Loyalty Builders Launches Multivariate Testing Service
Posted on April 7, 2016 by Loyalty Builders
Multivariate Testing Service (MTS) will allow companies go beyond traditional A/B split testing and test multiple variables in a single test.
PORTSMOUTH, New Hampshire – March 25, 2014 – Loyalty Builders, a pioneer in the fast-growing field of customer analytics, today announced its Multivariate Testing Service (MTS), which will allow companies to go beyond traditional A/B split testing and test multiple variables in a single test. Testing is generally conceded to be the best way to improve the performance of marketing campaigns, and testing multiple variables makes improving marketing performance faster, easier and less expensive.
Developed in the 19th century, multivariate testing is mathematically intensive. Without computers to do the calculating, it has remained a known, but largely unused marketing testing technique until recently.
Traditional A/B split testing changes only one variable when testing marketing materials, such as email messages, postcards or catalogues. Variable factors include targeting, price, discount, subject line, graphics and any variety of other factors. Changing one factor at a time (OFAT) makes interpreting results relatively easy. But doing a series of one-factor tests that deal with all possible variables in advertising and marketing campaigns is virtually impossible. Testing all variables that could affect response rates and customer retention that way would simply be too expensive and time consuming.
The Loyalty Builders Multivariate Testing Service is an easy way to get better “go-to-market” information, and get it more quickly. Loyalty Builders designs the tests and scores and interprets the results; its clients do the marketing. After a company creates its campaign materials, it selects the factors it believes are critical to the campaign’s success. The company then works with Loyalty Builders who designs a test using these factors. Loyalty Builders does the math behind the results scoring, then delivers a report detailing how customers respond to each of the variables.
“The best targeting in the world can be far less effective if it is coupled with untested collateral,” said Mark Klein, CEO and founder of Loyalty Builders. “By understanding exactly what variables work and which ones don’t, companies save money and time and marketers are able to deliver the most impactful message to the best targeted customer.”
For 15 years, Loyalty Builders has been supplying its clients with fine-grained intelligence about customers, said Klein. The firm’s core product, Longbow 2.0, is designed to help marketers analyze the buying behavior of every individual customer to deliver precise up-sell and cross-sell opportunities.
Companies can learn more about the Multivariate Testing Service here. The Multivariate Testing Service is a fee-based service offered separately from Longbow 2.0. The service will take marketers to an even higher level of campaign performance given the precise nature of the research methodology.
About Loyalty Builders
Loyalty Builders was founded in 1999 to help businesses gain more revenue from their existing customers. The company’s customer analytics solution, based on customer transaction data, gives marketers actionable and individualized customer insight. This leads to more efficient use of marketing dollars, higher response and retention rates and increases in revenue. Learn more at www.loyaltybuilders.com or follow them on Twitter (@loyaltybuilders).