenue per session on mobile devices was less than half of that on the desktop - in line with the historical trend - the experiment seemed to have the most impact on mobile devices, with an 11% increase in revenue per session (compared to desktop with a 5% increase). The majority of this was driven by increased conversions, not increased average order value (AOV).
Another lesson learned from the Wyndham experimentations revealed that optimizing the mobile experience is becoming more important. The mobile experience accounted for 41% of sessions during the experimentation period, compared to 33% in the previous year.
Consider this: in a short four months, the digital strategies and tactics deployed by Wyndham resulted in an enviable annualized revenue increase of $8M. The evidence is clear – if you want to generate higher conversion rates to increase revenue without incurring incremental marketing cost – get ready to experiment and optimize the considered purchase journey.
- About the Author
Jessica Porges is head of digital experience optimization at Smart Panda Labs, a digital consultancy that uses data and creative intelligence to drive customer lifetime value.