website optimization: tuning for conversions

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AARHUS UNIVERSITY ASB AU MAPP WEBSITE OPTIMIZATION: TUNING FOR CONVERSIONS Jacob L. Orquin, Ph.D. Department of Business Administration Aarhus University

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learn to optimize your website for optimal conversion rates using eye tracking, usability, web analytics, and behavioral targeting.

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Page 1: Website Optimization: Tuning for Conversions

AARHUS

UNIVERSITY

ASB AU MAPP

WEBSITE OPTIMIZATION:

TUNING FOR CONVERSIONS

Jacob L. Orquin, Ph.D.

Department of Business Administration

Aarhus University

Page 2: Website Optimization: Tuning for Conversions

AARHUS

UNIVERSITY

ASB AU MAPP

WHY OPTIMIZE WEBSITES?

Increase turnover

Conversion rate

Turnover

Sales leads

Page views

Avg. sales value

Reduce costs

Support costs

Advertising costs

CPA

OR

Page 3: Website Optimization: Tuning for Conversions

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UNIVERSITY

ASB AU MAPP

REDUCE ATTRITION

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UNIVERSITY

ASB AU MAPP

OPTIMIZATION METHODS

• Usability testing

• Web analytics

• A/B- and multivariate testing

• Eye tracking

• Behavioral targeting

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UNIVERSITY

ASB AU MAPP

THE WEB EXPERIENCE

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ASB AU MAPP

BUILDING BLOCKS FOR THE WEB EXPERIENCE

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UNIVERSITY

ASB AU MAPP

USABILITY

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ASB AU MAPP

COMMERCIAL USABILITY

Focus on:

Conversion

Pageviews and engagement

Satisfaction

Loyalty

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DON’T MAKE ME THINK

• ”Usability isn’t rocket surgery”

• Typical user questions:

• How do this function work?

• Where is the ______?

• Why did they call it that?

• Where am I?

• What happens when I click here?

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UNIVERSITY

ASB AU MAPP

USABILITY DEFINITIONS I

"[Usability refers to] the extent to which a product can be used by specified users to achieve

specified goals with effectiveness, efficiency and satisfaction in a specified context of user.“

ISO 9241-11

"Human-centered design is characterized by: the active involvement of users and a clear

understanding of user and task requirements; an appropriate allocation of function between

users and technology; the iteration of design solutions; multi-disciplinary design.”

ISO 13407

Ease of learning

Efficiency of use

Memorability

Error frequency and severity

Subjective satisfaction

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UNIVERSITY

ASB AU MAPP

USABILITY DEFINITIONS II

A comparison of different usability definitions from Seffah et al. (2006).

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ASB AU MAPP

USER EXPERIENCE PROCES

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UNIVERSITY

ASB AU MAPP

USABILITY BUSINESS CASE

A usability test costs from 25.000 up to 75.000 DKK and usually improves

conversion rates around 20 – 50 % (sometimes as high as 200 – 500 %).

An e-shop has the following data:

Annual turnover: ~ 2,5 million DKK

Unique visitors: ~ 225.000

Annual sales: ~ 4.500

Is it worth investing in a usability test if it costs 50.000 DKK and improves

conversion rate with 10 %?

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UNIVERSITY

ASB AU MAPP

USABILITY METHODS

Think aloud and prototype tests are among the more common methods

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ASB AU MAPP

THINK ALOUD PROTOCOL

1. Select website (or section of site) for testing

2. Define target group

3. Define tasks

4. Define areas of attention

5. Recruit respondents

6. Run test sessions

7. Analyze data and identify problems

8. Present and solve problems with stakeholders

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COMMUNICATING THE RESULTS

vs.

usability report workshop

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UNIVERSITY

ASB AU MAPP

A WEBSITE OPTIMIZATION CASE 1

Purpose of the optimization:

• Increase average visit duration

• Increase conversion rate

• Increase user activity

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ASB AU MAPP

A WEBSITE OPTIMIZATION CASE 2

Methods used:

• Focus groups

• Think-aloud usability tests

To the left is the entry page before

(upper) and after the optimization.

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ASB AU MAPP

A WEBSITE OPTIMIZATION CASE 3

The effect of the optimization :

Increase in average visit duration: 21%

Increase in conversion rate: 72 %

Increase in user activity: 16 %

To the left: some of the optimizations

that lead to an increase in user activity

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UNIVERSITY

ASB AU MAPP

WEB ANALYTICS TECHNOLOGY

WA is all about tracking and data collection. The page tag technology is

the most common.

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UNIVERSITY

ASB AU MAPP

WEB ANALYTICS PROCESS

Visualisation of the web analytics process from Waisberg and Kaushik

(2009).

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UNIVERSITY

ASB AU MAPP

KPI’S AND WEB METRICS

The business objectives are translated into measurable

succes/performance indicators

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ASB AU MAPP

WHAT TO MEASURE?

Visualisation of the conversion funnel from Waisberg and Kaushik (2009).

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WHAT TO MEASURE?

Bounce rates on top landing pages

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WHAT TO MEASURE?

Bounce rates on top keywords

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WEB ANALYTICS LINGO Building Block Terms:

Page, Page Views, Visits, Unique Visitors, New

Visitor, Repeat Visitor, Repeat Visitor &

Returning Visitor

Visit Characterization:

Entry Page, Landing Page, Exit Page, Visit

Duration, Referrer, Internal Referrer, External

Referrer, Search Referrer, Visit Referrer, Original

Referrer, Click-through, Click-through

Rate/Ratio, Page Views per Visit

Content Characterization:

Page Exit Ratio, Single-Page Visits, Single Page

View Visits (Bounces), Bounce Rate

Conversion Metrics:

Event, Conversion

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A/B TESTING

Website optimization using A/B split testing is very stong method for

increasing conversions. A very basic experimental design. Borrowed from

Kohavi et al (2007):

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TESTING FOR THE OPTIMAL PRICE

Initial price and four treatments were tested in a simple A/B design.

Experiment reported at marketingexperiments.com (2008).

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ASB AU MAPP

TESTING FOR THE OPTIMAL PRICE

Results of the test. marketingexperiments.com (2008).

Remember that it’s not only a matter of price vs. orders there is also

the LTV to take into accout.

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ASB AU MAPP

WHAT ELSE TO OPTIMIZE?

www.conversion-rate-experts.com/articles/101-google-website-optimizer-tips/

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ASB AU MAPP

QUESTIONS FOR EYE TRACKING

• Are users looking where you want them to look?

• What important call-to-action does not receive attention?

• What is looked at but not clicked at?

• How well do symbols describe what the user is looking for?

• Where should important content be placed?

• What distracts web site visitors?

• How does the decision making process look like during problem

solving?

Page 32: Website Optimization: Tuning for Conversions

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ASB AU MAPP

EYE TRACKING PROCESS

Website optimization using eye tracking;

1. Define website goals

2. Prioritize design elements and desired actions

3. Measure visual attention

4. Measure click rate

5. Identify poor performing elements of the website

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ASB AU MAPP

OUTPUT - HEATMAP

berlingske.dk/Heatmap

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UNIVERSITY

ASB AU MAPP

OUTPUT – GAZE PLOT

berlingske.dk/Gaze plot

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ASB AU MAPP

REAL TIME INSPECTION

Video of eye tracking

youtube.com/watch?v=m58MG_aua_Q&feature=channel_page

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UNIVERSITY

ASB AU MAPP

AREA OF INTEREST (AOI)

berlingske.dk/Area of interest (AOI)

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ASB AU MAPP

FIXATION COUNT ON AOI

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ASB AU MAPP

CATCHINESS TABLE

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ASB AU MAPP

VISUAL VALUE

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DISTRIBUTION OF ATTENTION

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ASB AU MAPP

AN EYE TRACKING CASE

The purpose of the eye tracking anlysis:

• Optimize attention to ”call-to-actions”

• Optimize attention to banners

The case is in Danish … sorry about that!

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UNIVERSITY

ASB AU MAPP

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ASB AU MAPP

BEHAVIORAL TARGETING

Behavioral targeting is about getting the right message to the right person

at the right time.

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ASB AU MAPP

ADSPEND WORLDWIDE

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UNIVERSITY

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BEHAVIORAL TARGETING IS GROWING

Behavioral tageting spend is 5,687 % of total spend on internet advertising

in 2008 and growing …

Rasmus Himmelstrup Jørgensen (2007)

Page 52: Website Optimization: Tuning for Conversions

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UNIVERSITY

ASB AU MAPP

THE TECHNOLOGY BEHIND

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UNIVERSITY

ASB AU MAPP

TARGETING IN ACTION

Targeted ad Targeted promotion?

Page 54: Website Optimization: Tuning for Conversions

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UNIVERSITY

ASB AU MAPP

CONTACT

Jacob L Orquin, Ph.D.

Department of Business Administration

Aarhus University

E-mail: [email protected]

Check out my company:

www.userpilot.dk