Despite compelling benefits resulting from multivariate testing, implementation remains low, according to a new report published by JupiterResearch, Multivariate Testing Agenda: Overcoming Challenges and Building Strategies for Success. Only 31 percent of website decision makers have deployed multivariate or A/B testing programs.

Among this group, however, 79 percent have increased registrations per visit, 74 percent have improved customers’ satisfaction, and 68 percent have increased conversion rates.

Although the majority of multivariate testing programs so far have been implemented by companies with annual revenues of less than $1 billion, larger companies are taking notice of testing benefits and will represent the fastest growing segment to adopt testing programs; some 53 percent of budget decision makers planning to deploy testing within the next 12 months come from companies with annual revenue of $1 billion or more.

“Multivariate web site testing can be a complex and challenging endeavor, but sites can minimize the confusion by starting small and taking a tactical approach,” said John Lovett, lead analyst on the report. “Testing can help illuminate issues, resolve disputes, and reveal amazing discoveries about your web site visitors, enabling incremental site improvements to unfold dramatically.”

As evidenced by the recent acquisitions of two prominent vendors in the marketplace, the testing and optimization market is experiencing major consolidation. As a result, JupiterResearch anticipates flexibility and integration will become essential differentiators among testing technology providers.

Before a program is implemented by any company regardless of size, clearly defined goals and processes should be established to aid in gaining measurable results. Determining elements to test and areas in which to derive value from a testing strategy is critical.

“Automated site testing makes analytics actionable,” said David Schatsky, President of JupiterResearch. “Any company concerned about maximizing the return on its online marketing and site operations spending should look at incorporating testing as standard operating procedure.”

Source: JupiterResearch. “Compelling Benefits of Multivariate Web Site Testing But Adoption Remains Low,” Press Release 11/26/07.

Related Post: “Marketing Experiments Research Briefs,” EBT Blog 05/24/07.

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