This material was presented at the Google Analytics Master Classes in Singapore and Kuala Lumpur on March 9 & 11 respectively. Rachit Dayal's talk covered strategies for variable price testing using GWO and the challenges of using GWO in Southeast Asia. Happy Marketer are a GAAC

1. Happy Price Testing
Getting to the Holy Grail of Marketing
Rachit Dayal
Lead Consultant, Happy Marketer
rachit@happymarketer.com
http://twitter.com/rachitdayal
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2. How much can you charge for your product?
The optimal price is the holy grail of
trading / sales / marketing / business
Even prehistoric man wondered how
many pails of grain he could get for that
goat he was trading away!
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3. What’s the impact of price on profit?
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4. Current Methods of Price Testing
 Strategic “Guessing”
 Not based in fact, mostly guesswork
 Customer Surveys
 Honestly’s a problem – they do different from what they say
 In-Store Tests
 Very expensive, could lead to backlash
 Online Price Testing
 Affordable, quick to implement
 Accurate data compared to other mediums
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5. The Story of Genopal
72 hrs to Launch of New Product
• Weren’t sure how much to price
 US$24.95 ?
 US$29.95 ?
 US$39.95 ?
1. Home Page 2. Buy Page 3. Checkout
Where all users start out Where all come to read Beginning of the Shopping
and explore the site about pricing details Cart & Confirmation Process
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6. Vary only one thing – the price
Buy It Now. Only $24.95
Buy It Now. Only $29.95
Buy It Now. Only $39.95
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7. The Price Testing Results …
Items Sold Revenue
100% 100%
100% 100%
50% 60%
0% 5% 0% 8%
2X Sales at $24.95
and 66% more revenue
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8. A Subsequent Marketing Test Told Us …
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9. Summary of Testing Results
• Home Page Headline
 Best Headline led to performed 42% better than the original headline
• Home Page Image
 Best Image led to performed 27% better than the original image
• Overall Results
 Conversion Rate went up from 2.6% to 3.8% (32% boost)
 Price changed from 29.95 to 24.95 (led to 2X more sales)
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10. Summary – How To Price Test
1. The Process
Buy It Now. Only $24.95
 Relied on Online Testing & Google
Website Optimizer – faster than offline
Buy It Now. Only $29.95
 Show the price in very few places
 Vary only the price –keep as many other
Buy It Now. Only $39.95
things constant as possible
2. The Result
 The data was probably not statistically

significant – too little time
 Provided some preliminary market
intelligence about price
 Gave us a good idea about what
headlines and images appealed
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11. Lessons about Getting Good Data
1. Be Patient, confidence
in results take time
(wait for green bars)
 
2. Start with the most High
Traffic Pages (home Home Page
Call To
page, ad landing pages) Message
Action
3. Focus on big things that Price
could really make a Page
Format
difference
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12. Thank You!
http://www.HappyMarketer.com/
Rachit@HappyMarketer.com
http://twitter.com/rachitdayal
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