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A/B Testing

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πŸ“‹ Definition

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A/B testing platforms enable e-commerce businesses to run controlled experiments on website elements, user flows, and marketing campaigns. Features include visual editors for creating variations, traffic splitting, statistical significance calculations, multivariate testing, personalization rules, heatmaps, session recordings, and detailed analytics. These tools help optimize product pages, checkout flows, pricing strategies, and promotional offers through data-driven experimentation.

πŸ’° Revenue Model

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Revenue model: (1) Monthly subscriptions from $50-$2000 based on monthly visitors and features, (2) Tiered pricing with increasing traffic capacity, (3) Premium features like multivariate testing and personalization, (4) Enterprise plans with custom pricing for high-traffic sites, (5) Professional services for experiment design and analysis, (6) Training and certification programs, (7) API access for custom integrations. Some platforms offer usage-based pricing per tested visitor.

πŸ“Š Key Performance Indicators

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  • Test Completion Rate

    Tests reaching statistical significance

  • Win Rate

    Tests showing positive results

  • Average Conversion Uplift

    Mean improvement from winning tests

  • Revenue Per Visitor

    Incremental revenue from optimization

  • Test Velocity

    Experiments launched per month

  • Implementation Speed

    Days from idea to live test

🏒 Key Players

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Optimizely, VWO, Google Optimize, AB Tasty, Convert