Improving and Proving Marketing ROI with Testing How Shoebuy.com - PowerPoint PPT Presentation

Improving and Proving Marketing ROI with Testing How Shoebuy.com uses cross-site testing to increase conversions and revenue and make smart business decisions James Keller Chief Marketing Officer

About Shoebuy

Case Study Background • The company: Shoebuy.com • The marketplace: Online shoes, apparel and accessories • The product: The World’s Largest Site For Shoes • The channel: All online visitors • Campaigns covered: 1. Account Log-in 2. Express Checkout Page Optimization 3. Checkout Flow Optimization 4. Social Marketing Test 3

About Shoebuy • Founded in April 1999 • One of the largest retailers of footwear • Partnerships with over 1,100 brands • Manufacturer to consumer direct • Over 1,000,000 products and over $3.5 billion in inventory available for sale • New categories include bags, watches, eyewear, active wear/outerwear, flowers and gifts • Rated one of the top eTailers for outstanding service (BizRate/Shopzilla, Foresee, Stella Service) • Ranked the 77 th largest retailer on the Internet by internet retailer • Strong financial performance • Generating gross margins in excess of 43% • Robust revenue growth • Strong balance sheet and no debt • In 2006, acquired by IAC which owns other properties including Match.com, Citysearch, Service Magic, Vimeo, the Daily Beast, and Ask.com 4

About Shoebuy Visitation has been on a steady rise Traffic is now at over 8 m each quarter since 2001 visitors per month 5

Awards and Accolades • BizRate’s (Shopzilla’s) “Circle of Excellence” Platinum Award as one of the top retailers in the country for outstanding service • Awarded by Hitwise as the 7 th most visited apparel and accessory shopping and classified site • Ranked top 10 online apparel and beauty shopping destination by Nielsen Online and top 10 in online retail satisfaction for Apparel/Accessories by ForeSee Results • #1 eTailer for fulfillment (eTail) • Best in Class – Social Media (eTail) • Ernst & Young’s New England Entrepreneur of the Year • Mass eComm’s (NEBATA) Mass eComm 10 Award • SBANE’s New England Innovation Award 6

Case Study Background

Case Study Background Account Log-in 8

Case Study Background Express Checkout Contact Info Billing and Shipping Info Instructions 9

Case Study Background Step 2 Checkout Progress Step 1 Step 3 10

Case Study Background Social Marketing Effectiveness Shoebuy.com regularly tests the effectiveness of adding new features • and engaging with 3 rd party vendors Leverage the social gaming phenomenon to offer facebook credits with • purchase Test the impact on revenues and conversions for those who • participated in the campaign 11

Case Study Background The Challenges Maintain SEO success • Balance validity versus opportunity cost • Maintain ROI focus • Understand long-term versus short-term opportunity • 12

Strategy & Tactics

Strategies & Tactics Account Log-in Make it easier for visitors to know that they can login or create an account by placing a link in the header. Tested placement of Log In and Your Account calls-to-action in the header across the site. 14

Strategies & Tactics Account Log-in test—Step 2 Facilitate account log- in and encourage membership. • Usability • Messaging 15

Strategies & Tactics Express Checkout Further streamline the “express” experience and reduce length of form by ~25%. • Eliminate redundancies • Reduce instructions, while maintaining usability and disclosures 16

Strategies & Tactics Checkout Progress Bar Set expectations and increase transparency of checkout flow status by adding a progress bar in the header in the checkout funnel. 17

Strategies & Tactics Facebook Credits Test the effectiveness of integration with social channels via various marketing campaigns and assess impact on sales performance and viral sharing. 18

Results

Results Account Log-in After Before 23% IN NEW MEMBER REGISTRATIONS 20

Results Express Checkout After Before 3% REVENUE-PER-VISIT 21

Results Checkout Progress Bar 7% Before REVENUE-PER-VISIT NEW VISITORS (↑ 3% for all traffic) 3.6% ABANDONMENT RATE After 22

Results Facebook credits 11.7% REVENUE-PER-VISIT NEW VISITORS (↑ 6% for traffic from facebook) 23

Summary & Key Takeaways

Additional Shoebuy Testing Successes • Font size • Duplicating button placements • Geo-targeting • Targeted segmentation • Homepage Hero Creative testing • Targeting mobile traffic • Widget placement optimization • Security logo tests 25

Summary & Key Takeaways  Test every change  Go for the low hanging fruit first  Listen to your customers  Don’t be fooled by the numbers  If it looks wrong it might be  Create a testing culture  Encourage ideas  Maintain discipline  Test, test, test  (and test your tests) 26

Credits

Credits 28

Question-and-Answer Session 29