Chapter 13

Strategic Marketing Optimization

An ounce of practice is worth more than tons of preaching.

—Mahatma Gandhi

The term conversion-rate optimization is a misnomer. It implies that conversion-rate improvement should be the sole goal of your testing work. That’s a limited view.

Although conversion-rate lift is important and should be a goal for individual tests, the result of a testing strategy produces much more. As you’ve seen from the case studies in this book, test results can produce massive revenue improvement, learning, and customer insights. Forward-thinking CMOs and business leaders use these quantitatively tested insights to create a positive feedback loop into their marketing and business strategies.

Beyond even those outcomes, testing produces an organizational culture shift toward data-driven decision-making. In a scientific marketing organization, data is valued over personality, experimental methods are structured and refined, and tested learning is disseminated throughout the organization.

When you begin to leverage the ongoing learning andinsights from conversion-rate optimization, you’ll have progressed to a state I’ll call strategic marketing optimization (SMO).

Through the ideas presented in this book, I hope to inspire more than just conversion-rate optimization. I hope you’ll take up the challenge of building a culture of ongoing SMO.

Aim for Marketing Insights

Despite how much attention conversion optimization is getting today, it’s still being undervalued. Most marketers don’t appreciate its potential.

Think about it this way: you have thousands of visitors to your website every month. From those visitors, you have the ability to gain insights with scientific certainty. Yet the predominant talk about conversion optimization views it as a method for eking out small conversion-rate bumps on landing pages.

This is tragic!

Those of us who do the most testing understand the power of all the beautiful traffic arriving on your website. Not only are these prospective customers looking for an opportunity to buy from you, but they’re also willing to (unknowingly) tell you the types of messages and experiences that are most effective.

Consider the far-reaching effect of testing your value proposition, for example. By running controlled tests of your messaging approaches, you can gain statistically significant learning about which messages move the most customers to action. Yes, those tests can give dramatic lifts in leads, sales, and revenue. But beyond that, the insights can lead to even greater changes in your marketing and business strategy.

As marketers realize the potential for gaining marketing insights, the conversion-optimization industry is evolving. We’re no longer just tweaking and tuning button designs and headline colors. We’re no longer just boosting conversion rates on landing pages. We’re fostering a culture of data-driven decision-making. I hope you’ll join us in adopting the Optimization Manifesto, which encapsulates this culture of continuous testing and optimization.

The Optimization Manifesto

We listen to our gut, and then test what it says.

We gather marketing research, and then test it.

We create best practices, and then test them.

We listen to opinions, and then test them.

We hear the advice of experts, and then test it.

We believe in art and science,

Creativity and discipline,

Intuition and evidence,

And continuous improvement.

We aim for marketing insights.

We aim to improve business results.

We test because it works.

Scientific testing is our crucible for decision-making.

Come with me as we push the boundaries of conversion optimization toward SMO. For a full-size printable graphic version of the manifesto, visit YouShouldTestThat.com/SMO.

Be a Marketing-Optimization Champion

Your organization needs a marketing-optimization champion. The challenges of developing a data-driven culture may be great. Some will resist the rigorous discipline of a testing strategy. Those who have spent their lives following their intuition alone are unaccustomed to asking the data for direction.

If you’re a data-driven decision-maker, this may be frustrating for you. Why would any company willingly reject conversion optimization when so much revenue could be within easy grasp? Sometimes decision rationale doesn’t make sense.

Your organization’s culture and norms determine how decisions are made. The company may be accustomed to following the strongest personalities, or letting the HiPPO dictate direction, or following the whims of the Black Turtleneck (See Chapter 1, “Why You Should Test That”). Creating a data-driven culture can take time and effort. Persuading people to adopt a marketing-optimization strategy requires an organizational champion.

Your company needs you to step up and be an influence for marketing testing. Fortunately, being your organization’s champion is very rewarding. Marketing testing is one of the most easily provable strategies, and the rationale for it is unassailable. When you stand as an advocate of the data-driven approach, you’ll reap the rewards in your career. Data advocates inevitably rise to positions of influence.

Here are some tips for creating a data-driven culture:

Get Senior-Level Buy-in for Testing No matter how strong your project results are, you’ll face an uphill battle without senior management support. Many of your colleagues look for cues from HiPPOs when deciding what to support, and senior managers probably allocate funding. Suffice it to say, your job will be much easier with their backing.
What is success for your senior decision-makers? Start by finding out how they’re incentivized so you can show how optimization will help them reach their goals. If you can help them look (and get paid) like rock stars, they’ll support your projects and reward you in return.
You can also appeal to the rational support they need by building a business case for testing. With directly measurable results, the case for testing is easy to make. Show the conversion-rate lift that other organizations are getting, and estimate the return on investment (ROI) for a testing strategy. You can download ROI calculators from YouShouldTestThat.com/SMO.
Create a Tangible Opportunity Get support for testing by creating a tangible problem that testing solves. Bring in a conversion-optimization expert to tell decision-makers how your website needs to improve. The credibility of a third party like WiderFunnel can carry more weight than internal voices.
You can also record feedback from real customers. Videos of customer frustration can be powerful motivators.
Sharing case-study examples of companies can be a source of inspiration and motivation, too. You can download case studies of conversion-optimization tests at www.ConversionSkills.com.
Conduct Skunkworks Tests If you don’t have senior support at the beginning, you could try an under-the-radar approach. Pick a few target pages with low political visibility to gain some quick wins. Landing pages outside the main website can be good candidates for this. Then, use the winning results from those tests as ammunition in your campaign for support to move on to more important optimization areas.
Involve Other Departments You’ll need the support of others to get your tests running: IT, finance, marketing, branding, and more may present barriers. Save yourself surprises by involving them early.
Tie Results to Revenue When you present results, don’t just show the improvement in conversion rate or KPIs. Tie the results to revenue to show real cash impact. Percentages are intangible, but everyone relates to cash. What would you rather get: a 10 percent conversion-rate lift, or $500,000 greater profit?

note.eps
Note: Look for the WIIFM When you’re presenting results to an individual stakeholder or decision-maker, tie the result to their personal performance measurement or bonus. They’re subconsciously asking, “What’s in it for me?” so make sure you answer that question. If you can relate your work to their personal benefit, you’ll create an ally.

Share Results Far and Wide Many of WiderFunnel’s clients have used our results-analysis presentations to create an internal event in the organization. The champion invites members from throughout the company to see the results of tests, guess the winners, and discuss what was learned. The presentations are a lot of fun, especially for those departments that aren’t normally involved in external communications. Make sure to invite people from all functional areas.
You’ll see several benefits from these meetings. Positive results with statistical certainty are exciting for everyone and create momentum. They educate your colleagues about the process of testing and inspire the organization to support your projects. You’ll be positioned as a leader with ideas that deliver results.
When WiderFunnel runs tests, we hold a vote with everyone involved to guess which one will win. The results presentation could be a good time to award prizes and boost the fun factor.
Be a Leader You have a decision to make about what you stand for in your career. Every idea you want to sell depends on the influence you have with colleagues, friends, and clients. The foundation of that influence will be based on what I’ll call soft or hard credibility. Soft credibility is based on your personality, charisma, and personal connections, whereas hard credibility is the data, evidence, and goal alignment that you bring.
Become a thought-leader by reading more and sharing more knowledge with your colleagues. Take opportunities to conduct group discussions, distribute summaries of your learning, have lunch with unconvinced team members, and go to conferences.
Never Give Up As Winston Churchill said in a famous speech, “Never, never, never, never give up.” Testing and optimization are not one-time events. You’ll face opposition, confusing results, and disappointments, but they will melt away when you experience big wins.
The biggest threat to your success is what I call the shiny new thing. There will always be new tools, tactics, and opinions that will tempt you to abandon your testing discipline.
As Chet Holmes said in his book The Ultimate Sales Machine: Turbocharge Your Business with Relentless Focus on 12 Key Strategies (Portfolio Trade, 2008), his “pigheaded discipline and determination” are key to his results. As he says, “Implementation, not ideas, is the key to real success.”

Some organizations will never adopt marketing optimization. The culture may be too entrenched in old ways. I cringe when I see companies start on the path of testing and then turn around and redesign their website wholesale without considering the progress and learning they’ve already made. If you don’t see progress in your data advocacy, you should move on to a company that values it. Companies that don’t test will eventually yield to competitors that do. Life is too short to battle for years as a cultural misfit at companies with outdated thinking.

My goal for this book has been to make the case for why conversion optimization is important for gaining business improvement and marketing insight. I’ve also given you many tips, frameworks, and insights to get the best results.

I hope I’ve convinced you that there’s a better way to handle expert and colleague opinions and recommendations. I hope the next time you come across a good idea, your instinct will be to say, “You Should Test That!”

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