I’ll touch on one that seems to work across the board to help boost conversion: the “click to compare.”

Have you ever come to a category page with an incredibly long list of products, and had a hard time narrowing down your options and choosing one product?  Give the visitor the option to check a box next to each product on a category page, and then have her click on a button to compare these chosen products. This not only lets the visitor take note of which products interest her from the long scrolling list, but it also gives her the ability to compare more detailed features that don’t fit in the limited space of a category page.

One of our clients, a seller of home medical supplies, gives their visitors the option to check boxes next to each product they want to compare, and then click a large call to action to “compare checked items.”

This action results in a pop up where visitors are able to compare these chosen product options on a single page in more detail.

If you don’t already offer the visitor the option to compare, help her narrow down her choices and test a version of your site where you allow her to compare her product options.

Happy Testing

The ones who make it through will be those who are passionate about the customer experience, AND who are able to prioritize their work between now and the “Holiday Crunch” so that the hours expended actually impact the number of sales they make.

Where do you start if you want your site to be a stellar performer this Holiday Season?  A great place for most to start is on Shopping Cart Abandonment.  That’s low in your sales funnel, where you’re losing customers who were already acquired via marketing and persuaded to buy from you!

Let’s examine a prioritized list of reasons shoppers listed that caused them to abandon shopping carts.  Then, we’ll offer actionable suggestions corresponding to each concern.  The data comes from the 8th Annual Merchant Survey, conducted by PayPal and comScore in April of this year.

#1 High shipping charges

We’re all aware of this challenge, and it’s somewhat out of your hands, but there are things you can do.  One is to thing is to test different shipping offers in the cart.  Another, if you have a certain order value that qualifies for free shipping, is to display how much more the customer needs to qualify.  For example, “You are $xx.xx away from free shipping!  Continue shopping »”

#2 Wanted to comparison shop

Make sure you’re saving customer carts for at least 30 days, maybe more for the Holidays.  A recent study sponsored by McAfee showed that the average time span between visiting a site and checking out was 34 hours! Acknowledge that this behavior is occurring and plan for it.  If you’re sending “cart recovery” emails inside of 24 hours, you may be really annoying your prospective customers!

#3 Leaving to Google a coupon code

If you have a coupon code capture field on your “View Shopping Cart” page, you may consider moving that capture later in the checkout process, when prospects are more ‘invested’ in the process and less likely to bail and go “coupon Googling.”  Some of our clients offer coupons right on their site as a way to combat this behavior, and it works.

#4 Couldn’t find preferred payment option

Most eStore owners offer a proper assortment of payment options, BUT are your customers seeing them at the point of concern?  We call these Point of Action Assurances.  When the prospect is in your cart, and wondering about their payment options, are you reassuring them at the point of action that you offer BillMeLater, PayPal, etc.?  Test different placements of those assurances.

#5 Item unavailable at checkout

Yikes!  This issue simply needs to be dealt with on your product pages, before the cart.  If an item is out of stock, why not capture an email so you can notify when the item is back in stock?  Zappos.com does a good job of this when a certain size of shoe is out of stock.

#6 Couldn’t find customer support

Similar to #4, most online stores do offer good customer service options, but sometimes your prospects aren’t seeing them at the appropriate point in the cart.  Test those placements.  Also, if you use live chat support, and the chat service is “offline,” what is the customer experience like?

#7 Security concerns

Similar to #1, this is somewhat out of your hands…the Web isn’t 100% safe for shoppers, and they know it.  But, Point of Action Assurances, 3rd party security seals, and credibility of design are key.  Another great opportunity for testing different placements and different seals in the checkout.

Blogger’s Note: Apologies for excluding other winter holidays in the title of this post; I was just going for alliteration

What seems more difficult is deciding where and what to optimize. All of us have our plates full already. Adding optimization to the heap seems uncomfortable, even painful.

It doesn’t have to be.

It may not be easy, but very little that is worthwhile ever is.

When no clear starting line exists, most marketers will optimize in an ad hoc manner with no clear plan. Often companies will:

• Start with their newest campaign
• Start with their pet campaign
• Optimize their least favorite campaigns
• Optimize the easiest campaigns
• Optimize everything they can just a little, but never develop a method to get maximum results
• Start with the boss’ favorite campaign, least favorite campaign, and so forth

None of these are bad places to start. A little bit of optimization even in a less optimal place is better than no optimization. Still, if you’re looking for a more effective means to get rolling toward results sooner rather than later, here are a few tips.

Preface: Understand Your True Conversion Rate

While your average conversion rate is the total number of unique visitors divided by the number of unique visitors that take a conversion action, your true conversion rate is the number of people who take the action you want them to take divided by the total number of potential people who could have taken that action. Your true conversion rate takes into account how qualified the visitor is and gives you a better indication of how well your site is performing.

Look at Your Marketing Efforts

How are you bringing these people who take action to your Web site? Do they all come by directly typing your URL in their browser’s address bar? Do some search for your brand? Do some search for your category? Or your products? Do others come from organic search? Paid search? E-mails? Affiliates? Do these people come from different Web sites: Google? Bing? Yahoo? Wikipedia? Twitter? Facebook?

Define Your Prospects

You are likely targeting different audiences based on personas or demographics. You might have different efforts for each segment, maybe several efforts per segment. Each segment that was brought in by an individual marketing effort has different, sometimes intersecting, occasionally opposing scenarios (persuasion paths) based on needs, motivation, knowledge, purchase preferences, or some combination thereof.

For example, you sell Web conferencing and buy the keyword “online web conferencing.” You’ve identified three prospect segments: small office/home office, education, and marketing/sales. They all share a keyword and a landing page that gives them the content each segment needs. You might also buy more targeted keywords that send them to more segment-specific content, but they all share the same sign-up process.

Each one of these is an effort that may need to be optimized. A don’t forget your banner ads and offline media efforts, either.

Create Goals and Micro-Funnels

You cannot succeed online unless you plan for it. Specifically, you need to plan conversion goals for each effort. What actions do they want to take based on where they are in the purchase cycle? How are you going to measure them?

Again, if you sold Web conferencing, your early-buying stage goals may be to have visitors sign up for a trial or download a case study. Late-stage buyers would have paid sign up as a goal. Often, optimization means starting by adding efforts for early or middle stage. There are clearly too many businesses that expect to convert you all the way on the first visit. This may be unreasonable, depending on the audience segment and the complexity of the sale.

Each segment brought in by an individual marketing effort that navigates through their scenarios (persuasion paths) is a micro-funnel that needs to be optimized. Prioritize them!

The 80/20 Rule

The Pareto Principle is a good place to start thinking about prioritizing your optimization. It is highly likely that if you have 1,000 different efforts, about 20 percent are pulling their weight. Those 200 efforts need persistent and vigilant optimization.

Here are a few more places to start:

• Optimize your top-performing efforts, figuring out how to make them better.
• Optimize your most expensive but low-converting keywords (each one or several related terms in a group in individual marketing efforts).
• Sort out your top 200 campaigns and optimize those that are within a few percentage points of performing like a top-200 effort, then move on to your next 200.
• If you have very few efforts that perform respectably (over 10 percent true conversion rate), you may need to look at the potential market and create persuasion paths by paying attention to your market segments’ needs or your prospects’ needs at different buying stages.
• Optimize your top 20 exit pages.
• Optimize the bottom of your registration or checkout funnel and work your way up the funnel.

Your conversion rate is nothing more than the sum of the thousands of efforts and paths that prospects take through your site. Beware of averages. There is no such thing as an average person. That is why your average conversion rate is a rough indicator but virtually worthless as a way to focus your conversion optimization.

You have lots of segments that come to your Web site. They differ by demographics, psychographics, behavior, or marketing effort.

Are you optimizing by effort or by average? Tell me which and I’ll tell you what kind of success you’re having.

[Editor's note: the author of this post is now blogging at bryaneisenberg.com]

Or are you a lettuce picker? The sort of person that toils for long hours in the field and accomplishes a long day’s back-breaking labor of work that most white collar business execs would consider a less-than-optimal career.

That fact is, when it comes time to harvest, virtually the entire crop must be worked on at the same time. You don’t have time to cherry pick, and anyway the average business isn’t expert enough in how and what to optimize to know which portion of the crop should be cherry picked. Instead, when that crop is ripe, it’s time to get out there in the field and put in a 14-hour day getting it harvested.

Often when we speak wiith prospective clients new to OnTarget™, they have the impression that there is some magical formula that leads to higher improvement rates and that it can be achieved without any hard work or commitment. The reality, however, is that our most successful clients who enjoy on-going regular improvements of 40-80% in their conversion rates year after year are the ones who are implementing change on a regular basis. They’re lettuce pickers, and not so proud as to let hard work get in the way of increased revenue.

Are you a hard-working lettuce picker when it comes to your website? Are you guessing at what changes will improve your site? Or do you work diligently every week, every month, and every quarter to effect continuous improvement?

1. ProFlowers 24.0
2. Vitacost 23.3
3. 1800Flowers 19.5
4. Roamans19.2
5. Office Depot 18.5
6. Blair 17.3
7. QVC 17.0
8. Victoria’s Secret 16.8
9. DrsFosterSmith.com 16.4
10. Amazon 16.4

*Source: Nielsen Online / Marketing Charts

Benchmarks according to the FireClick Index

Increasing your conversion rate requires you to follow a continuous improvement program? If you need help improving your results let us know.

These clients want their conversion rates to improve, but they don’t want to have to change much.  After hearing tales of magical conversion rate lifts from simple tweaks, they look past the hard recommendations and ask that I “do some of that optimization stuff“.

And to be fair, sometimes easy website changes do yield disproportionate conversion rate increases. Sometimes a limiting factor, persuasive gap, or usability flaw can be fixed with something as simple as a new headline, a different color button, a new link, or an added point of action assurance.  One or two small changes and – boom! – you get a huge lift.

Unfortunately, analyzing a Web site will just as likely reveal problems and limiting factors that aren’t so easily changed or tested:

• Going from offering only one crappy, manufacturer-supplied product photo to offering multiple hi-res photos may not sound that hard, but on a Website with, say, more than 40 SKUS, it can be a bear of a job.
• Same thing with installing customer review functionality and then going back to your old customers to incentivize their participation by writing reviews for previously purchased items.
• And same again with the improvement of product description copy.
• Or replacing an outdated, clunky, shopping cart and checkout with a more user friendly system.
• And so on.

All of those improvements represent a lot of work for the client’s web team, but they are some of the more powerful improvements any online retailer could make.  Looking past them to tweak easier-to-change elements of the website would be a mistake. There is no web optimization magic FutureNow (or anyone else) can pull that would create an endless supply of easy changes yielding ever larger results.  Sometimes the big wins require big changes.

And that’s exactly what Bryan Eisenberg meant when he said that it’s already time to start preparing for the Christmas shopping season.  If it will take you several months to implement, test, and tweak the larger more-important changes to your site, that puts you finishing around September – which beats the heck out of tearing your hair out because it’s mid-November and you haven’t gone live with whatever big improvement or change you’re hoping will save Christmas for you.

So c’mon, guys, start implementing that web optimization sh*t now, and you won’t have to explain why your Christmas season went down in flames.

1. ProFlowers 38.6
2. Office Depot 28.0
3. Online Retail Total 25.6
4. Vitacost.com 25.0
5. Quixtar 23.4
6. ;Blair 23.4
7. Roamans22.6
8. 1800Flowers 20.5
9. Woman Within19.6
10. Spiegel 18.20

*Source: Nielsen Online / Marketing Charts

Benchmarks according to the FireClick Index

So the natural thing to do is trim non-performing words and phrases in order to increase the efficiency of your PPC spend.  And that’s exactly what one client did, except rather than increasing his efficiency, he dropped his sales by 30%.

Why?

Because, depending on what you sell, lots of people buy on their second, third, or umpteenth visit to your site, rather than the first visit.  Those visitors are building confidence in you as they move through their buying process.  But most systems don’t (or can’t) track user behavior over multiple visits.   So when those early and middle buying-stage keywords shown up as non-converters, they get cut.

The shame is that not everyone is able to track the following sales drop off, which may not occur for days, weeks, or months, back to the act of cutting those keywords.

Trading away Dennis Rodman as a Non-performing Player?

Would you trade Dennis Rodman for non-performance?  Of course not, right?  Rodman’s defensive stats alone tell the tale.  At his prime, Dennis was pulling down a truly astonishing 18.7 rebounds per game.  For reference, the previous year’s league leader in rebounds (David Robinson) averaged 13 per game.

But if the only stats you looked at involved scoring, you’d get a different picture. Comparing Rodman’s 8-9 points per game against other star players’ 20 or more points per game, you’d likely have been misled into trading Rodman, only to find yourself wondering why you started losing games and everyone else’s scoring stats went up against your team.

Think of your assisting keywords terms as the Dennis Rodman’s of your PPC campaign, except you’ll get all the assists and none of the off-court shenanigan’s.

There’s plenty of other ways myopic analysis can leading you astray

A recent eConsultancy post discusses how Google’s default window for tracking cookies can distort traffic data.  Left in its default cookie window setting, Google Analytics (GA) will classify visitors as “search”-driven traffic for six months following a single search based click through to your site – regardless of how they got to your site previous to that search or how they might arrive at your site following that search. Here’s an example of how this might skew your results:

Let’s say you’re driving traffic to your site via radio ads and that a listener, after hearing your ad, types your url directly into his browser.  Later, he comes back but this time, he types your business name into Google and clicks through on a displayed search result.  Following that, he visits your site three more times via bookmark or directly typing your URL into his site. That’s a total of 5 visits.

Question: How many of those visits would GA classify as search-driven?

Answer: 4 out of 5.

GA would count the first search-based visit and then all of the remaining 3 visits, despite the fact that the following three visits didn’t use search and may have taken place several months after the initial search.  Multiply that by all your visitors/visits, and you can see how your understanding of what drives traffic to your website might be distorted in favor of search. And under the impression that your traffic was mostly generated by search and not, say, your radio ads, you might be tempted to cut them from your ad spend.   Obviously, the same thing could apply with e-mail campaigns, magazine ads, etc.

Bringing Clarity and Orientation to Web Improvement Efforts

Any experienced Web Analyst or Website Optimizer could extend this list of “gotchas” and “classic mistakes” almost indefinitely.  It’s just not that uncommon for an uncareful analysis of data to lead online marketers either to analysis paralysis or sub-optimal optimization strategies.  Is it any wonder that 70% of businesses collecting wed data fail to act on their analytics data?

Obviously this issue has been central to Bryan and Jeffrey Eisenberg’s Web careers since the beginning.  It’s why they helped found the Web Analytics Association; why they published The Marketer’s Common Sense Guide to eMetrics, Call to Action and Always Be Testing; why they created Persuasion Architecture; and ultimately why they’ve built the OnTarget program.

The central theme amongst all of these issues is bringing clarity and actionable insight to Web improvement and online marketing efforts.  They are all answers to the business owner who feels confused or disoriented by the data he’s given and want’s a clear direction toward more sales/conversions and improved website performance.

So, if you find yourself struggling to make sense of your online marketing data, or frustrated by non- or counter-productive optimization efforts, ask yourself: are you giving credit where it’s deserved?  Or do you need help achieving greater clarity and actionable insight from your optimization efforts?

When you break that sentence down, you start to understand how to optimize your conversion rate.

Step 1 – Let’s understand “number of people“

Who are these people? Are they all the same? Do they have different characteristics, needs, questions? Do all these people have the same amount of product/service knowledge that you do? Are they all at the same stage in their buying process? Do they know you already? Or have they never heard of you before?

How are you bringing these “number of people” to your website? Do they all come by directly typing your URL in their browser? Do some search for your brand? Do some search for your category? Or your products? Do some of those people come from organic search? paid search? emails? affiliates? Do these people come from different websites: Google? Bing? Yahoo!? Wikipedia? Twitter? Facebook?

Do you launch new marketing efforts regularly? Are the efforts last week different than this week? last month versus this month? Is there an important calendar event occuring (Christmas if you’re a retailer; Fourth of July if you’re a seller of fireworks; Mother’s Day if you sell flowers: etc.?) all of which may induce a “spike” in traffic that is different than usual.

There is no such thing as an average person. That is why your average conversion rate is a rough indicator but virtually worthless as a way to focus your conversion optimization.

You have lots of segments who come to your website. They differ by demographics, psychographics, behavior, or because they came in through very different marketing efforts. You can calculate a conversion rate for each one of these segments/marketing efforts and you should.

Step 2 – Let’s understand “the action you want them to take”:

If you are in retail, you want them to purchase a product.

If you are in lead generation, you want them to become a lead.

Are there no other actions that are valuable?

In retail, even in they don’t convert now would it at least be more valuable to know if they added an item to your wish list, or subscribed to your newsletter, or looked up your retail store hours, or added items to their cart versus, just bouncing off the site right away? What are you doing to turn that one-time customer into a repeat customer? Do they only need one product you sell or might they need different ones over the course of time?

In lead generation, if they don’t give you all their information and request to be contacted by sales, is it valuable to have them sign up for a whitepaper, or a demo, or your newsletter? Is it better to download specification sheets, engage in calculators, or print or forward pages rather than just bouncing off the website? These are all steps that move people through their buying process.

These are just some of your macro-actions. What happens when someone comes from one of your ads and gets to a landing page? Sometimes the action is one of those listed above, but what if that page is only meant to help your visitors to choose the right product or service and they still need to actually click on the right one for them? What do you do to help them take that action and not bounce away? These are the micro-actions that need to happen from step to step in the potential customer’s visit.

All of these are actions we need to optimize. You can calculate a conversion rate for each one of these macro- and micro-actions, and you should.

Step 3 – Let’s understand “total number of potential people who could have taken that action”

What happened to the majority of visitors who did not convert? Why didn’t they convert?

Did they land on your site incorrectly? For example, they typed in “shingles” into a search engine and they were looking for roof repair and not a skin condition. This is obviously a disqualified visitor. Did they try to purchase from your website and something went wrong? Did they have problems accessing the information? Could they not figure out how to take action on your website? Did they not trust you? Did they leave with questions that were not answered? Did you answer their questions for today, but they aren’t ready to buy now? Did you not instill a sense of urgency or desire in them? Did you not make them a great offer?

You need to optimize your website experience for these potential buyers through the hierarchy of optimization.

Click here to view the embedded video.

There are thousands of potential improvements to choose from. You need to prioritize these based on the level of impact that improvement can have and the resources available to execute them. If you don’t have a copywriter available at the moment, you shouldn’t focus on copy changes even if it would be the most impactful. That’s may sound like just common sense, but it catches many companiyes like a deer in headlights.

Your average conversion rate is the aggregated conversion rate of how well your website performs for each of your customer segments, and each of your marketing efforts for each of the actions you want them to take. You optimize your conversion rate by first focusing in on the elements that impact as many of these as you can, and then you have to work on these “micro-funnels.”

While you work on conversions, market conditions, competitive forces, ad copy, and even your customers’ needs change. This is why you need to continuously optimize your marketing efforts. You can’t afford to have a “set it and forget it” mentality to your marketing.

Those of you who have been reading our blog and books for a while might recognize these steps as the fundamental steps of Persuasion Architecture®.

1. Who do we want to take action? This is the “number of people” from step 1.

2. What action do we want them to take? This is “the action you want them to take” from step 2. Have you defined all of these clearly? Are you measuring them properly?

3. What do they need in order to take that action? This is where we analyze what content/effort went into understanding why the “total number of potential people who could have taken that action” didn’t. This is where experience helps a ton.

If you only focus on improving a few landing pages here and there, testing a few variations here and there, tweaking creative here and there you will never reach your highest potential conversion rate!

Don’t worry, your customers won’t go unsatisfied. I guarantee that sooner or later your competitors will figure out how to satisfy your visitors needs. Hopefully that will motivate you to start getting your conversion goals on target by investing in continuous improvement.

[Editor's note: the author of this post is now blogging at bryaneisenberg.com]

1. ProFlowers 42.8
2. Vitacost.com 28.9
3. Office Depot 25.0
4. MetroStyle 24.5
5. Woman Within 23.0
6. Schwan’s 21.1
7. CDW 20.8
8. 1800Flowers 20.8
9. Landsend 18.8
10. Drs FosterSmith 18.30

*Source: Nielsen Online / Marketing Charts

Benchmarks according to the FireClick Index:

Cost Per Visitor (CPV) – How many advertising, marketing, SEO, etc. dollars do you need to spend to bring in each Website visitor you’re getting.   Don’t look at conversion just yet – it’s your website’s job to convert the visitors; marketing’s job is to get them there in the first place.  So Cost Per Visitor is the best starting point for measuring your return on marketing spend.

Also, feel free to break this down by channel: SEO, e-mail marketing, PPC, conventional media, etc.  Some channels are easier to track than others, but give all of them your best shot.  Now plot your CPV performance from the beginning of the year till now and see how you’re doing.

Revenue Per Visitor (RPV) – Top line revenue is usually easier to calculate and track, so we go with RPV, but if you’ve got the metrics to figure out bottom line Profit Per Visitor, all the better.  So basically you’re looking for how much money you are bringing in per Website visitor, and you’re looking to see how this metric is changing from the beginning of the year until now.

CPV should be decreasing and RPV should be increasing

What to do if these metrics aren’t moving in the right direction:

1. Take a look at your marketing spend. What’s working?  What’s not working?  Look at differing channels, keywords, time of day, etc.  Get accountability from the tactics you are using to drive traffic.
2. Focus on improving your conversion rate.  Your Website’s conversion rate can act as a lever to both CPV and RPV.  By examine keywords and marketing campaigns in terms of scent and scent trails, you can improve the performance of your campaigns and drive down CPV.  By improving micro-conversions throughout the buying process, you can increase macro-conversions, average order value, repeat customers, etc – thereby improving RPV.  For tools on how to do this, take a look through our archives, read Always Be Testing (or any of our other books), or give us a call.

Feel free to let us know how you’re doing, or to post any questions you have on these metrics and improvement tactics.  We’d love to hear from you.

[Editor's note: the author of this post is now blogging at jeffsextonwrites.com]

Here are other apps besides OnTarget that are using Google Analytics’ Data Export API.

Here is OnTarget for Google Analytics:

OnTarget provides full optimization, testing, and improvement cycle recommendations on how to improve goals online and increase conversions from marketing campaigns. Clients determine how many resources can be devoted towards optimization each month. FutureNow’s analysts deliver a to-do list of suggested improvements matched to client goals via the OnTarget interface. These changes are tracked using Google Analytics and the impact is fed directly into the next round of ensuing recommendation.

We’ll be announcing lots of cool new features and soon you’ll see specialized OnTarget for Retail and OnTarget for Lead Geneartion products. Just stay tuned…same bat time..same bat channel.

1. Schwan’s 50.5
2. FTD 27.2
3. ProFlowers 24.3
4. Vitacost.com 23.7
5. Woman Within 22.7
6. Roaman’s 21.1
7. ColdWater Creek 20.0
8. Eddie Bauer 19.3
9. Blair.com 20.20
10. QVC 17.30

*Source: Nielsen Online / Marketing Charts

Additional March Retail Benchmarks:

The online retail sector in general registered an encouraging increase in ecommerce activities in March 2009 compared to February 2009 (month over month) but down compared to March 2008 (year over year).

“Consumers who shopped online in March purchased nearly 12.0 percent more items compared to the previous month, while the average dollar value increased by more than 4.0 percent, suggesting that not only were consumers buying more items online, they were actually spending more money on average than they had just the month before.

Unsurprisingly, year-over-year retail metrics for March remain down across the board compared to March 2008. The average number of items per order, average order value and shopping cart conversion all fell significantly—8.1 percent, 6.3 percent and 3.4 percent respectively—compared to March 2008.“

Page Views Per Session 11.39
Average Time on Site (in seconds) 476.13
Average Items/Order 5.82
Average Order Value $143.93
Shopping Cart Conversion Rate 34.52%
Shopping Cart Abandonment 65.48%

* Source: Coremetrics LIVEmark Benchmarks US (PDF) – UK benchmarks PDF available.

Coremetrics LIVEmark leverages aggregate performance data across more than 300 participating brands to deliver over 35 benchmark metrics addressing performance indicators such as campaign and channel effectiveness, site stickiness and conversion rates.

1. Schwan’s 42.10
2. ProFlowers 36.50
3. Quixtar 33.20
4. Vitacost.com 28.90
5. Woman Within 24.20
6. LL Bean.com 20.40
7. Office Depot 20.30
8. Tickets.com 20.20
9. 1800Flowers 17.30
10. QVC 17.10

*Source: Nielsen Online / Marketing Charts

Additional February Retail Benchmarks:

The online retail sector in general registered dramatic drops in ecommerce activities in February 2009 compared to January 2009 (month over month) and February 2008 (year over year).

“Gifts retailers and Jewelers—both traditional winners on Valentine’s Day—reported 23 percent and 15 percent increases in order sessions respectively. However, the average dollar value of those orders did not match these increases, with a modest increase of 4 percent for gifts retailers and a decrease of 14.3 percent for jewelers. These numbers illustrate that even on those occasions when consumers want to spend, they are spending in a more restrained fashion than in the past.”

Page Views Per Session 11.70
Product Page Views Per Session 3.17
Average Time on Site (in seconds) 481.05
Average Items/Order 5.21
Average Order Value $138.27
Shopping Cart Conversion Rate 34.39%
Shopping Cart Abandonment 65.61%
New Visitor Conversion Rate 2.00%
On-site Search Session 17.6%

* Source: Coremetrics LIVEmark Benchmarks US (PDF) – UK benchmarks PDF available.

Coremetrics LIVEmark leverages aggregate performance data across more than 300 participating brands to deliver over 35 benchmark metrics addressing performance indicators such as campaign and channel effectiveness, site stickiness and conversion rates.

1. Schwan’s 52.50
2. ProFlowers 27.30
3. Quixtar 22.40
4. Blair.com 21.80
5. Office Depot 21.10
6. Vitacost.com 20.40
7. DrsFosterSmith.com 20.30
8. FTD.com 20.20
9. Amazon 17.20
10. CDW 16.90

*Source: Nielsen Online / Marketing Charts

This month big surprise came from first time on this list Schwan’s. Not sure if everyone should themselves compare to online grocery merchants.

Additional January Retail Benchmarks:

January was a month of casual browsing but limited buying across the online retail sector. The number of sessions in which consumers actually completed an order was down sharply by 21%.  Specialty retailers reported a 56 percent drop in order sessions, the largest decrease of any retail category tracked by Coremetrics.

Page Views Per Session 11.83
Product Page Views Per Session 3.24
Average Time on Site (in seconds) 504.59
Average Items/Order 5.95
Average Order Value $132.57
Shopping Cart Conversion Rate 33.80%
Shopping Cart Abandonment 66.20%
New Visitor Conversion Rate 2.02%
On-site Search Session 17.94%

* Source: Coremetrics LIVEmark Benchmarks US (PDF) – UK benchmarks PDF available.

Coremetrics LIVEmark leverages aggregate performance data across more than 300 participating brands to deliver over 35 benchmark metrics addressing performance indicators such as campaign and channel effectiveness, site stickiness and conversion rates.

1. ProFlowers 31.1%
2. LL Bean 25.7%
3. Amazon 23.7%
4. VitaCost 23.0%
5. Coldwater Creek 22.4%
6. QVC 21.1%
7. Roamans 20.4%
8. Office Depot 20.2%
9. LandsEnd 19.3%
10. Victoria’s Secret 19.2%

*Source: Nielsen Online / Marketing Charts

Additional December Retail Benchmarks:

According to Coremetrics Benchmark, the percentage of website visits that ended up with product orders increased by 23% from November to December and fell by 2.4% compared to December, 2007. The average number of items per order and average order value fell by 19% and 11% compared to November and by 2% and 3% compared to last year.

Page Views Per Session 12.01
Product Page Views Per Session 2.99
Average Time on Site (in seconds) 503.01
Average Items/Order 4.76
Average Order Value $124.48
Shopping Cart Conversion Rate 38.16%
Shopping Cart Abandonment 61.84%
New Visitor Conversion Rate 2.69%
On-site Search Session 18.97%

* Source: Coremetrics LIVEmark Benchmarks US (PDF) – UK benchmarks PDF available.

Coremetrics LIVEmark leverages aggregate performance data across more than 300 participating brands to deliver over 35 benchmark metrics addressing performance indicators such as campaign and channel effectiveness, site stickiness and conversion rates.

I keep telling people this. I don’t think that optimizing a site for conversion is a “Call to Action” science. It’s a usability science. People aren’t going to click something because its big round and yellow, and says “Click Me”. The reason people click this types of links is because they’re already looking for where to click, and you’ve just made it easier for them.

I don’t disagree; a button that is big, round, and yellow can make it easier for a visitor to follow that call to action. But optimizing a site for conversion is not just a usability science.

Usability is its own discipline and science. And, of course, the science of usability is an important part of the broader scope of conversion optimization.

In this 2005 column, I described how usability fits into the overall Web site optimization picture:

Usability examines the site’s interface and process barriers that keep visitors from accomplishing a conversion task. Usability is:The ability to effectively implement knowledge concerning the human-computer interface to remove any obstacles impeding the experience and process of online interactions…

A usability test can’t measure two key factors in the conversion process: persuasive momentum and individual motivation. A visitor’s willingness to click through to a site and participate in its conversion processes is directly tied to her intent and motivations and the relevance of the product or service to her needs.

The ability to use a Web site to accomplish a task valuable to a business goal is, no doubt, both a usability issue and a conversion optimization issues. But that doesn’t mean every experience the visitor encounters on a site is a usability issue. That would be like saying merchandising and packaging at the neighborhood Target are usability issues.

Most sites want to sell more or increase leads, and that requires the application of several disciplines and sciences. Here are just a few:

Web Analytics and Analysis

Here is more from the same 2005 column:

According to (Jakob) Neilson, “In usability studies, participants easily pretend that the scenario is real and that they’re really using the design.” However, it’s much harder for participants to fake a need they don’t have. If you disliked pungent cheese and were asked to shop for the best Roquefort, could you simulate the actions a true cheese lover would take?Web analytics, on the other hand, track actual actions taken on your site from very large sample groups. They provide a true measure of activity and persuasive momentum.

Couple usability testing with Web analytics for a more holistic picture of what is (or isn’t) happening on your site.

Web analytics provide the most accurate and objective measure of how individuals interact with a site. Usability studies provide insight into what’s happening in particular instances.

Copywriting and Direct Marketing Techniques

I have already written a book and several columns (like “The Complexity of Closing a Sale,” and “Gr8 Web 2.0 Copy” about the craft of writing persuasively online.

Psychology

My firm retains a consulting psychologist to advise in the science of human behavior. Florida Design’s comment above read that ‘they’re already looking for where to click”. And that is true in some cases, but how did the visitor come to know what they were looking for? Who or what sold them to hit the “buy now” button. What are they broadcasting they really need when they click on “learn more.” Do they just want more data, or can we write that data in such a way that will move them to buy?

Testing

What header persuades more? What big yellow button moves more people to take a profitable action? What lead form fields work best for my visitors? These are all questions that cannot be answered by usability studies, but rather by some sort of A/B or multivariate testing. And any effective testing requires some sort of scientific rigor.

Marketing and Selling

These are also disciplines that are established and several proven methodologies existed long before the Internet age. The prominence of social media today and the baby giant of search engine marketing are beginning to gel into tougher and more accountable disciplines.

The Lesson

If all you have is a hammer, everything looks like a nail.

Web site optimization is way too broad to be a subset of another honorable science like usability or information architect. If you are struggling in your optimization efforts, it might be time to examine your tools. You could be trying to solve a copy issue with design tool. Or you could be using a design tool to solve a persuasion problem.

Take the time to learn a little bit about all this disciplines so you can be sure you are using the right tool.

Unique Value Proposition (or Unique Campaign Proposition), is a brief, concise statement about what makes your website/business unique, and why customers should buy from you and not your competitors.  It’s been a central part of our Persuasion Architecture methodology from day one.

At our recommendation, our friends over at Accepted.com ran a UVP test on their website.  We worked together to draft a few versions of their UVP, worked with the designer to make it look professional, and ran an A/B/C/D test with three versions of their UVP against the control.  The UVPs expressed the length of time Accepted.com has been helping customers, how much success they’ve had, and the problem that customers are looking to solve.  The control was a stock photo graphic without a UVP statement.

The result?  Sure, you might expect some sort of lift.  How about an over 30% increase in conversion, resulting in tens of thousands of dollars in extra sales?

So if you haven’t sat down and brainstormed your Unique Value Proposition, maybe take 30% of a day and work it out.  Then test it and let us know what happens.  If the test seems daunting, try crafting a Unique Campaign Proposition and testing it in campaign messaging, assets, and landing pages.

Facts are meaningless. You could use facts to prove anything that’s even remotely true.

And this sage Homerism is hard to beat:

Oh, so they have Internet on computers now!

The lovable Homer Simpson can be held up as an example to the kids for many things, but probably not Homer on a diet. He isn’t the diet-and-exercise type. His strict regime of beer and donuts and babysitting day after day a nuke reactor does not a healthy lifestyle make.

So what does this have to do with Web site conversion rate optimization?

More than you would think.

Optimizing a Web site or campaign is shockingly similar to dieting and getting fit. Let’s spend a few moments evaluating how your conversion rate diet is going.

Are you having success? Or are you on the Homer Simpson diet? Doh!

Getting Fat and Tipsy on the Data

This is something we are seeing increasingly more of, as analytics tools are now mainstream. Data are flowing from a keg and everyone is taking a mug. Some take several mugs. Many companies are data happy and mistake data for insight or, even worse, for optimization success.

Data can be abused like a keg of Duff beer. To make sure you aren’t doing this, remember those numbers are people, not lifeless data. Learn to get insight into customer behavior, or those data will go straight to your midsection and not contribute fully to your ability to move more visitors to take a conversion action.

Sometimes, these folks don’t take their eyes off the scale, celebrating conversion rate increases that are well within the standard deviation (and thus likely meaningless). They are get depressed about minor losses (again, all within the standard deviation).

Chowing Down Empty Calories

Anthony Garcia, our lead consultant, likes to joke that he never met a donut he didn’t like. I can relate. Thing is they have little nutritional value. Donuts are the poster child for empty-calorie foods. (Sorry, Homer and Anthony, they aren’t one of the four food groups.)

A high-donut diet is similar to living on cheap (sometimes not so cheap) traffic. The high is temporary, and before you know it you need more and more traffic until you can’t survive without it.

The good news is you can work off some of that excess traffic by trimming the fat on your Web site and increasing your conversion rate.

Engaging in Lightweight Lifting

Can you imagine Homer Simpson at the gym? Can you imagine him jogging? He probably couldn’t make it out of the driveway without getting winded. Still, if he did jog halfway around the block or lift a small weight for one or two reps, he would claim an exercising victory. A lot of companies do this, too. They run a test, optimize a single landing page, or even give full-force optimization a try for a month or two. Then they stop, winded and weary.

Usually these companies say they don’t see the value. Well, how could they? Still, some expect a miracle conversion-rate increase with very little work. Or they believe that trying a few things will get them a huge return, and if it doesn’t come right away they give up. What a shame.

Homer on diet would do the same, saying he tried dieting and exercise and got no results. But was Homer every truly on a diet?

Optimizing and dieting are both simple in principle. Dieting is about taking in fewer calories and burning more. Optimizing is about getting customer insight, applying a change based on that learning, and starting the process over again, like running on a treadmill.

Optimizing and keeping off the donuts take work and a commitment to get results. Is a lack of work or commitment keeping you from getting the results you want?

I’m a big fan of dieting Homer’s way. I love food, and my exercise regimen consists of carrying my MacBook Pro from the desk to the sofa, then back again. Still, I don’t want to optimize Homer Simpson-style. If you want actual results you shouldn’t, either. Let me know if you need some additional diet or optimization advice.

In fact, his last e-mail was so good and applied so well to most lead generation websites that I thought I’d share it with you directly:

“…Leach recruited the BIGGEST OFFENSIVE LINE in college football (bet it’s bigger than most pro teams as well). These guys make the offense that Leach runs possible. They wear down defensive lines, protect the passer, open up running lanes … but guess what … THEY DON’T SCORE. They only make it possible to score.

I think great websites similarly open up the door of possibility but no matter how big the website is … and how many bells and whistles it has … there is a lot more to scoring points with the customer.  You still need to do all the other things right.

Southwest Airlines is aggressive online. I print boarding passes through the website.  I get my seat assignments through the website. I also get regular email offers from them. Sounds hunky dory but the Website AIN’T the reason I am booking flights. It is the cost, convenience and great service Southwest has been delivering to ME for a long time. The WEB just made my ongoing relationship with them even easier.

Amazon isn’t just a website … they do an incredible job of shipping my books to my doorstep … and yep, they send me customized emails about new books on subjects I read.

UPS lets my company do all its shipping on line … but it is the guy in the brown truck who picks up my packages on the day I want to ship that I am interested in … the UPS website is merely a tool.

The same concept applies to your clients. The WEBSITE is an extension of the business … it ain’t the business. The Man-Giants for Texas Tech don’t score … they make it possible for Graham Harrel and Michael Crabtree (i.e., the SALES TEAM) to connect and put points on the board  … the defense is the OTHER stuff we do that people may not notice (like delivering really awesome service).

I think that more and more energy is being put into websites (the Offensive Line) … and it is vitally important … but you still have to have a sales force (QB & Receivers) and combine it with excellent core service & products (Defense). Put it all together and you can win a National Title.

t”

Yet while Tom was taking this from a somewhat negative light by asking “are your company’s QB/receivers up to snuff?”  I was taking this from the opposite perspective of, the better the offensive line blocks, the more successful the rest of your offense will become.

More specifically, clients with lead generation sites are always more than happy with the increased number of sales leads we can create through Website redesigns and optimization, but that’s not what the rave about.  What they’re usually blown away by is the increase in lead quality and reduction in sales cycle time.

Why?

Because most clients weren’t thinking about – and therefore weren’t expecting improvement in – that aspect of lead generation when they hired us, so success on that front is more of a WOW for them.  And also because those factors can be even more important in bottom line success than increasing the raw amount of leads.

Of course, when you really focus on the fact that the website itself won’t complete the sale, it becomes second nature to ensure the sales team gets the best possible hand-offs and the most protection from time-wasting tire kickers “sacking” your QB.

So if you already have a solid sales team, the question I’d ask you is: how good is your offensive line, and how much more could you be scoring with a better one?

• Established his own (very successful) ad agency
• Launched the Dodge and Chrysler brands
• Hired and mentored Leo Burnett, creator of the Marlboro Man, Tony the Tiger, Pillsbury Doughboy, and many other advertising icons that made his clients rich
• Turned positioning into a fine art form half a century before Ries and Trout even coined the term.
• Helped establish Cadillac’s pre-eminence among early automotive marks
• Wrote “The greatest ad of all time,” as voted in 1949 – an ad still listed in the top 50 of Ad Ages Top 100 Advertising Campaigns.

Interesting, but why should you care?  Because MacManus’s – and by extension Burnett’s – approach was the yin to Hopkins’ yang, and because MacManus’s approach still works today.

And what was that approach?

In a word, it was to position the client while dethroning competitors in the minds’ of the audience. He wanted to create, in the mind of the public, a deep-seated prejudice towards his client’s brand.

If, in the words of the legendary Gary Halbert, the biggest key to success is to sell to a starving crowd, then MacManus aimed to persuade the consumer that only his client’s product would fully cure their hunger, and then wait for the more-cheaply-persuaded and much larger mass audience to get hungry as their individual circumstances dictated.  This would be in contrast to targeting only hungry people and then selling to them via direct mail.

And so the two poles of advertising continue on to this day, as is clearly seen in the following comments by an extraordinarily successful brand builder, Chris Maddock.  Chris was responding to my request for his opinion on Google’s recent attempt to track the effect of offline advertising upon online sales/conversions.   Here’s what he had to say:

Jeff,

I think Google’s traditional ad analytics are interesting, sexy, and certainly useful on some level.  But I think the program could also be dangerous, in that it could give some folks faulty impressions of what is actually happening – or what is right – because it assumes advertisers know things they probably don’t.

Let’s say a local hardware store runs some print ads, and compares the online response to another time they’ve run radio ads.  If the print ads were for a short term offer, and the radio ad of a more institutional bent, the print ad could drive more traffic to the website and have the hardware store owner thinking that print’s the ticket.  The reality in such a situation is that the print advertising is impressing and motivating a tiny, albeit palpable, percentage of the market to respond and go the the website, while the time-sensitive nature of the offer makes the advertising all but invisible to the bulk of the market.  On the other hand the radio advertising is likely creating greater long-term top of mind awareness, yet probably not motivating as many to go the website.  Mr. Hardware likely thinks that the radio campaign was less effective, when in fact most category dominant businesses are those that eschew short-term sales, offers, promotions and the advertising tools that make them work, while leaning on intrusive media such as radio and television to push long-term awareness.  Over time, radio could likely drive many more visitors to the website – visitors who will likely buy.

So my worry is admittedly Hamiltonian.  Years of interaction with average business owners and traditional ad people has revealed a startling blindness to things like buying cycles, differences in long and short-term strategy, and proper media selection.

So these new Google analytics are cool.  I just hope the good people using them understand what they’re trying to make happen, and what the numbers returned really mean.

-    Chris

Do you see how Chris picks up the standard of Theodore McManus, Leo Burnett, and Roy Williams?  Although I think it is possible to intelligently and rigorously compare media, I can’t help but agree with Chris’s larger point.  Creating a prejudice in the mind of the customer before they’re hungry is often a more effective strategy than trying to only target hungry customers.*   But it requires a longer time horizon.  So if you are only measuring on the short term, you’ll likely come to the opposite conclusion and then deem your position to be “scientific.”  It’s a perfect example of one of the deadly sins of Web Analytics.

So what’s your time horizon?  And have you implemented a measuring/analytics system that will enable you to measure accordingly?

* To be fair, there are certainly also times when it pays to directly target hungry customers, rather than engage in a lengthier branding campaign.  I’m not necessarily advocating one over the other; I’m arguing that you shouldn’t base your decision on skewed metrics.

What can you say when the owner of a company that had a 4.12% conversion rate improves it by 17% to 4.82%  in less than a quarter and says “we’re sort of disappointed“?

Even when clients can’t commit very much budget or resources to execute our optimization recommendations they may still have very high expectations.

Has FutureNow became a victim of of our own success? Our process has made FutureNow very successful; we have many third-party documented case studies where our clients achieved extraordinary results.

Bryan and I spent part of the weekend discussing this. Bryan wanted to republish a ClickZ column “The 5 Percent Solution” but I wanted to address this issue more directly than we did in “How To Get Buy-in For Conversion Rate Optimization“. We never addressed the real issue: commitment.

What Are Realistic Expectations For Conversion Rate Optimization?

Sales people will dance around this issue but I won’t. It depends on you!

I have never seen a website where with the right amount of time, energy and resources you couldn’t get at least a 30% improvement in conversion, but 10% is a slam dunk even without our advice.

Time, energy and resources!?!

If you are willing to commit yourself, with or without expert advice, you can consistently improve your conversion rates. We hear virtually every day about people who read one of our books and publications and went on to make huge improvements to their business. They make us as happy as client successes do.

Nevertheless, if you are focused only on 100% improvements or better it’s hard to celebrate a 10% gain. How sad.

You need to walk before you can crawl. For every huge success we have there are dozens of other happy stories. That’s why I asked Bryan to give me a list of successes he collected recently from our analysts.

I want to celebrate these successes:

• Increased client’s overall website conversion rate 10.5%, resulting in $250,000 additional revenue annually.
• Optimized a checkout page to increase conversion rate by 6.25%, leading to $150,000 additional revenue annually.
• Increased overall conversion by 27.5% with an A/B test on the product page.
• Doubled the number of sales with a Shop with Confidence assurance test.
• Achieved an 8% lift in sales from redesigned product page.
• Increased overall conversion rate by 51.49% over a 3 month program.
• Redesigned homepage and category pages to increase overall sales by 6%.
• Helped client realize a 108% increase in sign-ups for an e-course.
• Making one change to the flow of a client’s checkout process increased shopping cart conversion by 6.5% leading to an estimated increase of $55,000 monthly revenue.
• As a by-product of our conversion recommendations increased organic traffic visits by 19.91%.
• Improved conversion on a client site by 24% simply by changing product page layout.
• Increased a client’s funnel conversion rate by 24.40%.
• Increased visitor registrations by 12.5% by recommending changes to landing pages and the flow of the sign-up form.
• Increased overall website sales conversion rate from 3% to 7%, that is 133%, over a quarter long engagement for an online jewelry retailer.

Every one of these stories is worth celebrating. I praise our clients for the hard work they’ve done. I want to praise them for their commitment. I want to encourage them and you to continue improving your website and campaigns.

Stop Wishing and Start Doing!

If you get a 10% improvement and add 10% to that and then 10% on top of that you’re well on your way to 100%. Make up your mind and get started. Devote the right amount of time, energy and resources. You’ll learn a lot on the journey and the destination is so worth it.

I hope that helps.

“Leach is unusual in giving his quarterback the authority to change every play, wherever the line of scrimmage. “He can see more than I’ll ever see,” Leach says. ‘If I call a stupid play, his job is to get me out of it. If he doesn’t get me out of it, I might holler at him. But if you let him react to what he sees, there’s a ton of touchdowns to be had.’ All Leach is really saying to Hodges when he sends in the play is, ‘Line up in Ace, see how they line up against it and call a good play…’

The Texas Tech offense is not just an offense; it’s a mood: optimism. It is designed to maximize the possibility of something good happening rather than to minimize the possibility of something bad happening…”

Unfortunately, most optimization consultants take the opposite mindset from that attributed to the Texas Tech Football Program’s by Michael Lewis in his NYT article I’ve been quoting from in this series of posts.  In short, most Web consultants focus their efforts on minimizing the possibility of something bad happening (of loosing an already convinced customer’s sale) by fixing usability flaws.

Yet if you want to move beyond page-level optimization, you’ll have to begin maximizing the possibility of something good happening – of convincing visitors to convert who may not already be convinced when they arrive.  And you do this by planning visitor interactions on a click-by-click basis, imagining:

• What questions will arise in their minds,
• What tasks they’re looking to accomplish,
• What expectations they had when they clicked the previous link
• What doubts and concerns are keeping them from moving forward

You’ll find that real scoring opportunities most frequently involve:

• Increasing the match-up between visitor click-through expectations and your content, as well as the match-up between their buying tasks and your selling objectives, and
• Adding content or hyperlinks to answer key questions and provide missing substantiation

Both of which are a far cry from simply tweaking buttons and testing navigation schemes.  And both of which require you to go beyond mechanically applying best practices or ‘mindlessly’ running A/B tests.

This kind of optimization requires that you see how visitor behavior lines up against the backdrop of your current content and then to choose a change/test based on your best hypothesis of why visitors are doing what they’re doing instead of what you want them to do.  Kind of like the Texas Tech QB calling a play based on the mismatch between the formation and the defensive response.

Here’s an actual example from LuLu.com*, specifically their page on softcover publishing:

Now, let’s say LuLu’s three desired actions on this page are, in order of priority:

1. Click the “Self-publish” button in the active window
2. Click the “Lulu Demo” button to the right of the tabs
3. Use the “cost calculator” tool located down below the fold

And just so you can see that cost calculator portion of the page, it looks like this:

Now, let’s imagine that the Web analytics are telling you that the majority of traffic is going to:

• The “Services” page as accessed by the top tab
• The Home Page (either from the back button) or main “Publish” page
• “Help” or “FAQs” either from the top tab or Footer Nav Links

And we’ll also imagine that very few page visitors are taking the actions we want.  Plus, those that are clicking on the “Self Publish” button are quickly closing out of the “upload/cart” – they’ve just got a huge abandonment rate.

Step 1: Take your best guess at what’s going on.

First, I’d imagine visitors coming here from the homepage, the Publish page, and maybe even directly from organic and paid search. And that means most of them aren’t quite ready to upload their manuscript just yet – they probably still have some questions.

Given that situation, the current label for the main call-to-action – the “Self Publish” button – will probably feel deceptive to the visitor.  They’ll likely think the button links to a demo or to more info, and then they’re taken to an upload page.  Is it any wonder they rapidly back out of the upload interface?  Do you see how the context of the click/hyperlink on the prior page can dramatically affect the performance of the current page?

I’d also guess that people aren’t seeing the real demo button because it’s outside the active window.  Plus, the page utterly fails to answer questions about the relative pricing, merits, and limitations of LuLu’s paper, book size, and binding options.  So instead of moving forward, visitors are moving backwards to the publish and home pages and navigating to Help and FAQ pages to try to find those answers/information.

Step 2: Test your hypotheses

I’d test an alternative main button label of “Start by uploading your manuscript for free” and I’d put some Point of Action Assurances near the button.  Something like, “No commitment to upload & you retain the copyright.”

This ought to better prepare visitors for where that button will take them, and it will better appeal to spontaneous shoppers, who are most likely to click that kind of call to action.

I’d also test moving the demo button down into the banner area, not too far from the “Upload” button.  This will make it more visually prominent and should grab some of the traffic now going to the “Services,” “Help,” and “FAQ” pages.  Plus I’d make sure the demo ends with a link to bring visitors back to this page; remember, we want to maximize the chances they’ll come back and convert!

Finally, I’d add copy next to the pictures of “Perfect Bound,” “Saddle Stitched,” and “Coil Bound” pictures, as well as creating some “How to publish as economically as possible” bullets next to the cost calculator so visitors don’t have to blindly guess at what size paperbacks are more expensive, what trade-offs are involved in using cheaper paper, etc.

Step 3: Get it done and learn from the test results

Here’s where a lot of companies get stuck.  They get the test ideas queued up and then they don’t get the new buttons or banners or pictures designed.  Or they don’t write the copy, or some such.  A week to a week and a half goes by so that they’re just starting the test by the time they should have actionable results.

At any rate, not every test goes the way you plan, obviously.  But here’s the beauty of testing this way: if relabeling the “Upload” button doesn’t have any success, but the other tests DO increase the time on the page, the use of the cost calculator, and the number of people watching the demo, maybe you need to test a special, “Upload Your Manuscript” landing page, with new assurances and upload info, giving visitors timelines, points of contact, etc.

Believe me, those kind of results aren’t a failure – they’re a first down!  Now you just have to keep driving toward the goal with follow-up tests.  And the cumulative results of this kind of testing creating the kind of customer insight for breakaway success.

So how can you jump-start this process?

Well, in the spirit of the Raider’s fast-tempo offense, I’m offering a fast-turnaround Web Optimization service, emphasizing do-able, quick-to-implement changes capable of driving real world touchdowns:

The 48-hour, $500 e-mail/ad campaign and landing page analysis

If you’re planning or in the middle of a campaign and want to optimize your results, I can personally analyze your e-mail, ad, etc along with the campaign’s intended landing page and provide you with insight-oriented and easily implemented tests/changes for driving results – just like the kind you saw with LuLu.com.

Better yet, I’ll provide you with an interpretation of the actual results – what to look for, how to make sense of what you’re seeing – and follow-on actions.  If we score a game-winning touchdown and you like the feel of that, you can sign-on for ongoing optimization with Future Now.

If you only walk away with additional insight and a better understanding of how to implement your own optimization efforts – hey, that’s more than worth it for $500 and 48 hours. If you’re interested, contact us.

* Note that LuLu.com is not a client and I have not seen their analytics.  Everything about this example is hypothetical.

And Tom isn’t alone in considering Michael Lewis’s sports writing to be a hidden treasure; just look at this marketing-based analysis of his book,  Money Ball.  But Tom Peters has been alone in recognizing the business applications of Michael Lewis’s astonishing article on the surprising innovation and success of Texas Tech Football, written no less than three years ago.

Click here to view the embedded video.

Action & Tempo:

“…[Coach Leach] had been harping on tempo all week: he thinks the team that wins is the team that moves fastest, and the team that moves fastest is the team that wants to. He believes that both failure and success slow players down, unless they will themselves not to slow down. ‘When they fail, they become frustrated,’ he says. ‘When they have success, they want to become the thinking-man’s football team. They start having these quilting bees, these little bridge parties at the line of scrimmage.’”

You have to learn by implementing, and it’s incredibly advantageous if you work hard to keep your testing tempo as fast and continuous as possible.  Theory and intuition are great at helping you figure out what to test, what to look for in your analytics, and how to interpret your data, but untested assumptions can kill you.  If you think that customers would respond well to X, figure out an easy-to-implement test to confirm or disprove that.  The last thing you want to do is let your website sit static for months while you plan a major change based off of faulty assumptions about the market and/or customer motivations.

Plus, even if you have a brilliant plan to improve your website, it won’t help you until you’ve actually implemented the changes.  So a fast cycle of smaller tests and changes not only keeps you safer by verifying assumptions and improving learning, but successful tests implemented early can pay off during the time you would have wasted staging a larger “batch” of changes.

In a similar manner, Texas Tech is well aware of the “opportunity costs” involved in not keeping their offensive op-tempo as high as possible:

“An idea about the use of football time was being challenged. The typical football offense seeks to eat up as much of it as it can. The Texas Tech offense, which at that point in the season had passed for more touchdowns than any team in the country, uses just a shade over two minutes on each drive. But speeding everything up has a curious effect on game time. A typical college football team runs 65 to 75 offensive plays a game. Texas Tech tries to run 90 – and sometimes does. A college team with a robust passing game might throw the football 35 times a game; at this point, 8 games into an 11-game regular season, the Red Raiders were averaging 53 passes a game.”

Preferring batch implementation of changes and tests is kind of luck holding onto the football to control the clock – you’re wasting opportunities to move the ball down the field and score.  Yet most companies, like most traditional football offensive teams, don’t have Texas Tech’s sense of urgency; they don’t understand the often substantial opportunity costs involved.  Here’s a real life example:

I presented a client with a lead generation website for a considered purchase with a Persuasive Scenario Analysis towards the end of August.   As part of that report, I also presented a prioritized list of “most likely to generate dramatic improvement” changes/tests.  And among those suggested tests, I predicted that the easiest to implement change that was also most likely to produce immediate results was to prominently display the company’s phone number within their banner.

About 1.5 weeks ago they finally made that change (along with several others) and went from getting 0 calls from their website each week to 20 calls in the first full week they had stats for the revised website.  One of those 20 calls converted into a sale.  Most sales average in at $20,000 to $30,000.

Now, I’m hesitant to put too much weight on only one week’s worth of results, but even conservatively downgrading those figures still results in a significant opportunity cost for NOT implementing that change right away.

Orientation

“Leach made his way to the sideline and from his back pocket pulled a crumpled piece of paper with the notations for dozens of plays typed on it, along with a red pen. When a play doesn’t work, he puts an X next to it. When a play works well, he draws a circle beside it – “to remind myself to run it again.” But at the start of a game, he’s unsure what’s going to work…

The Red Raiders trotted off the field at halftime with a lead, but not a large one: 14-10. A disappointing half, yet with hidden value. For 40 plays Leach’s offense had groped – digressing, probing to learn something new – and it had been useful to see how the empty spaces on the field shifted. Coach and quarterback now knew what they wanted to know about the A.&M. defense.  They had paid for the knowledge with time, but time means less to them than it does to any other offense in the land. A half to the Texas Tech offense is as good as a full game to most. The game within the game was about to begin…

In the five full years Leach has coached Texas Tech, four or five times each season the team has flopped around ineffectually for the first third or so of a game before racing off to score touchdowns at a rate unheard of in organized tackle football. It’s as if his opponent’s defense has some deep dark secret that takes time for his offense to extract.”

Action isn’t good enough if you’re just throwing stuff against the wall and not learning from it by reinforcing your successes and killing your failures.  Coach Leach doesn’t just know that this play worked and this play didn’t, he also seeks to understand why, so that he and his quarterback can adjust their overall strategy accordingly.  Once the Raiders have correctly sized up their opponents, that’s when the real scoring opportunities begin to appear.  Here’s what that looks like in the game Michael Lewis was describing:

“Leach had just a few minutes with Hodges, but he told him what he had noticed. First, the A.&M. cornerbacks were disguising their intentions. They were lining up as if to cover the fade routes – that is, before the play began, they stood between the receiver and the sidelines – but then, just as the ball was snapped, they were scampering back into the middle of the field. To Hodges it looked as if fade routes would be covered, so he had been sending his receivers on slants into the middle of the field. ‘Throw the fade,’ Leach said. ‘It doesn’t look like it’s there, but it is.’

The other glaring opportunity, to Leach’s mind, was A.&M.’s response to Tech’s formations. On the few occasions when Texas Tech lined up in a formation that suggested a running play, with two running backs, the Aggies ’put their ears back and stop the run.’ But when Tech was, as it preferred, in its passing formation, A.&M.’s fear of the pass caused them to leave huge empty spaces to run in. In the second half, the Tech running backs would be charging into pass coverage, and the Tech receivers would be running toward the sidelines.

There was one other thing Leach had noticed – and Hodges had noticed it, too. The A.&M. front line appeared tired. ‘The minute you see the defensive line bent over and their hands on their hips,’ Hodges told me, ‘that’s when you know you have them.’ The A.&M. linemen were a lot bigger than the Texas Tech linemen. They may or may not have been fatter – Leach insists they were – but their bodies were clearly designed for a different sort of football game than this frenetic one. ‘That’s the risk of playing 330-pound guys,’ Leach said later. ‘You get good push, but if you got to run around a lot, you get tired.’”

The problem with most companies is that even when they do run A/B and multivariate tests, they’re often just testing random variables or best practices, which means they have no basis for interpreting the results in terms of a larger ‘game strategy.’ If you only know that headline “A” outperformed headline “B” without understanding WHY headline “A” worked best, it would be like Coach Leach only knowing that play X worked and play Y didn’t without seeing the larger patterns or flaws in his opponents defense and without being able to exploit that during the second half.

Here’s a practical web example of this principle taken from Microsoft’s Experimentation Platform blog.  The post in question features three separate A/B tests and the second test of two different site search bars is a perfect example of how the WHY is so crucial.  But first, here are the two search bar designs:

Which one worked better?  Neither: the results were statistically negligible.  Now, if that’s all that you took away from that test, you’d have lost out.  But if you started the tests with some hypothesis about why one design might work better, you could follow up with goal scoring, revised search bar.

For instance, most people would find the search area of Option A much more inviting because it’s more spacious.  Plus, the “Popular Searches” is labeled as such in Option A whereas it’s something of a disconcerting mystery in Option B.

On the other hand, Option B does one very important thing right, that Option A doesn’t: it labels with strong verbs!  Rather than guessing that the magnifying glass means “search,” I can look at the big green button and instantly know that clicking on it will start my search.  That one is kind of a no-brainer, actually, especially since Steve Krug has rather famously taught that search buttons should either say “Search” or “Go.”

If you started with those assumptions, you might have actually created an Option C that combined the best elements of both features.  Something like this:

And then I’d be willing to bet rather heavily that you’d come up with a very clear winner. But if you simply threw Options A and B up in a simple split test and accepted the results without thinking about them, you’d never get to an improved search bar.

So how can you more consistently move past a “best practices” or a “let’s test everything” approach to Website optimization?  What kind of methodology will let you advance beyond page-level optimization to Website-wide conversion improvement?

Well, while that subject definitely builds on what we’ve just discussed, it’s also worthy of a post in itself, so make sure to subscribe to get Part II as soon as it comes out.

• Customers will look for reasons not to buy.
• Retailers will offer incentives.
• Customers will look for value.
• Retailers will offer promotions.
• Customers will look for more information.
• Retailers will ask their customers to provide content.
• Customers will hold retailers responsible for their entire experience.
• Retailers will continue to work in silos.
• Customers will find new favorite retailers.
• Retailers will look for new traffic.
• Customers will demand more from each visit.
• Retailers will focus more intensely  on the +/- 3% they convert instead of the 97% they don’t.
• Customers have changed.
• Retailers…

Will retailers finally focus on optimizing their customer experience and improving their sales conversion rates? Many, perhaps most, won’t. It’s hard to build a culture of continuous improvement, especially under pressure. Some, a few, will. They will not only survive but they will also improve their market share and profitability.

We do work with a lot of retailers who are already devoted and several who we are helping to adopt a culture of continuous improvement. Still, it’s a relatively small sample size. Am I too pessimistic? Nothing would make me happier than to be wrong.

I welcome your feedback.