We are extremely proud to release a brand new feature in Visual Website Optimizer: Revenue Tracking. This is a significant new development for our product because it means now in addition to tracking conversion rate (for multiple goals such as clicks on links, visit to pages, form submissions, engagement, etc.), you can track various revenue metrics as well (including revenue per visitor, total revenue, average order value, etc.)
Why you should track revenue in your split tests?
Revenue tracking for A/B split tests is utmost important when a monetary transaction is involved (either immediately or at the end of conversion funnel) and a conversion goal may have different monetary values. In some cases, higher conversion rate may translate into lower revenue, so basing all decisions merely on conversion rate can lead you to choosing a variation that actually decreases your revenue.
Let’s imagine that a software / eCommerce company is running a split test on pricing page where (in a variation) lowest plan of $2o has been removed. For example, imagine running a test such as below:
If you just measure conversion rate, you can expect to see following results (lower conversion rate for variation since we removed smallest plan in it):
- Control (original page): 1.2%
- Variation (smallest plan removed): 0.8%
However, if you start measuring revenue for this split test, you can see that variation actually resulted in higher revenue per visitor:
- Control (original page): 28 cents per visitor revenue and $1400 total revenue
- Variation (smallest plan removed): 36 cents per visitor revenue and $1800 total revenue
Naturally, you would want to choose a variation which results in higher per visitor revenue even if total number of conversions and conversion rate decreases. That’s why revenue tracking is so important for A/B, split and multivariate tests. It lets you measure impact of your test variations on a metric that drives your business: revenue.
How to do Revenue Tracking in Visual Website Optimizer
We believe revenue tracking shouldn’t be hard and that’s why we have tried to make it dead-simple to implement it in Visual Website Optimizer. All you need to do is this:
- Create A/B, split or multivariate test
- On goals page, select ‘Revenue Tracking’ as goal and enter the URL of the goal as the page where you will have access to visitor’s revenue number (it is typically available on thank you page after a successful payment / transaction)
For example, if the page where we redirect after successful plan purchase is http://visualwebsiteoptimizer.com/thank-you.php then all we need to do is to copy-paste default VWO code there and also output following code:
<script> var _vis_opt_revenue=49; </script>
Of course, the value of revenue (49 in this case) will change dynamically depending on actual revenue generated by the visitor. If you already have revenue tracking setup with your web analytics tool (such as Google Analytics), extending it for Visual Website Optimizer should be a piece of cake. If not, just ask your IT guy, he would know where and how to output revenue for tracking. All in all, implementing revenue tracking in Visual Website Optimizer is quite simple.
How do Revenue Tracking reports look like?
Once revenue tracking is in place, you will see extensive reports like following:
As you can see, reports show you various metrics for different variations:
- Revenue per visitor (the basic metric that determines performance of variation)
- Total revenue
- Total number of conversions (you can calculate average order value as Total Revenue / Total conversions)
Hope you like this new feature! Let us know if you need any help or assistance with revenue tracking in Visual Website Optimizer.