AB testing is a critical ingredient of optimized Lazada selling. Without AB testing, it’s literally impossible to know what content performs the best (in terms of click-thru rate and conversion rate).
I’ve put together this article to help explain how the most successful Lazada sellers (and Amazon) Sellers AB test their product listings.
The structure of this article is below:
- What is Lazada AB testing?
- Why Should I AB test on Lazada?
- Why shouldn’t I manually AB test on Lazada?
- What should I be AB testing on Lazada?
- What is the best tool for Lazada AB Testing?
1. What is Lazada AB testing?
The goal of Lazada AB testing is to identify the best product content and pricing for your product listings. It’s a method for identifying which product content is the best at turning Lazada visitors and impressions into buyers. It is arguably the most critical component of product listing optimization.
Through testing different product listings, sellers can see the clear connection between an excellent listing and an increase in page views, sales, and profits.
In fact, good product listings provide double benefits because Lazada’s search algorithm makes use of recent sales history and conversion rate to determine search rank.
Split testing is another name for A/B testing. Split testing is the process of testing two or more variations for the same amount of time and measuring the results. A simple example would be testing 2 product titles or images each for 7 days (Sunday to Sunday) and examining which resulted in the best click-thru rate, conversion rate, and sales revenue.
Confused? Don’t be. Let’s look at the example below. Which product image do you think would convert best out of the two options below?
From the outside looking in it’s very difficult to know.
But if we were to test these two images across 7 days and measure click-thru rate, conversion rate, and sales – we would likely see significant differences.
AB testing is simply the process of testing different product content on Lazada and seeing what performs best.
2. Why should I AB test on Lazada?
This is pretty straightforward. You are selling on Lazada because you want sales and profit. The best way to increase visits, conversion rate, and profits is to eliminate the guesswork of all the variables that impact your sales.
To have a good listing on Lazada, you need to have:
- A clear, descriptive product image
- An attention grabbing product title
- A quality product description and bullet points
- A competitive, compelling product price
If you are to test different titles, descriptions, prices, and images – you will know over time which content change is causing a better conversion rate, sales revenue, and profits. Again to reiterate, this improvement will also have a double effect of increasing your search rank because Lazada’s search algorithm cares about product conversion rate.
We could do a simple ROI calculation to justify this below:
As-Is Listing = 10,000 visits per month, 2% conversion rate, $50 sales price, 40% profit margin (so $20 profit per unit sold)
If AB testing can merely change your conversion rate from 2% to 3%, you will sell an additional 10 units per month and generate an extra $500 in sales revenue. That’s an extra $6,000 in sales per year by optimizing only 1 product!
Additionally, you can safely assume this better conversion rate will result in a better search rank and more page views.
3. Why shouldn’t I manually AB test on Lazada?
Good question. Why not just change your listings inside Lazada Seller Center and check the impact on sales? The reasons I recommend against doing this manually are below:
- Time & Effort. The effort required to do this for just a few products will be very tedious and nearly impossible if you are managing 100+ products.
You would need to work on your listings and manually save your results in a file. Then at the exact time X days in the future change your listings to new listing. Then at the exact time in the future log your results of variant B and compare to variant A.
Then you choose which winner and again update your product listing.
That’s a lot of work..
- Statistical Significance. There are seasonality factors at Lazada that can impact your AB testing results so it’s critical that you are running more than one AB test at a time.
It could be possible for sales to have improved regardless of your change or could have performed even better if you had a better product image or price or title. So the critical factor here is to run test concurrently. Only with results coming from the same period can you make statistically significant business decisions.
This is a lot of work to manage manually, when you can set parameters in a Lazada AB testing app like Split Dragon and seek out the results from this program automatically and get updates once the test is completed a week or more in the future.
4. What should I be AB testing on Lazada?
Product title is arguably the number 1 determinant of keyword authority in a Lazada product listing. If you want to add it manually, it can be done via seller center as a mandatory field with maximum character length of 255 characters.
From search results and category view pages, it is critical in ranking the product and also calling users attention to click and go to thru to the product detail page (where you can convert the visitor into a buyer).
Every element of your product title needs split testing. Some tests that you should run are:
- The ordering of your product title (ie brand, category, keywords, descriptors)
- Using new adjectives and descriptors
- Testing key phrases (ie #1, Top-Rated, Best-Selling)
- Include technical specification (ie size, color, power)
Your tests should check one and only one at a time and measure the results to continuously improve your listing and ability to convert viewers into purchasers.
Product images are critical to the success of a Lazada product listing. The primary image – the one that customers see in search results and category views is absolutely critical to get clicks. If it’s not well optimized, customers will not click it and cannot arrive at your PDP to convert into a sale.
Sellers need to test out customer perceptions of images. The winning image should stand out from competition and entice customers to click it.
The product image is how you stand out from your competitors that are selling very similar products.
One recommended approach is to make use of color psychology and test different color combinations of products. Also, if you have multiple color variations you can test displaying one product vs. several products on the product image.
If you’re a crossborder seller, you can look at which products have meanings in some countries. For instance, red in Vietnam is a sign of luck and wealth.
Split testing product price is not only important for search rank and conversion rate, but it’s also critical for your profit.
How would you know without split testing that you could increase your price by $4 and have the same conversion rate? The answer is that you wouldn’t and you would be losing $4 on every sale because you hadn’t tested it.
Finding the optimal price is critical to Lazada seller success. Not testing makes it impossible for sellers to be truly optimized.
Another critical test that you should run for product price is the difference between Lazada Price and Lazada Sales Price (which communicates X% off to buyers on the PDP). Without testing, you won’t know what impact it has on prospective customers.
Product Bullet Points / Description
Apart from the title and the image, the bullet points are the most important piece of product content at conveying important sales information to the customer.
It’s also critical that you input search keywords into bullet points as they are used for Lazada search algorithm to determine product search ranking.
Testing your AB testing is critical to get the best search rank and conversion rate. You can test the order of your bullet points and try different strong sales call to actions.
The goal of split testing bullet points should be to find the best mix of bullet points that result in best search ranking and conversion rate from your product detail page.
5. What is the best tool for Lazada AB Testing?
The only available tool for Lazada sellers to efficiently manage AB testing right now is Split Dragon.
Split Dragon features include:
- Automated AB Testing for Product Images, Product Titles, Product Descriptions
- Keyword Search Rank Tracking & Reporting
- Product Content Improvement Suggestions
Split Dragon is currently on sale at 50% off of normal subscription price. Check out plans and start AB testing here.
If you have any questions about AB testing, please let us know in the comment section. I hope you found this article useful. Let me know what else you would like to know.