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The most popular method for in-market tests is the A/B test, but the method that has the power to drive much stronger insights is the multivariate test. This paper explains the advantages of adopting multivariate testing in a direct mail campaign for digital marketing over other traditional methods, explaining how multivariate testing uncovers the hidden data insights that go unnoticed due to lack of aggregate testing potential of traditional methods. The paper lays out different approaches to assisting strategic business decisions by taking a narrow approach to campaign data. Consider a direct mail campaign for which the targeted content is sent to customers. The response rate of these customers is analyzed by testing it against the control group using the simple A/B test to determine whether the targeted content causes the response rate to increase. It is observed that customers receiving targeted content are more likely to respond as compared to customers receiving standard content. If this test is re-run using multivariate testing by controlling the best customer effect, it is observed that there is a significant difference between both groups due to best customer effect and not due to targeted content. Multivariate testing has the power to control multiple factors concurrently and to measure the performance of a campaign accurately, in less time, and with minimum effort. <br/><br/>Vanadana Reddy, AAA Auto Club Group <br/><br/>Jui Salunkhe, Oklahoma State University
Session 2746
en
jeff.foxx@sas.com
The most popular method for in-market tests is the A/B test, but the method that has the power to drive much stronger insights is the multivariate test. This paper explains the advantages of adopting multivariate testing in a direct mail campaign for digital marketing over other traditional methods, explaining how multivariate testing uncovers the hidden data insights that go unnoticed due to lack of aggregate testing potential of traditional methods. The paper lays out different approaches to assisting strategic business decisions by taking a narrow approach to campaign data. Consider a direct mail campaign for which the targeted content is sent to customers. The response rate of these customers is analyzed by testing it against the control group using the simple A/B test to determine whether the targeted content causes the response rate to increase. It is observed that customers receiving targeted content are more likely to respond as compared to customers receiving standard content. If this test is re-run using multivariate testing by controlling the best customer effect, it is observed that there is a significant difference between both groups due to best customer effect and not due to targeted content. Multivariate testing has the power to control multiple factors concurrently and to measure the performance of a campaign accurately, in less time, and with minimum effort. <br/><br/>Vanadana Reddy, AAA Auto Club Group <br/><br/>Jui Salunkhe, Oklahoma State University
2018-04-03T15:47:06.641-04:00
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2018-04-03T15:47:06.795-04:00
Leveraging Multivariate Testing for Digital Marketing Using SAS® Enterprise Guide®
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