When Beer Hawk first learned of Nosto’s new A/B Testing and Optimisation, they were excited to give it a try. Due to their internal culture of robust experimentation, they quickly began building out a test to see how different variations of personalised product recommendations affect their conversion rates.
The Beer Hawk team set up their test to measure how recommendations that are tied to actual customer behavior (such as beer type preference) performed compared to more general recommendations (such as similar products or affordable add-ons) when they appear on the cart page.
Once the test achieved significance, Beer Hawk dissected the results by segment to uncover more useful insights (such as whether Variation A performed better than Variation B, or vice-versa). This deeper dive led to Beer Hawk discovering that not only do the more personalised recommendations increase conversion rates for both first-time customers and repeat loyal customers, but they also increase average order value within both segments.
The brand then replicated the test on their homepage in order to increase visibility and learn if the page location of the recommendations would change the results. The conclusion was the same, and Beer Hawk now knew how to optimise for both a higher conversion rate and average order value within two of their key segments.