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The Insider’s Guide To Running Amazon Split Tests 1 Tuesday, August 9th
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Tthe Insider's Guide to Running Amazon Split Tests

Apr 15, 2017

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Gen Furukawa
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Page 1: Tthe Insider's Guide to Running Amazon Split Tests

The Insider’s Guide To Running Amazon Split Tests

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Tuesday, August 9th

Page 2: Tthe Insider's Guide to Running Amazon Split Tests

A Fun Game:Which Test Won? **These are not the exact products used, but representative products to preserve the sellers’ privacy.

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Page 3: Tthe Insider's Guide to Running Amazon Split Tests

Enter Your Guesses In The Survey...

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Main Feature Image Test: Larger Product vs. Smaller Product + Include Packaging

Variation A

Variation B

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Sale Price vs. No Sale Price

Variation A

Variation B

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Detailed Graphics vs. Lifestyle Product Image

Variation A

Variation B

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And The Winners Are...

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Improved Daily Profit By 45%Improved Conversion Rate 17%

Larger Product, No Packaging

Improved Conversion Rate 21%

No Sale Price

Improved Sales by 22% Improved Conversion Rate

19%

Infographic

Page 8: Tthe Insider's Guide to Running Amazon Split Tests

The Takeaway:

You never know what will perform best…..until you run tests with actual data!

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Page 9: Tthe Insider's Guide to Running Amazon Split Tests

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Amazon is getting more competitive and crowded. Optimizing your listing is ever more important.

9,000 people selling “bbq gloves”.

How can you compete?

Answer: Run Split Tests

Page 10: Tthe Insider's Guide to Running Amazon Split Tests

What is split testing?

Controlled | Randomized | Experiment

Between two or more variations...

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Will lead to Improved Metrics (ie click through rate,

conversions, profits, etc)

Page 11: Tthe Insider's Guide to Running Amazon Split Tests

How Split Testing WorksControl (original)

Variation

Distribute traffic between original and variation (visitor doesn’t know they are part of a test)

Accumulate enough data to identify a *statistically significant* change in visitor behavior

“Statistically Significant” is the likelihood that a change (ie conversion rate) is not due to random chance.

This gives you confidence that the changes you make actually have an impact!

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Page 12: Tthe Insider's Guide to Running Amazon Split Tests

Challenges to split testing on Amazon:

↪ You must work within Amazon’s guidelines (character limits, formatting, etc)

↪ All traffic must go to only one page

↪ Amazon only gives traffic data on a daily basis (therefore must make changes daily at 12 midnight)

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Page 13: Tthe Insider's Guide to Running Amazon Split Tests

High Impact Test #1: Price

In a low-priced niche (ie price sensitive consumer), would a change in price change the profits?

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↪ Large changes +/- $2.00

↪ Small changes $x.97 vs $x.88 vs. $x.99

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Recommended Price Tests

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↪ Highly Competitive Niche - Try small incremental changes

↪ Low Competition - Try Increasing your price by $1 or $2

↪ Differentiated/Improved Product - Increase price by more than you think

Page 15: Tthe Insider's Guide to Running Amazon Split Tests

Pricing Example: A cheaper price will generate more clicks and sales

$18.60

Sponsored AdsHypothesis:

Adjusting pricing (to $9.99) will generate more clicks, and sales.

I may make less profit per unit sold, but overall will get more sales.

Ultimately, I should increase my profits.

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$19.99

$14.99

$18.99

$9.99

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High Impact Test #2: Main Feature Image

Top search results for “bocce set”

Could the top organic result get a higher click through rate with a different image?

With an undifferentiated product (ie colored balls), would a change in main image increase the click through rate?

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Sponsored Ads

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Image Test: Make it appear a lot is included with your item

You can combine images of your product to feature different aspects.

Variation A shows a large version of the balls, as well as the carrying case.

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Control Variation A

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Image Test: Example 2

VS

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Image Test: Bring the Product To Life

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Instead of (photoshopped) two-dimensional images, try showing it in action.

Minimal Propping is OK in main image as long as it does not confuse the customer.

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Image Test: “Explain” Your Product Visually

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Use diagrams and notations to show the differentiating features of your product. This helps quickly convey information that they may not read in your listing’s text.

vs.

vs.

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Image Test: Show Interesting Product Photos

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Roasting sticks would be just a line if you included the whole image.

Competitors Included the whole packaging.

Our solution: Stand out with a unique angle, product composition, close-up image.

Page 22: Tthe Insider's Guide to Running Amazon Split Tests

Split Testing Best Practices

Run your test until 90% or 95% statistical significance - minimum 2 weeks (ie know that your changes will have a positive impact!)

❗Only test one thing at a time.

❗Start with easier tests (price and image) vs. more nuanced tests (product description)

❗Switch variations every day (at midnight) to account for day-to-day or seasonal changes

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Page 23: Tthe Insider's Guide to Running Amazon Split Tests

Automate Your Split Testing with Splitly

Results from a recent pricing test.

Hypothesis: decreasing the price by a dollar would increase sessions, conversion rate, and sales.

29% more page views 66% more sales

33% higher conversion rate 32% HIGHER PROFITS!

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Splitly Data: Rotation Log

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Review the key metrics for every variant on a given day...

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Splitly Data: Test Summary

Or view the test summary in a

simple dashboard.

The Variation showed

improvements across the

board.

This is a good thing!

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Page 26: Tthe Insider's Guide to Running Amazon Split Tests

Impact on Profits from Test ResultsFor example, Jungle Stix sells $16,000/month in sales, $4,800/profit

33% increase in profits =

$1584 per month, $19,000 per year, straight to the bottom line!

Continue to optimize for different metrics (CTR, Conv. Rate, Impressions)

Run automated tests on each product you sell

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Page 27: Tthe Insider's Guide to Running Amazon Split Tests

Try Splitly Today:Get 50% Off Your First Month (exclusive offer through 8/12 at 11:59p PST)

www.splitly.com/js27