Data Driven Decisions meet Psychology

Guido Jansen

October 24, 2017 20:00 CDT

Todays Topics

  • why psychology is important when selling online;
  • how to build an optimization team;
  • how to work on your optimization culture.

Link with all slides + notes + extra content will shared at the end

Practical notes:

Follow the slides live in your browser at

gui.do/live-at-nomadmage

Persuasive
E-commerce

@guido | gui.do | x@gui.do

11.000.000 bits/ sec

20 Watts

0.0004%

99%

>95%

YOUR BRAIN NEEDS TO "FIX" REALITY

How does the brain

"fix" reality?

Heuristics!

Which Lead to

Loads and loads of Biases

Pick a number

Let's try this...

1, 2, 3, 4

WHo picked 3?

Around 60% does!

Data informed

Usability Testing

 A/B  Testing

Talk to the brain

Use the biases

Title Text

Heuristics

Information

overload

Need to

act fast

What should we remember?

Lack of

information

Information Overload

There is just too much information in the world, we have no choice but to filter almost all of it out.

lack of information

The world is very confusing, and we end up only seeing a tiny sliver of it, but we need to make some sense of it in order to survive.

 

Need to act fast

We’re constrained by time and information, and yet we can’t let that paralyze us.

What should we remember?

There’s too much information in the universe. We can only afford to keep around the bits that are most likely to prove useful in the future.

500+

Heuristics

Information

overload

Need to

act fast

What should we remember?

Lack of

information

A/B test examples

on several e-commerce websites

Information overload:

Placement (and clarity) of costs

14.5% CR

16.3% CR

12.5% Uplift!

Information overload:

Addons on the product page

15.87% CR

18.23% CR

14.9% Uplift!

Need to act fast:

Direct checkout option

Directly go to checkout

€2.7 - 5.2M extra yearly profit

Information overload:

Why should I buy here?

Old version, on bottom of the page

New version, on top of the page

Conversion uplift: 5.3% (p =0.0361, Power  89,6%)

€278K - €453K extra yearly profit

Euroflorist.com: 25% successrate

Booking.com: 10% successrate

Unfortunately, not all experiments are a success

Euroflorist: 10-20 concurrent tests

Booking: 1000+ concurrent tests

and then there's experimentation bandwith

Image sources

Noun Project

  • Brain - Sergey Patutin
  • Line Graph - Robbe de Clerck
  • Head brain - Blake Ferguson
  • Website wireframe - KΛPKLΛM
  • Cognitive Bias Codex - John Manoogian III &  Buster Benson

@guido | gui.do | x@gui.do

gui.do/nomadmage

Data Driven Decisions meets Psychology

By slidescom@gxjansen.com

Data Driven Decisions meets Psychology

During the Nomadmage session, Guido will show you... 1) why psychology is important when you’re selling online, 2) how to build an optimization team and 3) talk about optimization culture. A lot of practical real-life experience will be shared and we will also get a peak into how Guido is experimenting with AI systems.

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