Continuous A/B Testing to Maximize Conversions

Segment your traffic to increase conversions

By Alaister Low on May 31st, 2013


Marketers and website owners work on generating as much traffic as they can for their websites. They drive traffic from a variety of different sources which makes it very difficult to identify who is converting and how to increase conversions. All the traffic flows into the same funnel and a single conversion rate is the result. There will be traffic sources that convert higher and ones that convert lower, however it is nearly impossible to identify which of these traffic sources are and how to improve the lower converting ones.

As you can see from the diagram below, there are 6 different traffic sources all sending traffic to the single landing page and conversion flow. The overall conversion rate is 2%, however we have no insight into which traffic sources convert better. We don’t know which traffic sources we should spend more resources on and how to optimize our landing page or funnel to increase overall conversions.

1 landing page

In order to maximize conversions as a whole, we must segment our traffic into the different traffic sources and then measure individual conversion flows for each source. As you can see from the revised diagram below the traffic is segmented and sent to seperate landing pages. In this example all the landing pages look the same, however it has allowed us to clearly identify the conversion rates for each traffic source. As you can see the overall conversion rate is still 2%, however we can see how that is broken down. We can now get a better understanding and can make decisions around which traffic sources to concentrate on. By segmenting each source and conversion flow we now also have the opportunity to optimize landing pages for increased conversions on an individual traffic source level.

traffic segmentation

Here are the main benefits of traffic segmentation and customized landing pages:

Match relevant landing pages with traffic sources – This allows marketers to create relevant landing pages for each traffic source. You are able to match the messaging with the specific traffic source making sure the visitors are more engaged with what you are showing them. A lot of work can be done with this specifically for PPC advertising as there are a lot of strategies around matching landing pages with ad copy and keyword.┬áMaking sure landing pages are relevant will be very effective in reducing bounce rate, increasing engagement, interest and conversions. The more targeted your landing pages, the higher your conversion rate.

Allows effective continuous conversion testing – Once traffic has been segmented and they are being directed to relevant landing pages we are then able to continuously test different landing page ideas and concepts for each traffic source. This could result in tens or even hundreds of different tests running at the same time to maximize conversions. Traffic segmentation with dedicated landing pages splits your website into different conversion funnels allowing you to work on optimizing each one in a granular way.

Quickly identify what is happening – By segmenting your traffic you can immediately identify which the conversion rates of each traffic source. As a marketer you are able to pull more detailed data around what people are doing on your site and how changes impact them.

Allocate resources and time effectively – Once the traffic is segmented and each of the funnels are clearly identified the data allows marketers and website owners to make informed decisions as to where to spend more time and money. You’ll be able to make decisions based on data around which traffic sources to focus on and what to optimize.

Traffic segmentation, funnel formulation and landing page optimizaiton are very important when trying to analyse what is happening within your business. By isolating each traffic source and creating a clear conversion funnel, you’ll be able to gain greater insight into the workings of your business and how to optimize for increased conversions and growth.

Here at Growth Giant we are passionate about helping online companies grow and being part of their optimization process. We are getting ready to launch our beta version of Growth Giant so make sure you stay tuned for updates.

About the Author

Alaister Low is a co-founder of Growth Giant which is a tool that uses the Multi-Armed Bandit Algorithm to continuously test landing pages. It automatically directs traffic to your better performing pages to ensure you get the maximum conversion rate. Google+

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