Author: Martin P.
Title: Content Marketer
EP 57: Testing Revenue Model
"Revenue cures everything in the business world." — Jon Taffer
Martin P. from Speero here.
Another week is full of experimentation talks, reads, stories, and blueprints.
Here’s how it looks:
This Week in Experimentation:
Blueprint of the week: Testing Revenue Model — Asses the revenue impact of your experiments with this Speero Blueprint.
Talk of the week: 1001 Experiments with Carlos Gonzalez de Villaumbrosia — equipping the next gen of product leaders with data-driven experimentation strategies.
The top takeaways include:
— Normalize experimentation: run several experiments over a short period, sift through the results, and find what works.
— Democratize experimentation: empower teams to ship small, minor tweaks (tests) for which they don’t need development, and use no-code and low-code solutions.
— How to succeed as a product manager: Master experimentation, road mapping, data, analytics, and prototyping.
A great article from Convert(com) covering how to balance your portfolio with dozens of opinions and advice from some of the best in experimentation: Ben Labay, Craig Sullivan, Simon Girardin, Jonny Longden, and many others.
— Explore vs Exploit Balance
— Solution Spectrum
— How 10 Veteran Testers Create Balanced Experiment Portfolios
Event of the week: 2023 Conference on Digital Experimentation @ MIT
Even MIT is astounded by the ability to rapidly run and iterate, on in-vivo, micro-level, randomized experiments in complex economic and social settings (online world).
The more we digitize our social interactions, the easier it is to answer complex questions about the role of social behaviors on population-level health, voting, political mobilization, info sharing, consumer demand, product rating, and opinions.
But our complexity and scale of experiments also lead to statistical and scientific challenges for inference and design.
Happening on November 10-11 2023.
Speero Story of the week: The Battle of Payment Gateways — Buy Now Pay Later. We wanted to find out whether adding a “Buy Now Pay Later” solution will have a positive or negative impact on the client’s site performance. (Read below)
Blueprint of the Week: Testing Revenue Model
Asses the revenue impact of your experiments with this Speero Blueprint.
Using a testing revenue model to measure ROI impact will help you understand the effectiveness of your strategies.
Evaluating the direct revenue contribution of individual experiments allows you to determine where to allocate resources based on their effectiveness, ultimately enabling data-driven decision-making.
— Understand which pages/swim lanes are contributing the most revenue
— To measure the potential experimentation impact over time
— Monitor the success of the experimentation program
Speero Story of the Week: Buy Now Pay Later.
We wanted to find out whether adding a “Buy Now Pay Later” solution will have a positive or negative impact on the client’s site performance.
Basically, if we enable AfterPay on the website, then more people will be able to buy the products right away, leading to more AOV and transactions.
The results were conclusive.
+2.97% in Transactions (99% CTBC)
+4.55% in Rev. per session (99% CTBC)
+1.63% in AOV
Est. Monthly Monetary Contribution*
$88,655 (Extra Transactions * AOV)
Our recommendation? Implement!