Why eCommerce Can’t Ignore Collaborative Optimization
You already know increasing mobile conversions is a huge opportunity, but just how big is it? ComScore tells us that while 69% of time on an average site comes from mobile, only 25% generates mobile revenue. What if there was a way to close the gap? That would be a 142% increase! For a company generating $5 million in online revenue, that would equate to a $2.2 million dollar lift in mobile revenue.
So, how do we close the mobile revenue gap?
Two words: data and experiments. But wait — let’s talk about the millions. Millions being the number of experiments required to optimize your site for 20 A/B elements. No element acts in a void, so what you really want to see is the best combination of those 20 elements. So, to find the right mix you would need to test all combinations which is 220 mathematically or 1,048,576 experiments! And that’s 20 elements with only basic A/B testing.
How can you ever test fast enough to tackle this task? Well, you can’t — at least, not alone.
But, working as a Mobile Optimization Community, and leveraging a collaborative optimization approach, we can.
What is collaborative optimization?
Collaborative optimization is a methodology that was developed for large-scale problems that require multiple analysis routines to be executed simultaneously. In other words, complex problems call for complex solutions.
The power of collaborative optimization lies in the testing capabilities of the entire merchant community — the Mobile Optimization Initiative (MOI). The MOI was created to run community-driven collaborative customer experiences, backed by thought-leading merchants and systems integrators (SIs).
Utilizing a community-based initiative, HiConversion works at the scale required for collaborative optimization — learning, adapting, and improving in real time to realize the mobile revenue opportunity.
How does collaborative optimization work?
SIs and merchants utilize a standardized approach including a library of preconfigured experiments, anonymized data, a unified experience analytics database, and automatically adaptive testing.
The core of the standardized approach is a library of over 120 (and growing) preconfigured experiments that are simple to run and provide a common approach to enabling collaborative analysis. The preconfigured library enables each merchant to deploy, test and learn on their own site at an astronomically faster pace than they could individually.
As experiments are tested by the community, high performers are identified and added to the MOI’s roster of revenue-boosting templates.
Of course, merchants running the same test doesn’t solve anything unless the data can be aggregated, anonymously, for collaborative analysis. HiConversion’s modern, unified, big data architecture is designed to support a community initiative. Not only does the platform enable collaborative analysis and learning, but with a comprehensive range of out of the box customer experience analytics, it allows you to gain deep insights into your unique customer experience and path to purchase. A win/win!
Who is behind the Mobile Optimization Initiative?
Partnering with Magento, BigCommerce, Shopify, Salesforce Commerce Cloud, PayPal, HiConversion and other leading SIs and eCommerce platforms, the community has delivered an average 9.28% lift for participating merchants across 6 million transactions and $500 million in mobile revenue. Every merchant has valuable insights that can contribute to revenue lift, whether it is a winning treatment or not.
How can I join the collaborative optimization community?
Becoming a member of the initiative is easy. Visit the Mobile Optimization Initiative site and begin your journey to creating a better shopping experience for your customers.
HiConversion is the only Collaborative Customer Experience Optimization (C-CXO) platform that combines embedded analytics, adaptive algorithms, and standardized experiments to maximize the revenue per visit (RPV) of your online store. HiConversion is the official platform of the Mobile Optimization Initiative, a movement by Magento, BigCommerce, Shopify, Salesforce Commerce Cloud, PayPal, and other eCommerce leaders to close the mobile revenue gap.