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DV 2016: From A/B Testing to A/B Personalization

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Dave Rose, Brooks Bell

The opportunity to personalize experiences across devices and marketing channels is upon us. To move toward omnichannel personalization and micro-segmentation, we need to take the best of what we’ve learned through a decade of a/b testing and apply those practices to a/b personalization. In this session, Sr. Optimization Analyst David Rose will highlight omnichannel examples and a vision for personalization that combines what we’ve learned from testing with the opportunities that new tools afford us in the realm of personalization.

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DV 2016: From A/B Testing to A/B Personalization

  1. 1. © 2016 Tealium Inc. All rights reserved. | 1 From A/B Testing to A/B Personalization Dave Rose, Brooks Bell
  2. 2. The recognized leader in enterprise-level A/B testing, targeting, and personalization services SOME OF OUR CLIENTS
  3. 3. A/B Testing Whole-Site Optimization A/B Testing has dominated site optimization for almost a decade. Massive wins becoming less and less likely Segmented analysis dominates conversation
  4. 4. Segmentation Opportunity has been observed…but often discovered after the fact during analysis. How many is too many? This discussion alone, can slow down an optimization program.
  5. 5. Personalization Needs to be defined for best results Can it really be done?
  6. 6. 1 : most EASY Where most programs are 1 : few 1 : 1 HARD Where most programs should be IMPOSSIBLE? Where most programs think they should be Personalization
  7. 7. SHARE OWNERSHIP COLLABORATE WITH YOUR DATA TEAMS STEP 1: AUDIENCE DISCOVERY
  8. 8. Start with Data Learn behavioral predictors Go beyond the outcome, learn the preceding actions to a conversion
  9. 9. MANUAL SEGMENTATION CASUAL FEMALEMALE FORMAL 1 : most
  10. 10. Women’s Jeans Men’s Formal Women’s Formal TopsMen’s Tops Women’s Pants Women’s Formal Men’s Jeans 1 : few ALGORITHMIC CLUSTERING
  11. 11. “STITCH” YOUR DATA USE BEHAVIORAL DATA ACROSS DIFFERENT PLATFORMS STEP 2: SHIFT FROM VISIT TO JOURNEY
  12. 12. Tools to Help AudienceStream can connect across channels and platforms Information about the person, not the computer
  13. 13. Long-Term Behavior Tagging actions for long-term discovery takes your data teams to a new level of prediction Provide and test personalized experiences when the audiences reach an actionable size
  14. 14. Examples Registries Wish Lists Catalog and In-Store Purchases
  15. 15. SELECT VALUABLE ACTIONS 1 TO 1 PERSONALIZATION MIGHT NOT BE THE MOST PROFITABLE STEP 3: PICK YOUR BATTLES
  16. 16. 1 : few How do we determine the profitability of personalizing to each group? ACCESSIBLE DIFFERENTIAL ACTIONABLE MEASURABLE SUBSTANTIAL PROFITABLE PERSONALIZATION
  17. 17. Accessible Is it possible to reach each group efficiently? ADAMS5 ESSENTIAL ELEMENTS OF PROFITABLE PERSONALIZATION
  18. 18. Differential Would all groups actually respond differently if exposed to different campaigns? ADAMS5 ESSENTIAL ELEMENTS OF PROFITABLE PERSONALIZATION
  19. 19. Actionable Do you have a product to fit the specific needs of each group that you identified? ADAMS5 ESSENTIAL ELEMENTS OF PROFITABLE PERSONALIZATION
  20. 20. Measurable Can the impact of personalizing to each group be measured? ADAMS5 ESSENTIAL ELEMENTS OF PROFITABLE PERSONALIZATION
  21. 21. Substantial Are the groups large or valuable enough to warrant the added expense of personalization? ADAMS5 ESSENTIAL ELEMENTS OF PROFITABLE PERSONALIZATION
  22. 22. [CELLRANGE] 85% [CELLRANGE] 15% IMPACT
  23. 23. CUSTOMERS EVOLVE DEVELOP A CULTURE OF OPTIMIZATION! STEP 4: TEST, MEASURE, REPEAT
  24. 24. It’s a Program; not a Project Personalization will be a culture of discovery and optimization Never one and done – Evolve with the customer
  25. 25. Optimize the Program New tools, new data, new opportunity! Keep discovering Repeating the cycle isn’t starting over...it’s optimizing your efforts for the best results.
  26. 26. 1 2 3 MAKE IT HAPPEN! 4 AUDIENCE DISCOVERY SHIFT FROM VISIT TO JOURNEY PICK YOUR BATTLES TEST, MEASURE, REPEAT
  27. 27. © 2016 Tealium Inc. All rights reserved. | 27 AUDIENCE Q&A
  28. 28. © 2016 Tealium Inc. All rights reserved. | 28 Thank You Dave Rose drose@brooksbell.com
  29. 29. © 2016 Tealium Inc. All rights reserved. |

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