Solutions by Industry
At LucidView, we know successful marketing testing must be tailored to the specific needs of your industry. That’s why we customize our scientific testing approach to best meet the goals of your company with industry specific techniques that provide greater accuracy, deeper insights and better results.
Direct Marketing Testing
The more you test, the more profitable your direct mail will become.
As Bob Stone said, “Testing is the best way to find breakthroughs.” We agree, and believe direct marketing testing is also the best way to measure the effectiveness of your direct marketing approach. It is now possible test dozens of variables, all at once, with greater accuracy and deeper insights with multivariable testing using LucidView’s ABCS approach:
A = Accuracy: Testing numerous direct marketing elements within one scientific test leads to a dramatic increase in accuracy thus, more actionable results.
B = Bottom-line impact: The ultimate measure of success is your testing ROI. By testing multiple variables at once with greater accuracy, it is possible to pinpoint more ways to increase response and profitability. This improvement multiples testing continues.
C = Clarity of insights: Scientific tests not allow testing of more variables, but also provide deeper insights into complex relationships among marketing-mix elements, quantifying:
- Main effects: The impact of each change on its own
- Comparative effects: Which elements have more/less impact
- Interactions: How main effects change depending upon how other elements are set
S = Speed: Sample size is normally a serious constraint in catalog and direct mail tests. With split-run techniques, marketers often have only enough volume to test 2-3 new covers, packages or price points in each campaign. Scientific testing works differently. As long as all variables are part of the same test design, the same small sample size can be used regardless of the number of elements in the test.
The virtual world has seen concrete success with scientific multivariable testing.
Advanced techniques are ideal for Internet testing. Production costs are low, flexibility is high, and results can be implemented within days or weeks. This means you can be more aggressive in testing numerous marketing-mix elements quickly, clearly and cost-effectively. But A/B splits are so easy, so why try something new?
A scientific Internet test can be completed in a fraction of the time required for statistically-valid A/B splits.
2. Breadth of insights
Advanced techniques allow testing of up to three dozen variables at once. If it's true that "The more you test, the more you learn," you now have the tools to learn 10 times faster than ever before.
3. Depth of insights
The complex mathematics underlying scientific Internet testing allow many variables to be changed at once, but in an organized way. This method shows the impact of each change on its own, while also analyzing interactions between variables.
More efficient test designs mean greater statistical power and accuracy.
While new knowledge is helpful, the true measure of testing success is sales and profit growth. The strategy is simple: run multivariable tests (or two or three), create a winning combination, test it against your original "control," measure the improvement, and calculate how much it's worth.
Support and partnership is key to minimize resource constraints, maximize insights and ROI and build valuable internal experience in the testing process. Statistical guidance and execution support can help streamline Internet testing techniques and determine which testing methods are best for your business. To discuss your unique marketing challenges and learn more about which partnerships can help your improve your marketing strategy, contact us today. To learn more about Internet testing in action, read our case studies.
Retail, CRM and CPG
“The most important word in the vocabulary of advertising is TEST.” – David Ogilvy
Testing has always been a valuable tool in the retail marketplace. Retailers test new circulars, in-store displays, promotions and offers. Consumer packaged goods firms test new products, packaging, prices and supermarket displays. Advertisers test media mix, frequency and reach (GRPs), content and offers and new channels. In-market testing is valuable, but has challenges:
- High advertising and testing costs
- Large amount of market noise (high experimental error)
- Market instability (constant change)
- Ever-changing consumer behavior
The key is to use the most efficient scientific in-market testing techniques available to maximize your insights and minimize testing time and cost.
Scientific multivariable testing is more widely used in direct marketing channels, but retail markets hold immense potential. With the right techniques, many variables can be changed at once and still reveal the impact of each. Dozens of variables can be tested at once with greater accuracy and deeper insights while using the same small sample size as a basic champion-challenger test.
|Benefit||Scientific Multivariable Testing||Split-Run Testing|
|Efficiency||2-35 variables in one test||1 variable = 1 test|
|Speed and Sample Size||Constant sample size (regardless of number of variables)||Increasing sample size|
|Depth of Insights||Accurate, robust and comparative main effects and interactions||One main effect (conditional, with no interactions)|
|Flexibility||Wide range of test designs||One choice|
For more information on the benefits of scientific in-market testing for your retail, CRM and CPG strategies, contact us today. To see the real-world impact of multivariable marketing, read our case studies.