Data to Dollars: Maximizing Profit with Amazon’s Native A/B Testing Tool
Not as fast as their delivery service, but worth the wait.
We asked Rob Russell, Head of our Amazon team: Is eight weeks too long to wait for data results from Amazon’s native A/B testing tool?
“Honestly, no. Data-backed decision-making is foundational to our Amazon strategy at Pilothouse. Ultimately, to trust that a change is worth implementing — and will actually drive additional revenue — data needs to be statistically significant. Depending on your traffic, that may take up to eight weeks to occur.”
Like all channels, experience affords you the knowledge to understand what to feed the machine in order to get the most out of it, Amazon A/B testing is no stranger to that mindset.
The Study
We reviewed 24 of our recent Amazon A/B tests to see what kind of results they delivered. Conversion increases varied from 1% to 91%, but even the 1% lift still resulted in an additional $10K in annual revenue, and no matter the account size, we’ll always take an extra $10K in ‘free’ revenue.
Overall, we saw:
- Average Conversion Increase of 23%
- Average Monthly Revenue Increase of $7,893
- Annualized, that’s $2.2M in revenue driven by Amazon’s native A/B test tool.
Conclusion
Channel expertise fueled by Pilothouse helps DTC partners get the most out of each machine, in this case Amazon’s A/B testing tool. Learn more about how we scale aggressively (and sustainably) on Amazon here.
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