The way A/B testing is done in many—if not most—companies today, p-values and significance are pretty much meaningless. Still, decision models often only allow treatments to be implemented if they achieved a "significant uplift". One better alternative is to employ a Bayesian approach which allows to report probabilities for minimum uplifts and to calculate ROI on a case-by-case basis.
Tag: conversions
User Experience Is an Elusive Thing, or Conversion Rate & Average Order Value Are Not UX Metrics!
In this article, I review six metrics commonly used to measure UX: conversion rate (CR), average order value (AOV), task success rate, time on task, Net Promoter Score® (NPS), and the System Usability Scale (SUS). CR, AOV, and NPS do not fulfil the definition of a UX metric while task success rate, time on task, and SUS do. Still, none of the metrics (alone) is suitable to reliably measure the UX of a digital product.
“Growth Marketing Considered Harmful” Published in i-com
I'm proud that my article "Growth Marketing Considered Harmful" has been published in the latest issue of i-com ‒ Journal of Interactive Media. Abstract: In today’s e-commerce industry, conversion rate optimization is often considered essentially the same as user experience optimization. In addition, there is a strong focus on quantitative experimentation, which some deem a… Continue reading “Growth Marketing Considered Harmful” Published in i-com
KPI-Centered Design
Despite evidence that employing a human-centered design (HCD) approach to product design yields a strong competitive edge, many companies neglect HCD or don't even consider it in the first place. One reason for that is probably that many who think they're working user-centered are practicing something entirely different: KPI-Centered Design. This article inquires into different forms of design processes, into the differences between proper HCD and KPI-Centered Design, and how a resonable compromise can look like: Formulating hypotheses based on evidence rather than just KPIs or gut feeling, and complementing quantitative experimentation with more qualitative insights.
5 Foolproof Conversion Rate Optimizations for Your E-commerce Business
When hearing conversion rate optimization, many think of the application of psychological principles such as social proof or scarcity. But before employing those, e-commerce businesses first have to get their fundamentals down—which many don't. In this article, I present five foolproof (and proven) ways to optimize your conversion rate: optimizing your checkout, getting rid of shipping costs (as much as possible), focusing on usability, getting rid of dark patterns, and gaining a deep understanding of your customers.
Product Discovery ‒ A Systematic Approach for Customer Research Methods
There is a plethora of customer research methods out there and it can be difficult to stay on top of things when it comes to choosing the right method for a given research question. Specifically in the realm of product discovery, when it comes down to being able to decide whether an idea generates business value or not, certain methods lack validity or are not properly applied. In this article, André Morys provides an overview over when to use which (combination of) methods(s) for product discovery.
Successful E-commerce Personalization in 3 (Relatively) Easy Steps
An effective personalization strategy should be treated as a design problem with a structured framework of ideation, implementation, and evaluation. Co-creation workshops are used to brainstorm audiences and personalized content based on credible hypotheses, which are then implemented and continuously monitored to assess the performance of the personalization strategy and individual campaigns. A good strategy focuses on UX while helping with achieving business goals.
The Conversion/Usability Framework: How Usability Impacts Profit
Usability is related to customer satisfaction and loyalty and therefore has a direct impact on profit. The Conversion/Usability Framework introduces usability as an additional lever on top of "traditional" means to increase profits, which can and should also be applied beyond E-commerce.
2008 – Tales of Design & User Experience 