Posts Tagged ‘Conversion Optimization’

How Much Revenue Are You Losing with Non-Guest Checkouts – Part 2 of 3

April 26th, 2010

This is the second part of the series on the monetary valued of guest checkouts (read the first part here). For the next two parts of the article I will describe a couple of methods that can be used to derive the opportunity loss due to “locked checkouts” – a term I coined; sorry about that – , which are checkouts that require visitors to login or create accounts to finalize the purchase. The first method (which is to be preferred against the second) will generate accurate results and will be based on real numbers, while the second is more likely a forecasting method based on, well, approximations.

The approach described in this article is the only way to compute the exact monetary gains of the guest checkouts and it is actually a split test strategy. You will set up an A/B test, with a conservative split of the traffic, e.g. 90% of your visitors will see the original checkout process (the registration required version) and 10% of the visitors will go through a guest checkout. The conversion page will be the thank you page/receipt page. Keep in mind that to use this method you will need to be able to split the traffic, to two separate paths (URLs).

Let’s suppose this is the first page your visitors will see after clicking on the “Proceed to Checkout” button. This will be the original (A) for your test.

books a million non guest checkout

Booksamillion Checkout

For the variation page (B), you will have to rename the Create New Account to Guest Checkout.

books a million guest checkout

booksamillion Guest Checkout

During the next page(s) of the checkout don’t ask for a password or email ID until the end of the process, on the receipt/thank you page. On that page don’t forget to offer an incentive for users to sign up (10% off for the next purchase, personalized offers for members, etc.)

A very good example to follow is actionenvelope.com, on which you can buy as a guest and at the end of the purchase you can create an account:

action envelope thank you page

actionenvelope.com Thank You Page

Compare the conversions and the results by analyzing at the revenue generated by each of the two paths you’re testing! Be amazed!

That’s all folks! It’s not really that complicated, all you need is courage to do it, and some chips and soda for the IT guys :)

PS: Another useful metric to compare is the number of visitors you lose at the sign in page (create account VS proceed as a guest).

In the third part (and the last) of the article, I will describe how you could derive the opportunity loss for guest checkouts, without actually implementing a split test.

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How Much Revenue Are You Losing with Non-Guest Checkouts – Part 1 of 3

March 24th, 2010

This article is about the optimization of what I consider to be one of the lowest hanging fruits for ecommerce websites, the checkout process. It can also relate to other types of web properties that require customers to pass through an online checkout process in order to purchase products or services.

Definitions: locked checkout is an online process that requires visitors to create an account in order to complete a purchase. Usually requires them to create provide a name and a password before the order is processed. A guest checkout is a checkout that leaves allows shoppers to buy products/services without asking them to create a username and a password.

The article is split in three parts. In the first part we will look at the psychological impact of the non-guest checkouts by utilizing an analogy of a brick and mortar shopping experience and a Sign In page for an online checkout. In the second and third part we look at the numbers needed to evaluate how much money you’re leaving on the table if you don’t offer a guest checkout option.

Part I: The psychological impact of a locked checkout

No matter how much effort you put into paid advertising or other traffic acquisitions strategy, there will be not much value if your website is not converting browsers into customers at an acceptable rate.

For the purpose of our article we’ll assume that you’ve spent resources to improve your landing pages. They are perfect: there’s no flaw between your keywords, ads and landing pages, your ad messages are in alignment with your visitors’ goals, your landing pages are matching their expectations and persona, and so on.

Your visitors are ready to buy from you and they click on the highly desired call to action button, the Add to Cart, and then they proceed to your Secure Checkout. On the first page of the checkout process, or the so called Sign In page, can visitors buy from your store without strings attached, more specifically, can they start the checkout process as guests?

If not, here’s how how a  similar “welcome” on the Sign In page could sound in a brick and mortar store:

If you like to buy something from us you first have to create an account – here’s a nice form for you to fill it out -, give us some private details such as your email address and your full name, tell us exactly where you live and share with us your credit card information. If you don’t want to do the aforementioned, sorry, we can’t sell you.

Would you buy from stores if they would ask you all of the above? I bet you wouldn’t. Similarly, that is what is going through the minds of your website’s visitors.

When we fill forms (online and offline) we are asked to share pieces of information such as names, addresses, phone numbers and even more sensitive ones like credit card details. Automatically, our brains will enter suspicious mode and will start asking questions such as why do you need my shipping address or why do you need my full name. Some of these questions will have obvious mental answers and will be answered in the unconscious mode. But other questions will trigged F.U.D’s (fears, uncertainties and doubts) which will be affecting goal completion rates and the overall website conversion rate.

Some visitors (and by some I mean lots of them) will ask themselves why are you requiring them to fill certain fields or why do you need them to complete some actions, i.e. why do I need to create an account to buy a product/service or Why do you need my email address to ship me something physical?

And when they start asking themselves, they start to leave/abandon the checkout process. And when they start leaving the checkout process, you start loosing money. How many? Stay tuned and I’ll show you two methods for calculating how much money you’re leaving on the table with locked checkouts.

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Who’s Testing What #30 – www.vacationtimesharerentals.com

January 18th, 2010

This is an MVT test from www.vacationtimesharerentals.com:

vacationtimesharerentals original

Vacation Time Share Rentals - Original

vacationtimesharerentals variation 1

Vacation Time Share Rentals - Variation 1

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Who’s Testing What #29 – www.moneymanagement.org

January 7th, 2010

The first test of 2010 is on debt relief landing pages:

moneymanagement.org version A

moneymanagement.org version A

moneymanagement.org version B

moneymanagement.org version B

moneymanagement.org version C

moneymanagement.org version C

moneymanagement.org version D

moneymanagement.org version D

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Who’s Testing What #28 – www.birthdaydirect.com

December 31st, 2009

This test is different than the classic button test. Birthday Direct is testing the left navigation: single unit VS shorter, multiple units. Kudos to them! This is the kind of test you should run too!

birthdaydirect.com control version

birthdaydirect.com variation 1

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Who’s Testing What #27 – www.themagicoftesting.com

December 29th, 2009

The magic of testing dot com is testing:)

themagicoftesting.com control versionthemagicoftesting.com variation

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Who’s Testing What #26 – www.bettafishcenter.com

December 28th, 2009

Cute little fish, isn’t it? An A/B test from bettafishcenter.com:

bettafishcenter.com version A

bettafishcenter.com version B

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Who’s Testing What #25 – www.gather.com

December 26th, 2009
gather.com control

gather.com control

gather.com variation

1gather.com variation

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Who’s Testing What #24 – www.genbook.com

December 25th, 2009
genbook.com variation 1

genbook.com variation 1

genbook.com variation 2

genbook.com variation 2

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Who’s Testing What #23 – www.dummies.com

December 24th, 2009

Here’s a nice test from Dummies.com. Too bad the tested element is a bit below the fold, so many (around 40%) of the visitors will not see the test. I always suggest testing elements above the fold, no matter who will say that that fold doesn’t matter anymore.

Google browser size: more than 40% of visitors won's see the varied content

dummies.com control

dummies.com control version

dummies.com variation 1

dummies.com variation 1

dummies.com variation 2

dummies.com variation 2

Have a Merry, Merry Christmas!

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