When experimentation starts as a solution to raise ROI: The pitfall of not having the right scope for experimentation
Experimentation in organizations often starts with the marketing department hiring an agency to raise the ROI of their marketing efforts. Scaling experimentation in the whole organization leads to a larger quantity of experiments, preventing changes without testing, thus making better decisions, and reducing risk. However, we have learned that broadly scaling experimentation has negative effects on the marketing departments KPI of more revenue, which is preventing experimentation from scaling up.
The main objective of this paper is to make organizations aware of this Catch-22 when starting experimentation with the scope of raising ROI. We want to convince marketing departments, their agencies, and their vendors that if experimentation starts at marketing, then they need to create more awareness for the full power of experimentation by presenting all the results including the more common inconclusive and negative outcomes of experiments.
Our learnings suggest that this awareness must lead to budget and resources for a stand-alone experimentation Center of Excellence (CoE) outside of the marketing department, that different (not ROI focused) KPIs are needed when scaling up experimentation, and that specific organizational conditions must be met to maintain a future-proof set-up.
Tue 14 JunDisplayed time zone: Amsterdam, Berlin, Bern, Rome, Stockholm, Vienna change
16:30 - 17:45 | Industrial track session 1Industrial Track at Tuesday track 1 (Kelvin and online) Chair(s): Lucas Gren Chalmers | University of Gothenburg | ||
16:30 15mTalk | When experimentation starts as a solution to raise ROI: The pitfall of not having the right scope for experimentation Industrial Track Ruben de Boer Online Dialogue, Shirley van Haalem Online Dialogue, Desiree van der Horst Online dialogue, Ton Wesseling Online Dialogue Link to publication DOI | ||
16:45 15mTalk | On the Use of Causal Graphical Models for Designing Experiments in the Automotive Domain Industrial Track | ||
17:00 15mTalk | Significance of Continuous Compliance in Automotive Industrial Track | ||
17:15 15mTalk | Enforcing Consistent Code Style in a Repository While Allowing Developer-Specific Preferences in Local Workspaces: An Experience Report Industrial Track DOI | ||
17:30 15mTalk | Offline Assessment of Interference Effects in a Series of AB Tests Industrial Track |
Link to join: https://eu01web.zoom.us/j/65770928813?pwd=R0FqVFQyNC9Oc2hDV0wvQ2pKaXhidz09