Using Paid Landing Pages for Increased Conversion Rates
Clarkston Consulting recently partnered with a client on a digital product testing project. This client recently became a unicorn ($1+ billon valuation) in the health supplement direct-to-consumer (DTC) space with a goal of increasing its user experience and increasing conversion rate of customer purchases. The client engaged Clarkston on a digital product testing assessment, which turned to implementing best practices and testing execution of multiple purchase funnel conversion tests.
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The Clarkston team quickly assessed gaps in the product testing process and aligned on a strategy implementing best practices for A/B testing, interpreting results, and implementing iterative changes. As a result of these efforts, this client saw incremental conversion rate increases in their front-end consumer experiences and along their sales funnel. One of the most dramatic results in the series of iterative tests was the change of paid marketing channels, specifically Paid Search (SEM or Search Engine Marketing) from the homepage as the main serving URL to a paid landing page optimized for user experience and monetization, which resulted in a sustained +101% conversion rate (CVR) increase. Because the client has a mainly direct response-driven strategy, SEM accounted for roughly 25% of their incoming traffic go-to-market strategy, which meant real returns in both topline revenue and efficiency in their cost to acquire customers (CAC).
Throughout our partnership, the client gained key insights into scaling a product testing team and various inputs needed to accelerate the program. There were many quick wins, which led to increases in business performance and unit economics of customer purchases as well as long-term strategic tests that can be correctly prioritized within the business. Clarkston’s industry knowledge played a key role in the process, helping mature the product testing program for future business success.
