How Experimentation Boosted Restoration Hardware's ROI 267%

We're in the third month of what we have been calling "The Year of Optimization." (We're calling it that because it has become apparent to us at Offermatica that the companies that don't focus on optimizing their sites, in order to give their customers exactly what they are looking for online, will die... In the same way, the companies that do consider optimization an ongoing part of their marketing mix will thrive and speed past their competitors.)

As I wrote recently, the first and easiest phase of optimization is simple experimentation, and almost every company already does it to some extent. Any marketer who has tweaked copy, changed images, or tried something new has experimented with optimization.

But such simple tweaking is merely a baby step. As marketers become skilled at testing elements on a page, watching to see what works, and implementing winning elements, they become able to test and optimize for more intricate needs.

For example, a couple of years ago, marketing executives at Restoration Hardware wanted to improve usability on their website. They started with simple tests, experimenting with where they placed certain details, such as product copy, on the product detail page.

Then they tested the placement of key gift items on a page, during the holiday season.

Finally, they tested different cross-sell products on the checkout page.

Overall, by experimenting with various elements, the company was able to increase ROI by 267% over the duration of the test.

But perhaps more important, they learned how to test quickly and often, and they learned that experimentation can lead to valuable knowledge about their consumers.

For an article on the lessons Restoration Hardware learned from testing, click here.