Mastering PPC Optimization: Strategies for Success

PPC optimization may be a piece of cake, if you’re long enough in the game and you have experience with making swift decisions based on data.

But, it can be more challenging, if you’re at the beginning of your paid digital adventure. Or, if you have reached the moment of: “OK, I’ve done everything to refine my campaign setup, and it still doesn’t work”.

In this technical guide, I will share my hands-on insights and tips for improving your PPC campaign performance.

Make sure the content is relevant

Before you set up your campaign and switch on your ads, make sure the content on your landing page is spot on.

First, there must be a match between the ad’s messaging and what’s written on the landing page. It may seem obvious, but often there’s a disconnect at this fundamental level, which makes potential customers confused and eager to bounce from a website.

Second, double down on your content’s quality and credibility. Collaborate with your writer and designer (either internally or externally) to deliver:

  • comprehensive and specific product or service descriptions
  • high-end images and web design
  • clear benefits for customers
  • simple pricing
  • company’s contact information and terms and conditions.

Plan your campaign budget

Ask yourself a question and be honest — how much money do you have for your PPC advertising campaign? 

You must be realistic and plan your budget according to your financial capabilities. Running sponsored display campaigns all over the Internet won’t take you anywhere close to your business’s incremental gains. 

Instead of burning your campaign budget and achieving poor results, rationalize your spending.

Choose your digital marketing channels

There are a lot of online marketing programs out there to drum up your website traffic and sales figures:

  • Getting high-intent organic traffic from search engines. And I don’t only mean the good-old Google. There are other players you need to have on your radar: DuckDuckGo, Bing, Yandex, YouTube, or Amazon.
  • Organic social posts — although the key social platforms (especially Meta) keep changing their algorithms to trim the reach of organic posts, brands, and solopreneurs still achieve remarkable results on LinkedIn or TikTok.
  • Email marketing — is an absolute must-have for all brands. Whether you’re operating SaaS or e-commerce, email marketing is a powerful channel to drive leads and sales and onboard and retain customers. 
  • Affiliate marketing — having an attractive and robust affiliate program on your website can generate a stable stream of new customers.
  • Review platforms — if you’re in the SaaS game, building your presence in G2, Capterra, TrustPilot, TrustRadius, is substantial. Your competitors are there. And so should you. 
  • Paid search — the second one is about bidding on commercial keyword terms important for your business and getting listed with a compelling text ad at the top of search engine results.
  • Paid social — one of the pillars of successful PPC campaigns is running sponsored content on Facebook, Twitter, LinkedIn, Instagram, YouTube, Quora, Xing, and TikTok.

As you progress, it’s worth being active in most channels and optimizing ways to reach your potential customers. 

One of the most efficient channels is email marketing. So, implementing marketing automation workflows should be on your priority list. All other marketing channels should be orchestrated in a way for email marketing to be the final stage of the customer journey.

Plus you need to effectively juggle with different content formats:

  • Articles
  • Text ads
  • Graphics
  • Videos
  • Events
  • Newsletters
  • Product descriptions
  • Email blasts
  • Infographics, etc.

Your PPC campaign optimization will come naturally due to deploying all activities and content assets. You only need to monitor the metrics and allocate more budget where you can see a lower Cost per Acquisition (CPA).

Set up your campaign goal

Match the campaign goals settings in ad managers to your own goal you want to achieve:

Conversions

What I mean is all activities users take on your website as an effect of interacting with your advertising campaigns. And those boil down to: 

  • purchasing a product
  • adding a product to the cart
  • booking a product demo call
  • filling in a contact form
  • ebook download
  • newsletter sign-up
  • interacting with specific content on your website, etc.

Web traffic

Another goal of your campaign can be simply increasing traffic to your website. Let’s say you just rolled out a new home page or a set of product or feature pages. 

And instead of waiting for each of them to start ranking for relevant keywords, you want to get crowds of visitors through an optimized PPC campaign strategy. 

Community building

However, if the idea behind your PPC optimization campaign is about building engagement and growing the community of your followers on social media, you can calibrate your campaign towards that goal.

From my experience, it works perfectly if you promote organic social posts through sponsored display ads. This way, you optimize for building a tribe around your brand.

Watching a video

Suppose you want to drive your target audience to watch a video ad, and this activity is more important than visiting your website or conversion rate. In that case, you should define it as a goal and measure that metric precisely. 

In that approach, you achieve a more comprehensive range of audience (videos are “algorithm friendly”) and should focus on time engagement with engaging communications from recordings rather than conversions or clicks. 

Be clear about your goal

Setting up a goal is crucial to optimize PPC. Why? Let’s say, you’re about to deploy a Black Friday promo campaign. If you define advertising reach/coverage as a campaign goal, you will not be able to meet the sales goal quantitatively.

Look after your time parameters

Define a strict time frame for promotion. More simply put — from when to when the ads should run. This way, you’ll avoid displaying ads when you don’t want them. It is a healthy prevention to avoid burning your budget.

Optimize your ad display schedule

  1. Accelerated vs. Standard: An accelerated schedule quickly consumes the daily budget — even within an hour or two. It can be a good option for SaaS businesses, as customers have a higher purchasing potential throughout the day. However, a standard schedule, where the budget is spent over 24 hours, is a proven method and worth implementing.
  2. Days of the week: You should think about running your ads seven days a week, Monday to Friday, or on selected days. In many industries, Fridays tend to be less effective. If your results drop on Fridays, decrease promotion intensity and bring it back to full speed on Mondays.
  3. Hours of the day: User activity increases from 5 to 7 in the morning, then often at 9 AM. Lunchtime is usually a period of decreased activity, so that you might allocate fewer funds during this time. You can expect increased activity among small business owners during afternoon and evening hours (4 PM – 8 PM). So, investing more money during these periods can be a great idea.
  4. Combination of hours on specific days: Individual optimal time ranges will emerge during the promotion. Identify the best time ranges for each day and adjust them in the settings to allocate the budget accordingly.

Your target audience’s characteristic vs PPC optimization

Now, it’s time to discuss optimizing the ad schedule for PPC campaigns to maximize their effectiveness. We will focus on several key aspects to consider when planning a campaign:

  1. Location: Defining the geographical area where ads should be displayed is crucial to target ads to the right audience. Instead of choosing an entire country, consider focusing on the largest cities or, conversely, on less populated areas that may require courier delivery or online shopping.
  2. Language of the audience: A good practice is to match the language of the ad to the language of the audience. If the ad is in French, it’s advisable to target French speakers, especially in multilingual countries.
  3. Demographics of the audience: It is essential to consider demographic factors such as gender, age, or social status. For example, when promoting language courses for children, it’s worth directing ads to mothers, who often decide to enroll in such classes. Similarly, advertising gardening tools targets men who make these purchases more frequently.
  4. Targeting by a hierarchy of importance: Ads can be directed based on various criteria such as keywords (popular and long-tail), job positions, employers, thematic groups, skills, or interests. Choosing the criteria that best match the ad to the target audience is essential.

Consider these four aspects when planning and optimizing the ad schedule for PPC campaigns. It will help target ads to the right audience, increasing their effectiveness and achieving better results. 

Apply Exclusions in PPC

Using exclusions is an essential part of stellar PPC optimization. Start by excluding unwanted keywords (e.g., free, subsidized, opensource), followed by undesirable phrases users have entered in search engines (check the „searched terms” report).

Additionally, consider implementing the following exclusions for PPC optimization in prospecting:

  • Exclude remarketing: Remove those who have already purchased, have seen the ad multiple times without converting, interns and juniors, or those seeking free solutions.
  • Exclude problematic contacts: Create a list of spamming users or demanding customers, suspicious IP addresses, people who haven’t watched a video to the end, and so on.
  • Exclude inappropriate content: For serious businesses, avoid directing ads to content that is drastic, erotic, shocking, or otherwise not suitable for the message you’re conveying.

Invest in external tools to prevent suspicious ad clicks, such as click fraud software like ClickCease, TrafficGuard, or ClickGuard. These tools usually block IPs with excessive clicks, helping you avoid wasting significant ad money and improving ad quality.

Simultaneously test the potential of different audience groups by running paid content. Let’s play with potential business software clients’ examples. Here, you can use:

  • Remarketing to those who wanted to buy but didn’t (add to cart),
  • Remarketing to visitors of pricing and/or important blog articles subpages,
  • Remarketing to lower-value customers (who tested software long ago) to convert them into higher-value customers,
  • Prospecting „lookalike” audiences based on who had bought your software (good practice is to launch both lists based on email lists and url conversions),
  • Prospecting people interested in “enterprise software”, “software as a service”, “small business software”, “business intelligence tools” and similar keywords.

Consider and list the audience groups you have.

For display network campaigns, exclude inappropriate websites or apps or provide no advertising value beyond impressions (such as children’s games, gambling apps, or trendy gadgets among young people). 

Look after the physical ad placement on social media

There’s no need to bother about placing your ads everywhere, especially for beginners. In practice, however, one placement is crucial: the newsfeed (feed). For PPC optimization, you can disable the rest of the placements or keep only the stories.

Devices — mobile or desktop?

In recent years, the „mobile-first” approach has dominated website traffic, and it’s true for most businesses. However, some companies see more sales or cheaper conversions from desktop devices. 

For PPC optimization purposes, you can either disable targeting on mobile devices or significantly reduce (-X%) spending on them.

Juggle with different ad formats

Ad formats play an essential role in PPC campaigns. Let’s break them down:

For the last couple of years, marketers have been repeating a mantra of „this year will belong to video”. Social media algorithms indeed adore video content and can help you boost your reach. But ensuring it aligns with your advertising objectives is essential since it might not always be super effective.

When it comes to search engine text ads, they’re reliable and effective but can be costly. They might not work as well in display networks or social media, where they can generate many impressions but few conversions.

Product ads in the Merchant Center can be a game-changer for e-commerce businesses, often being more affordable than text ads.

Carousel ads on social media? Definitely worth a shot – they’re pretty effective! As for single-image ads, they’re a classic and versatile option you should try to use whenever possible. I recommend simultaneously emitting more carousel ads with 2-3 images than one with 5-6 images because the further image is much less viewed and clicked.

Lead ads can be great for generating leads, but be mindful of their cost-effectiveness, as they can get pricey. The longer it goes on, the more spam it will catch. It is better to use short periods.

Display ads in the Google Display Network (GDN) might get you plenty of impressions and clicks, but they’re not always the most effective option. I suggest using display ads as an additional format or an extension to other advertising formats you have introduced in your campaigns.

Flexible ads in Google combine the power of text and visuals, making them a time-saving and effective advertising choice.

InMail Ads on LinkedIn are interesting because they allow for solid personalization. Just remember that crafting an engaging message is critical.

If your business relies on voice communication with potential customers, pay attention to ads with phone calls and WhatsApp.

Experiment with other formats

Lastly, feel free to experiment with other ad formats like smart, DSA, discovery, and spotlight ads. They might not always be the perfect fit, but it’s worth giving them a try.

Remember, it’s essential to evaluate each ad format’s suitability for your specific goals and tweak your PPC campaign for the best results.

Experiment with persuasion in messaging

When it comes to ad messaging, don’t be afraid to get persuasive and creative! A lot of times, ads are just too generic and don’t encourage people to take action. 

So, how can you make your ads stand out and really connect with potential customers? Here are a few ideas to consider:

  • Limited availability: Make your offer feel exclusive by mentioning that there are only a few items left, like the last 20 items, the last two hotel rooms available, or just 50 pairs of shoes available nationwide.
  • Time constraints: Add a sense of urgency by specifying that the offer is only valid for a limited time, such as until the end of the week or with a reservation deadline at 11:59 PM on a specific date.
  • Offer type: Is your promotion a first-minute or last-minute deal? Or perhaps you want to play with the exclusiveness of a specific channel – for instance, your potential clients come across your video ad on Facebook, offering a 10% discount on your product. Emphasize that this deal is only available here, and not on LinkedIn or Instagram.
  • Additional benefits: Sweeten the deal with extra perks, like a free add-on purchase, longer usage time, free of charge consultation hours, a recording of a meeting, or a certificate or membership card.
  • Discount: e.g. -20% for the annual package or -10% on our “4th birthday”. I do not recommend promoting offers at a discount for a fee because the profitability of the venture drops sharply.

By using these persuasive techniques in your ad messaging, you’ll have a better chance of inspiring potential customers to take action, making your advertising campaign that much more effective.

Extra tips for optimizing your PPC campaigns

When it comes to optimizing your PPC campaigns, it’s essential to keep an eye on your results and profitability. 

Don’t just rely on ad managers; use tools like Google Analytics and your own database systems to get the full picture. 

Keep tabs on important metrics like CPA (Cost Per Acquisition), ROI (Return on Investment), and ROAS (Return on Ad Spend) to see what’s working and what’s not.

Here are some helpful tips to keep in mind when optimizing your PPC campaigns:

  • Timing is everything: Make optimization changes as soon as a day after launching a campaign. Start by evaluating performance daily. Then, switch to a weekly basis, comparing weekends to weekdays. Be sure to consider seasonal changes, too!
  • Set limits, but do it wisely: Gradually lower your CPA limits to avoid hindering the advertising algorithm’s learning capabilities. This way, you can focus on increasing profits without causing any hiccups.
  • Time is money: Remember, the time spent managing ad campaigns is also a cost, so be mindful of how you allocate your time.
  • Don’t copy and paste: Avoid duplicating the same strategies across different channels, as they may behave differently and require tailored content.
  • Test, test, test: Conduct A/B tests to identify which variables affect results (text, graphics, pricing, landing page, audiences, variant of the offer, e.g. single product or set?) and keep the best-performing ad variants while pausing weaker ones. Always be on the lookout for ways to create even better ads!

Time to drum up your advertising results!

In a nutshell, PPC optimization is an ongoing process that needs your attention. There’s no such thing as a perfect, self-improving system. So, if you’re serious about performance marketing, always be ready to analyze and adjust the parameters you can control. Stick to these tips to help rationalize advertising expenditures and prevent unnecessary financial losses.

If you need help — Cayenne Flow agency can manage and optimize your next PPC campaigns. Drop us a line or book a call today!

A/B Testing on Steroids: Improve Your Email Engagement with AI Multivariate Testing

It’s very likely that during your marketing team meetings, you spend way too much time discussing whether you should use an emoji in your subject line or include a colorful CTA button to attract your subscribers. 

What if I told you that there is a data-driven method to experiment with your email testing ideas without wasting your time and eliminating guesstimation from your workflow? 

Let’s get to it!

Yes, using elements of humor may work on the subject lines better. A picture of a smiling person in your hero section might be a good trigger for clicks, or a video in your email body could help with conversions. Some of your nerdy team members could even go further and show you some research to prove their point. 

Although it is great to have creative ideas for your email campaigns, they are all based on intuition or gut feeling. 

Moreover, you may not know if those ideas are a good fit for your audience until you fully execute them.

Why marketing experiments are essential

To find out what really works for your email marketing goals, audience, and customers, you need to consider new campaign ideas and test different variations. The best way to stay innovative and  relevant with your audience is to conduct experiments to calibrate your email marketing program. 

In today’s data-driven era, you no longer need to depend on guesstimation where you “believe” a concept or a theory. You can prove the value of your marketing experiments, and it can lead you to make critical business decisions and set growth strategies accordingly. 

If you don’t have a well-defined marketing experiment and testing methodology, you will  be shooting in the dark with your actions. In a way, you’d be gambling with your time and resources. 

Successful marketing teams can back their decisions with analytics, prove the effectiveness of their campaigns, and know very well what’s profitable (and what’s a no-go!). Once you create a data-driven marketing experiment and testing model, you take the first step to optimize your strategies and improve your marketing performance.

Email veterans would know it very well: sometimes, market conditions or regulations may force marketers to push for innovation. Remember GDPR, CCPA, or even the recent Apple Mail Privacy Protection updates? They have all been involuntary innovation triggers for email marketers. Adopting an experimentation mindset (voluntarily) will bring you on the path to innovation and help you stay profitable in today’s very competitive business environment. 

“Test it before you send it” 

As email marketers, we always say: test it before you send it. The #emailmarketing hashtag on Twitter and Linkedin is full of stories where marketers sent a newsletter with several mistakes in it. Sometimes it remains a funny memory, and brands manage to recover with a follow-up email. 

Well, there are also cases of premature sending without eliminating email mistakes, and nobody wants to remember them. It is also crucial to test your email messages to make sure that they are free from:

  • grammar mistakes,
  • typos, 
  • broken links,
  • or any other structural issues. 

Email marketing undergoes a constant transformation. Consumers are increasingly demanding a valuable inbox experience. Moreover, their expectations change rapidly, and marketers must adapt to their customers’ expectations and keep their engagement high. It is fair to say that the most fundamental reason for marketers to test their email campaigns is to fine-tune for their audience. 

As many as 55% of marketers rarely or never test their email campaigns. If you’re reading this article, congratulations, you’re on the winning team! 

In the rest of the article, we will cover:

  • the importance of email testing, 
  • which email testing methods to use, 
  • and how to find the best combination of message components for your next email campaign. 

Which email components should you test?

The exciting fact about email testing is that there are so many email components (or scientifically, “factors”) to test, more than just subject lines or CTAs. Email marketers can easily experiment with different versions of email components and measure how they perform. 

Obviously, you cannot test everything because sometimes it wouldn’t make sense or you simply need to put your efforts into generating the highest impact on your revenues.  

Here are some testing ideas for various email components:

Sender name and sender address

When a subscriber receives an email, one of the first things to look at is the sender’s name. Imagine how many email messages an average person receives every day. 

You can test the “from name” using your company/brand name or replacing it with one of your team member’s name. A “humanized” sender name may trigger more attention from your subscribers. 

Subject and preheader text

Did you know that 69% of email subscribers report email messages as spam solely based on the subject line? Probably, due to this reason alone, subject line testing is the most popular email component in the industry. 

According to a Litmus, businesses primarily test the subject line of an email – as many as 78% of marketers that run A/B tests, check the email subject line. Testing preheader text is becoming increasingly important since customers expect to see a compelling continuation of email subject lines.

Email body text

It’s all about capturing the hearts and minds of your audience. However, some might expect an informal and friendly text, while others might be interested in a formal and clear message. 

You can develop different variations of your email body text and use email testing to deliver an appealing tone your subscribers would like to read.  

Hero section image

Subscribers LOVE consuming visual content. Depending on your brand’s audience, you can test many email hero section image variations. Maybe your audience would respond better to lifestyle images than product images? 

Consider testing larger vs. smaller product images, color combinations, and positions. Sky’s the limit when it comes to finding out the aesthetics of your subscribers. In recent years, brands occasionally share user-generated images to attract subscribers. 

Call-to-Action

Having CTAs in your email can significantly boost your conversion and bring you the best results. Brands often test CTA buttons vs. links or design elements like button size, style, text, etc. 

Moreover, the placement of a CTA button in an email message might be a game-changer based on the clicking patterns of your subscribers. 

Sending time

Email subscribers engage with your campaigns at their own pace. Brands experiment with different sending times for certain segments to address specific campaigns at certain events, such as Holiday Season campaigns. 

Almost all marketing automation systems offer Send Time Optimization (STO) features today. However, brands may have exceptions. For instance, if you have a store, you may not want to send emails when your locations are closed. 

Another example can be regarding call centers. Limit your email sending time with your call centers’ operation hours and capacity. Otherwise, you may overload your team, and your customers will not be happy waiting on the line. 

Similarly, for ecommerce & retail companies, using STO for a flash sale campaign is nonsense since the promotion is intended to be within a three-hour window. Nobody wants to get a flash sale message after the sale event is over.  

What do you need to do before email testing?

1. Identify the problem you want to solve

Email testing requires good planning and resources. If you’re up to starting a test, you may want to have a good reason. Otherwise, there are better things to do in life. 

What brings you to this stage is the need to answer a question or solve a significant problem. You must identify the problem and define it very clearly. 

The next step is validating this problem with qualitative data. For instance, you observe high open rates with your email campaigns, but your CTR is very low. In this case, your email content doesn’t convert, which makes the problem you’re looking to solve.  

2. Define your hypothesis 

Once you determine the pitfalls and areas of improvement for your email campaigns, you can think of ways to solve these problems. To do this, you want to have a strategic hypothesis about why a particular variation might bring you better results than others. 

A basic structure for your email testing hypotheses may look like this: “if I change this, it will have this effect.” For instance, “changing my email template from only-text to a good -looking design will increase CTR because subscribers find a good blend of text and images more attractive.”

From our professional experience, we notice that many email marketers are too quick to start  email testing, and don’t use hypotheses. We strongly recommend defining your hypotheses since it allows you to build on previous testing results and use them for future improvements. 

3. Set clear goals

You want to clearly understand what victory means for you. Are you doing email testing to affect email revenues directly ? Is your final goal to increase the number of clicks or get more conversions or sales? 

 For instance, if you’re running a Black Friday campaign, getting a 10-20% uplift in your CTR would be a win! 

On the other hand, you should learn more about your audience and see how they react to the changes you apply. 

Usually, if you’re after getting to know your subscribers better, the results of these tests may not be drastic.  

4. Decide what to test 

At this stage, you can choose which email components you want to test. It’s crucial to have your test factors in line with your hypotheses. 

If you go with A/B testing, you want to test a single variable at once to get accurate and actionable insights. 

If you have enough email volume, you can test more than two variables at the same time against each other but with one condition: the variables you test must align with your hypotheses. 

5. Pay attention to the sample size

Before you run your experiment, you should ensure that you have the appropriate sample size for your email test. The ultimate goal of your experiment is to have reliable results so you can  tell which email tactic to deploy. 

In other words, you need a large enough sample size to reach statistical significance so that your results are not due to chance. For instance, a 95% confidence level for a test means that if you rerun the same test, you are 95% confident that it will yield the same results. 

If your test results don’t have a high statistical significance, your email marketing budget and subsequent campaigns are at risk. 

Once your findings are statistically significant, you can have confidence that your results didn’t appear randomly. You can manually calculate your sample size before you run your test. 

However, most marketing automation systems provide detailed information during the setup of an email test.

6. Handpick your test segments

Good! You make your college professor proud and calculate the sample size for your experiment. You need to consider two more important things when selecting your test audience segments. 

First, to compare your different test versions fairly, you should have similar segments composed of subscribers who share common attributes. For instance, if your version A has a segment with new subscribers, pick the segment for version B from new subscribers as well. 

Second, you should build those segments for different test versions from active subscribers. You can even match subscribers with similar or the same activity level. Imagine sending version A to an active segment, and version B to an inactive one. We can easily say that version A would be the winner, but your experiment would fail.  

7. Run a test drive before execution 

Before you click the button and start your email testing, it is recommended to have a quality assurance step. 

It involves running a test drive with a small number of subscribers to walk through the process and ensure your setup is done correctly. Don’t forget to involve yourself in the sample. 

8. Give your test the right time frame 

We often receive the question from brands: “How long should I wait for this experiment?”. 

The time frame may change, but the answer is always the same: You must wait until  your email test is statistically significant. It mainly depends on the test audience size and how soon they engage with your test emails. 

You don’t want to end your test prematurely before seeing  the results, which you will  analyze later. 

What are the email testing methods out there?

Modern email marketers are far away from decisions based on guesswork, but they have a scientific approach and rely on data. 

In a data-driven marketing team, the best way to eliminate uncertainty is to embrace email testing methodologies based on their email marketing strategy.

The most common email testing methods are the good old A/B Testing and AI-powered Multivariate Testing (MVT). Let’s have a closer look at them. 

A/B testing

A/B Testing – also called split testing – is the most popular email testing method, which compares the performance of two different versions of an email component (subject line, images, CTA, send time, etc.) to determine which version generates better results. 

Based on statistical analysis, A/B testing allows marketers to see which version works better for the target audience. A/B Testing is not just used to evaluate email marketing performance. 

The goal of A/B Testing is to reach email subscribers more effectively by optimizing email campaigns and delivering a better customer experience. 

If applied correctly, email marketers can see higher open and click rates, improved subscriber engagement, and ultimately better ROI from email marketing efforts. 

Researches show, that brands don’t only apply A/B testing to their email activities. They also A/B test their websites, landing pages, or paid search ads.

Which is a good thing, because testing across multiple marketing channels can help marketing teams to collect those results, and analyze them to execute combined strategies. 

For instance, if using a subject line spiced up with a little curiosity tone increases your open rates, you can implement the same copywriting tactic for your social media ads.    

Multivariate Testing (MVT)

Although more than half of successful digital marketers engage in Multivariate Testing, there is still some confusion over what Multivariate Testing (MVT) is, how it works, and what makes it different from A/B testing. 

Multivariate Testing is an email testing method that allows marketers to test different combinations of variables at once. The “Multi” in Multivariate Testing speaks for the term itself. 

Email components such as sender name, subject line, header, image, CTA, etc., can all be tested concurrently on a selected group of subscribers to determine which combination yields the highest results depending on the email metric used for performance assessment. 

MVT provides more insights to learn more about winning combinations instead of drilling down on a specific email component. 

The goal of Multivariate Testing is to: 

  • improve subscriber engagement, 
  • conversion from your emails, 
  • and ultimately, increase revenues through your email marketing campaigns. 

Even the smallest changes can make a huge impact on your results. MVT helps you automatically measure the impact of each email component you test. 

How does Multivariate Testing work?

Running an experiment with Multivariate Testing is very similar to A/B Testing. Again, we recommend the framework instructions above describing what to do before starting an email test. The main difference in running those two primary email testing methods is the number of variables you include. 

Thanks to the advanced marketing automation solutions today, the whole testing process is done by your system. Usually, the MVT setup is straightforward. Most solutions offer up to 4 email components to perform MVT. 

When configuring the test, you must select which email components you want to test. At this step, you may want to have the variations for each email component available. 

Once you create your test combinations, you must set your goals and audience size for this experiment. 

Some marketing automation solutions offer testing for a specific time, testing up to a certain number of subscribers, or having your test continuously. You may decide on the one that suits you best for testing purposes. After these final settings, you can begin the test! 

It’s very convenient for marketers since the system automatically determines the winning combination and deploys it to the rest of your audience. This hassle-free execution model eliminates the manual work and, obviously, the human error factor. 

Where does AI step in for Multivariate Testing?

We interact with Artificial Intelligence countless times every day without even noticing it. AI technologies make our daily lives easier as consumers and marketers. The benefits of AI in marketing are numerous, and AI integration in MVT is the next big revolution. 

AI integration allows email systems to analyze the subscriber feedback for each test combination of the MVT process. The AI solution presents the winning combination based on your test goals, and the most possible optimized combination can be deployed to the rest of your subscribers.

In traditional A/B Testing practices, the winning version runs until the statistical significance is reached and immediately deploys the winning version to the rest of your subscriber list. 

On the other hand, AI-Powered Multivariate Testing uses machine learning algorithms with a multi-armed bandit (or dynamic traffic allocation), automatically and gradually deploying the winning combination to your subscribers. 

This way, the most optimized message combination starts reaching your subscribers for better engagement which translates into more clicks and revenues for your email marketing program. 

Difference between traditional A/B testing and multivariate testing

What do you need before executing Multivariate Testing?

First of all, you need the right technology to perform Multivariate Testing. Without using the right technology capable of creating the testing workflow, execution and complex analysis, Multivariate Testing is virtually impossible. 

Once you have the technology in place, you need to know which problem or challenge you’re trying to solve and what insights you want to gain from your test. 

A common way to approach your Multivariate Testing is to ask yourself some preliminary questions. It will help you mentally prepare for the planning phase of your Multivariate Testing. 

  • Do our subscribers prefer minimalistic emails or long descriptive templates?
  • If we use a question in the subject line, does it help us get more opens?
  • Does using an authentic personal name as a sender name get more opens than our brand name? 
  • Do our subscribers find images or CTA buttons more attractive to click?

You can go ahead with those questions, but the main focus here is to adjust your test initiative toward rapidly changing customer expectations in email marketing. 

Although Multivariate Testing allows marketers to test as many email components as they want, there is a catch: you may want to prioritize the ideas most likely to get you the best results with the least effort.

The ICE score method by Sean Ellis can help you prioritize your Multivariate Testing goals. 

The ICE score has three parts:

  • Impact: How big of an impact do you think this might have? For instance, is testing a slight change in your subject line likely to have as big of an impact as testing the tone of your copy?
  • Confidence: How confident are you that this change positively impacts you? Testing proven tactics like personalizing the subject line is more likely to have a positive impact on conversions than changing the image style in your campaigns.
  • Ease: How easy is it to implement this test? For example, testing the word order of your subject line would take less than 30 seconds, whereas testing different image styles requires you to create multiple images with different styling and will generally take longer.

Do yourself a favor and consider the three elements of the ICE score to help you grade each idea and prioritize which ones you should execute first.

Tip: You can apply the same email testing framework described above from hypothesis creation to selecting the correct sample size. 

What are the Pros and Cons of MVT?

ProsCons
Allows marketers to test different combinations of email components in a single deployment, equivalent to performing several A/B tests.Slightly more advanced to implement compared to A/B Testing.
Provides marketers the insights to understand how different email components interact with each other. MVT doesn’t only let you know that one version is better than another, but it identifies which variables work together and how. Requires a significant volume to be statistically significant. If your subscribers’ list is too small to test all the email components you have in mind, you can start by testing fewer variations to eliminate the volume problem. 
Deploys the winning combination automatically and gradually which allows you to get the most possible clicks and revenues from your test.Needs the right resources in place since your team may need to create more variations of email components. 
Encourages marketers to be more creative since they can test many email components.Analyzing the MVT test results might be more complex than traditional A/B Testing. 

Over to you

Among many other AI-powered email marketing options, Multivariate Testing is fun to use, and it can undoubtedly bring you more insights about your email subscribers and, eventually, more revenues. 

Multivariate Testing is becoming increasingly accessible for modern email marketers due to  the rapid developments in the processing power and use of machine learning algorithms. 

We recommend experimenting with your email marketing campaigns as an ongoing process to stay “in the know” regarding your subscribers’ email preferences. It will allow you to increase conversions while you satisfy their aesthetic desires and content expectations. 

In short, Multivariate Testing is not a one-off process for your Black Friday campaigns but a vital part of your entire email marketing program. 

What are your experiences in running emails campaigns and split testing? Drop us a comment under this article!

And check out other articles on Cayenne Flow’s blog.

Editor’s note: Faruk Aydin is a seasoned and successful email marketer and a good friend of Cayenne Flow. He agreed to share the article he originally published on Inbox Suite’s blog. Here it is, after a round of editing and making it up-to-date.