Businesses, in practically every industry today, are focused on getting more for less. For e-commerce businesses, this usually boils down to getting higher conversion rates from less traffic in order to increase revenue.
There are a number of technology tools that can help e-commerce businesses accomplish this. But it’s smart to obtain proof of concept by testing these tools before making a long-term commitment to them. Otherwise, you could end up stuck in an expensive, long-term contract (e.g., 12 to 24 months) that locks you into a tool that doesn’t yield the results you were hoping for.
Testing reduces the risk associated with making a long-term commitment to e-commerce technology tools. It will allow you to assess the actual performance by gathering data and insights in real-world scenarios before making a commitment to using the tool. For example, does the tool increase conversions, enhance efficiency, improve the user experience and generate positive return on investment (ROI)?
By testing, you can evaluate a tool’s user interface, ease of use and overall customer experience while identifying any potential weaknesses or limitations that may impact its effectiveness. Testing will also help ensure compatibility of tools with your existing systems and workflows to prevent costly integration issues down the line.
Finally, with favourable test results, you can present a stronger business case for management signoff, as well as possibly negotiate better contract terms with the vendor.
In the online formal wear industry, finding the right size is one of the biggest obstacles to conversions. One of our clients wanted to use a tool designed to make it easier for customers to choose the right size suit or tuxedo before placing an order.
Before the client committed to a long-term contract, we decided to run some tests to determine if the tool would result in a big enough uplift in conversions to justify the cost. After three months, the tool resulted in no significant change to conversion rate, and the tool didn’t lower the number of returns, which would have boosted the bottom line.
Based on these test results and the lack of ROI, the client declined to make a long-term commitment to the tool.
Another online formal wear retailer created a three-dimensional rendering tool, that customers could interact with, virtually, to help them design a suit. In user testing, however, customers didn’t know what the tool was or how to use it. Since the client had already committed the resources to develop the tool themselves, they kept it live on their website, though it’s not boosting the conversion rate or increasing revenue.
An electronics retailer wanted to try out a tool designed to boost conversion rates by using social proof. Before committing to a long-term contract, we tested the tool across different brands and customers in several different countries.
The tool was successful, boosting conversion rates. This was high enough to generate a positive ROI and cost-justify the investment, so the business made a long-term commitment by signing a contract to use the tool.
Testing e-commerce tools before making an expensive, long-term commitment is crucial for mitigating risk, maximizing ROI and making sure the tool meets your expectations. An optimisation agency can help you design and conduct the right tests based on your goals and needs.