A/B Testing For Boosting Conversion Rate? Is It Really Worth It?

[ltcajh]

Struggling to convert your visitors into customers?

Start doing this immediately and see your conversion rate go REALLY HIGH

So, let me ask you a question founders/marketers, what is your conversion rate?

Just think of it from a bigger perspective: if your conversion rate is 1%, then even if you get 10,00 monthly visitors, only 100 will sign up.

It doesn’t end here because if 100 visitors sign up, and the conversion of the paid plan is also 1%, then you’ll get only 10 customers.

And if your paid plan is, for example, $10/month. Then, it’s only $100/month.

It’s pretty low, right? So, your only option is to increase your conversion rate.

But how? I mean, you can’t force your visitors to buy from you, but you can make small decisions that stack up and increase your conversion rate.

That's where A/B testing kicks in.

A/B testing – also known as split testing - is an experiment conducted, for example, on a website or mobile application to test potential improvements compared to an original version.

If you want to read more on this topic, you can check out a more detailed newsletter post I've written: https://raydigital.beehiiv.com/p/split-testing-for-conversion-rate-boosthttps://twitter.com/thenoumanrahman/status/1780992130023907525

 

[rev411]

@ltcajh

Start doing this immediately and see your conversion rate go REALLY HIGH

This is just straight up bad advice.

I've done a lot of a/b testing and never seen it make conversion rates go "REALLY HIGH". It is often not worth doing, in my experience, because the effect sizes are usually pretty small, which means a) the incremental revenue increase is small, and b) you need huge sample sizes to get statistically significant results. Typically only a large, late stage company is going to have the amount of traffic needed to make experimentation like this worthwhile.

It's also quite easy to get misleading results due to mistakes like repeated significance testing errors or interference.

 

[jordan1989]

@ltcajh Well - it is obviously not the only option to increase your conversion rate. If your customer acquisition cost is really low you can just increase advertising. Or you could increase your prices.

 

[ltcajh]

@jordan1989 I got your point that A/B testing is not the only option, but the thing is that increasing your ads budget will get you more traffic, but the conversion rate is still low. Increasing price doesn't make sense to me, can you explain it more?

 

[jordan1989]

@ltcajh You mentioned that the monetary success is low and A/B testing is your only option. But there are other parameters that define that success.

You could totally undervalue your product at the moment and sell at prices that are too low. Increased prices might even get you a better conversion rate due to a higher perceived value. Although I agree that this could be part of A/B testing.

 

[ltcajh]

@jordan1989 Sorry, but I re-read my post, and there's nowhere where I wrote that A/B testing is the **only option** to increase conversion rate, but I might've mistaken, so sorry for that.

In my opinion, most strategies that we use for CRO (conversion rate optimization), such as pricing, onboarding process, copywriting, etc. should be measured with A/B testing.

 

[bab]

@ltcajh A/B testing can really help improve your conversion rates. By trying out small changes, you can see what works best and get more customers. If you want to learn more, check out my detailed post on the topic.