Your working hard to get more traffic to your website, but you don't see an significant improvement in conversion. From growing competition to customer getting more online savvy, nowadays it's harder to turn visitors into consumers. Insight into what actually happens in your sales funnel is becoming more and more important. With concrete examples Jeroen Tjepkema, co-founder MeasureWorks, will show how much revenue the Dutch eRetail top 100 is giving away to their competitors if your website isn't optimized. Why do visitors click away, how to measure and what to improve? These topics and more will be adressed in this presentation at the Emerce Conversion Event on April 14.

2. @jeroentjepkema

3. How performance can impact
your conversion...
Conversion Event, 14 April 2011

4. The goal: Turn visitors into buyers

5. More conversion = More visitors

7. But if we look closer......

8. Why did customers drop off?
‣Price
‣Functional errors?
‣Performance issues?

9. Why did customers drop off?
‣Price
‣Functional errors?
‣Performance issues?

10. Why did customers drop off?
‣Price
‣Functional errors?
‣Performance issues?
What’s the business impact?
‣Lost customers?
‣Revenue risked?
‣In Euros?

11. Improve performance = Effective conversion?

12. Slow websites are bad for business

13. Keep the attention!
-
Engagement
+

14. Keep the attention!
-
Engagement
1 sec
+

15. Keep the attention!
-
Engagement
2 sec
1 sec
+

16. Keep the attention!
-
4 sec
Engagement
2 sec
1 sec
+

17. Keep the attention!
-
10 sec
4 sec
Engagement
2 sec
1 sec
+

18. Actual vs. Perceived

19. Actual vs. Perceived
Perceived load time
+ 15 % slower

20. Performance A/B test

21. Visitor Strangeloop Website
Decide whether
to optimize
Normal
Receive Accelerated
content
page
Insert
Process segment
scripts Optimize?
marker
Send
analytics Unaccelerated
Google Analytics

22. Here’s what they discovered....

23. Traffic levels
9.000
Total number of visits
6.750
4.500
8.505
2.250 4.740
0
Optimized Unoptimized

24. Average time on site
31
Time on site (minutes)
23
16 30,17
23,83
8
0
Optimized Unoptimized

25. Conversion rate / order value
20
Difference due to optimization
15
10
16,07
5
5,51
0
Conversion rate Order value

26. Performance by the numbers

27. 3 seconds

28. before60%
of online consumers
will click away
3 seconds

29. before60%
of online consumers
will click away
3 seconds
80% of them
will NOT return

30. before60%
of online consumers
will click away
3 seconds
Of these, 50% 80% of them
will tell others about their
will NOT return
negative experience

31. before60%
of online consumers
will click away Google SEO:
4 seconds
3 seconds
Of these, 50% 80% of them
will tell others about their
will NOT return
negative experience

32. 60% of all mobile user expect websites to
load as fast as in a regular browser

33. Impact on conversion?

34. 40
Page Abandonment
% Increase in
30
20 38%
33%
25%
10
7%
0
2 to 4 seconds 2 to 6 seconds 2 to 8 seconds 2 to 10 seconds
Change in page load time
Forrester research 2010

35. Every second delay can lead
up to 7% revenue risked
MeasureWorks Mobile Performance Meetup, 2011

36. Conversion Benchmark

37. Conversion Benchmark

38. Conversion Benchmark
a.k.a
How does performance impact the
conversion of the Dutch eRetail 100, in
terms of site speed and revenue risked?

39. Ingredients

40. Test subjects
Dutch eRetail Top100
=
Twinkle 100
Twinkle 100:
Top100 based on
revenue

41. Test tool
‣Measure Page Speed and Reliability
with real browsers (IE7 and Chrome8)
‣Test homepage per eRetailer
‣Test every 5 minutes from 5 locations
in Netherlands

42. Formula
Reliability Revenue - ( Revenue * % Uptime)
+
( Page load time - 3 ) * 0,5
Page Load time Revenue *
100
Revenue Risked
Formula page load time derived from: http://radar.oreilly.com/2009/06/bing-and-google-agree-slow-pag.html

43. Test results

44. Unavailable
Page load time > 4 seconds
Page load time < 4 seconds

45. Top 10 Best Converters
Page Speed Reliability Revenue
Nr. eRetail company
(sec) (%) Risked (€)
1 iBood 0,5 99,4 187.498
2 Alt
Alternate 0,6 99,5 272.872
3 Ticketservice 0,6 99,9 34.062
4 Thuisbezorgd.nl 1,0 99,9 46.874
5 Koopjeskampioen 1,1 100,0 0
6 AH 1,1 100,0 0
7 Nespresso 1,1 99,9 42.554
8 Dexcom 1,2 98,6 1.283.334
9 TNT Post 1,2 99,1 176.471
10 Selexyz 1,3 99,9 31.874

46. Top 10 Best Converters
Page Speed Reliability Revenue
Nr. eRetail company
(sec) (%) Risked (€)
1 iBood 0,5 99,4 187.498
2 Alt
Alternate 0,6 99,5 272.872
3 Ticketservice 0,6 99,9 34.062
4 Thuisbezorgd.nl 1,0 99,9 46.874
5 Koopjeskampioen 1,1 100,0 0
6 AH 1,1 100,0 0
€
2.075.541
7 Nespresso 1,1 99,9 42.554
8 Dexcom 1,2 98,6 1.283.334
9 TNT Post 1,2 99,1 176.471
10 Selexyz 1,3 99,9 31.874
€ 2.075.541

47. Top 10 Worst Converters
Page Speed Reliability Revenue
Nr. eRetail company
(sec) (%) Risked (€)
91 Airtrade 4,6 98,3 1.450.764
92 D-Reizen 4,9 99,5 4.427.860
93 ECI 5,0 98,4 2.956.463
94 Impact Retail 5,0 99,8 2.932.268
95 Apple 5,0 100,0 1.158.528
96 Phonehouse 5,8 99,8 1.881.486
97 Bakker Hillegom 7,0 96,6 1.137.619
98 GSMweb 8,1 100,0 2.969.442
99 Vacansoleil 8,5 100,0 8.752.619
100 Readers Digest 11,7 98,8 2.976.880
€ 30.643.929

48. Conclusions
1 Average Page Speed is 2.7 seconds*
2
1 out of every 10 pageviews is
slower than 4 seconds
3 Average reliability % is 99,4%
Potential revenue risked per website due to
4
slow web pages: € 225.000
* Measured directly from internet backbone, mileage will vary for customer connections

49. Where would you order?

50. Clothing

53. News

56. Travel

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59. What’s killing performance?

60. It’s a multi browser world

61. !"#$%&'( )*+$#*$+(,'-.&#$#(

62. www.watchmouse.com
2.66s 3.38s 3.51s 3.38s
* Measured via http://loads.in

63. Lot’s of items per page

64. Average # request per page Twinkle 100:
118
Lot’s of items per page

65. Hema:
63
Average # request per page Twinkle 100: Kleertjes.com:
118 125
Volkskrant:
225
US average:
75
Lot’s of items per page

66. Rich content
Page size

67. Rich content
Page size
Average page size Twinkle 100:
890Kb

68. Rich content
US average:
Page size
485Kb
Hema:
640Kb
Average page size Twinkle 100:
890Kb
Kleertjes.com:
1,8Mb

69. 3d Party providers

70. Average 3d Party content
per page:
18%
3d Party providers

71. Average 3d Party content 3d Party content:
per page: 30% of page load time
18%
3d Party providers

72. And of course....Infrastructure

73. Room for improvement!

74. Not optimized Optimized
* Measured via webpagetest.org, optimized with strangeloop

75. These stats don’t apply to me?

76. Check your web analytics for # pageviews per
1
browser type

77. Check your web analytics for # pageviews per
1
browser type
Use your analytics to find out # placed orders per
2
browser type per connection speed

78. Check your web analytics for # pageviews per
1
browser type
Use your analytics to find out # placed orders per
2
browser type per connection speed
Test your site speed per browser via http://
3
loads.in or webpagetest.org

79. Check your web analytics for # pageviews per
1
browser type
Use your analytics to find out # placed orders per
2
browser type per connection speed
Test your site speed per browser via http://
3
loads.in or webpagetest.org
Correlate # orders/pageviews per browser with
4
site speed per browser
Or go to: www.measureworks.nl/emerce ;-)

80. Thanks! More questions?
M: jtjepkema@measureworks.nl
T: @jeroentjepkema
W: www.measureworks.nl