💲Price Test Suggestions

The Straddle

Increase and decrease the price of every product by 10%. This is a great place to start as it will give you a look at elasticity across the board. If you don't want to start with your entire store, pick a few products or a collection to test first and iterate from there. Check out this case study on a brand who recently ran this type of test on their main collection and found that the lower price group generated nearly a 40% lift in conversion rate which yielded a 15% increase in revenue.

What this test design might look like:

	Control Price	+10%	-10%
Product A	$10	$11	$9
Product B	$20	$22	$18

The Control Group should almost always be equal to what is currently live on the site - keeping one group consistent will keep your baseline consistent, giving you the most actionable results.

The Double Down

Iterate based on the results from the test above. Let's say you run the test outlined above, and find that you see higher conversion and higher revenue per visitor on Product A at the $9 price point and on Product B you don't see a change in conversion across the three price points, but you see an increase in revenue per visitor on the $22 price point. Because price elasticity is a curve, it may make sense to run another test drilling in further on the price for these products.

What this test design might look like based on the above scenario:

	Control Price	Lower/Higher	Even Lower/Higher
Product A	$9	$8	$7
Product B	$22	$24	$26

Note that this is one scenario where your Control Group is not what has been live on the site, but rather the 'winner' from the previous test.

The Strikethrough

Try out different Compare-At prices while keeping the actual price consistent. Price psychology can have major impacts on conversion - how might a larger perceived discount impact your consumer's behavior?

What this test design might look like:

	Control Price	Control Compare-At Price	Group A Price	Group A Compare-At Price
Product A	$20	$25	$20	$30

The Great Discount Debate

Similar to how the discount value impacts price psychology in the above, the discount type can also impact consumer behavior - would a 10% or $5 discount that ultimately have the same value be more likely to get you across the line? Check out pricing strategy #3 in this blog for more details on the psychology behind this.

What this test design might look like:

	% Group Price	% Group Discount	$ Group Price	$ Group Discount
Product A	$50	10% Off	$50	$5 Off

Savings Showdown: Volume Discount vs. Price Discount

Test Volume Discounts in comparison to reduced product prices. Check out this case study on a brand that recently ran a test just like this, and found that reduced product prices perform better than discounts on their site.

What this test design might look like:

	Control Price	Volume Discount	Lower Price	Volume Discount
Product A	$49.99	10% off 2+ Units 15% off 3+ Units 20% off 4+ Units	$39.99	None

The Combo Deal

Maybe you've tested your product prices and your shipping fees, but now you're curious how those two elements interact with each other. If you fold shipping prices into the product and provide free shipping for everyone, do you see an increase in conversion without losing shipping revenue?

What this test design might look like:

	Control	Group A
Shipping Price	Free Over $50 $3 Under $50	Free Shipping
Product A Price	$12	$15