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How to Conduct Better Marketing Experiments – ReadWrite



How to Conduct Better Marketing Experiments - ReadWrite

Most entrepreneurs wish they had a better grasp of marketing. With better marketing, you can get more visibility for your brand, more paying customers, and you can achieve growth at a faster rate.

But to an outsider with limited experience, marketing is a nebulous, complex, and intimidating field. The people who practice marketing seem like modern-day magicians, capable of seeing amazing results simply by following their intuitions.

In reality, this isn’t the case. The best-performing marketing strategies aren’t the result of magic or intuition. Instead, they’re the ultimate result of hard, scientific experiments, repeated over and over again.

How are marketing experiments so powerful? And what’s the right way to use them to fuel your marketing campaigns?

Why Marketing Experiments Are Important

Let’s start by explaining why marketing experiments are so important. Done right, they can shape your business’s entire marketing future.

  • Data and customer information. First, marketing experiments give you access to an abundance of data. Next, you’ll learn more about your target audience and how they respond to different images, different copy, and different platforms. Over time, you’ll grow to understand them better, and you’ll be able to craft better messages for them as a result.
  • Incremental improvements. Experiments also allow you to make incremental improvements to your marketing strategy. With each new test, you’ll learn a bit more about your brand, your audience, the platforms available to the public, or even your competition – and with that information, you’ll be able to create better ads and better messages.
  • Evidence and cost-benefit analyses. Marketing experiments give you a chance to collect data you can use to analyze and prove the costs and benefits of all your marketing approaches. This could be valuable in justifying your position to an employer, proving results to investors, or just refining your own approach to increase your return on investment (ROI).

There are many ways to approach marketing experiments. Still, one of the most common is the typical “AB test,” in which you make two slightly different versions of a landing page, advertisement, or other pieces of marketing collateral.

These two different versions are labeled “A” and “B,” then tested in a live environment. Once you figure out which version gets more traffic, or more conversions, you can use these lessons to refine your approach – and run more AB tests to gather even more data.

Realistically, you shouldn’t feel limited by the AB test formula. Any test you conduct to learn more about your brand, your audience, and your potential impact can be valuable.

Here’s how to run even better marketing experiments.

Use the Right Tools

For starters, you should use the right tools. Good marketing experiment tools tend to share a handful of traits, such as:

  • Accessibility. It should be easy to find and start using this tool. You shouldn’t have to build something new from the ground up.
  • Intuitiveness. It should also be intuitive to use the tool effectively. It shouldn’t take weeks of training to learn how to conduct an experiment.
  • Robustness. You’ll want a host of features that make it easier and more straightforward to conduct the experiments you want. WYSIWYG editors and drag and drop mechanics, and access to multiple experimental variables are key.
  • Transparency and data manipulation. You’ll also want full, unimpeded access to the data you’ve gathered throughout this campaign – and you should be able to manipulate these data as you see fit in the form of interactive charts and graphs.

Luckily, most major marketing and advertising platforms realize the importance of experimentation – and they offer built-in tools to help marketers run better tests. So, for example, if you’re running a PPC ad campaign, you’ll have access to tools that allow you to rotate ads, measure customer interactions, and ultimately learn enough to create better campaigns in the future.

Follow the Scientific Method

Marketing experiments are a kind of small-scale science experiment, so if you want to see better results, you need to follow a loose kind of scientific method.

For example:

  • Create a hypothesis. Start by defining your current opinion and perspective. How do you think this experiment is going to go? For example, do you believe a red button will convert more people than a green button?
  • Run tests. Next, devise an experiment to put your hypothesis to the test. For example, if you’re testing the difference between green and red button colors, consider creating two nearly identical versions of your landing pages. The only difference is button color and sending traffic to both.
  • Observe and analyze the data. Then, collect the data and see if your hypothesis is true.
  • Form new conclusions. Regardless of whether you prove your hypothesis right or wrong, you’ll likely learn something new in the process.

Nail the Sample Size

The sample size is one of the most important variables to get right in the realm of marketing experimentation. With too few people in your sample, you won’t be able to form meaningful conclusions about the larger population. But, on the other hand, with too many people, you’ll end up wasting time and money unnecessarily.

Keep an Open Mind

You may have ideas for exactly what your brand is and how it should be marketed, and in some ways, this solid consistency is a good thing. But if you want to get the best possible results from your marketing experiments, you need to keep a more open mind. Experiments are great for putting controversial new ideas to the test and challenging long-held assumptions; make the most of them by being willing to try interesting new things.

Compare Apples to Apples

When conducting marketing experiments, you’ll need to compare apples to apples. In other words, you’ll need to make sure your experimental conditions don’t introduce secondary and tertiary variables that could confuse your causal link. For example, let’s say you’re testing a green button against a red button, but your green button is active in the morning, and your red button is active at night. Of course, your red button test wins – but is that because the button was red or because the test was at night?

Control your tests for the following variables, at minimum, and try to isolate a single variable for your test:

  • Time. When are you conducting this experiment?
  • Audience. Who are the people being tested?
  • Sample size. Are you using approximately the same sample size for each test?
  • Other variables. Try to filter out other variables as much as possible, and focus your AB experiment on a single differentiating variable.

The closer you’re able to compare your different marketing experiments, the closer you’ll get to a “perfect” strategy.

Filter Out Cognitive Biases

Cognitive biases affect all of us, distorting our perceptions and making it hard to form neutral conclusions. These are just a few ways you can fight against bias:

  • Introspect. How are you approaching this problem? Are your feelings steering you in a particular direction?
  • Look at multiple data sets. One test may not be enough. Try looking at multiple data sets, especially if you can find some from other experimenters, before forming a conclusion.
  • Identify your underlying assumptions. For example, you might have a built-in assumption that one particular marketing strategy will be better than all your others. These can lead you to biased and false conclusions.
  • Try to prove yourself wrong. Confirmation bias makes it easy to prove yourself right. Instead, look for evidence to prove yourself wrong. You might be surprised at what you find.
  • Work with a team. Intellectual diversity can help you identify the gaps in your own thinking – and new perspectives are always a good thing.

With better marketing experiments in place, your marketing and advertising results will surely increase over time. You’ll have access to a more reliable stream of data, you’ll be freer to experiment with new techniques and approaches, and sooner or later, you’ll stumble upon the perfect formula to convert your target audience.

Image Credit: anthony shkraba; pexels; thank you!

Timothy Carter

Chief Revenue Officer

Timothy Carter is the Chief Revenue Officer of the Seattle digital marketing agency, & He has spent more than 20 years in the world of SEO and digital marketing leading, building and scaling sales operations, helping companies increase revenue efficiency and drive growth from websites and sales teams. When he’s not working, Tim enjoys playing a few rounds of disc golf, running, and spending time with his wife and family on the beach — preferably in Hawaii with a cup of Kona coffee. Follow him on Twitter @TimothyCarter


Fintech Kennek raises $12.5M seed round to digitize lending



Google eyed for $2 billion Anthropic deal after major Amazon play

London-based fintech startup Kennek has raised $12.5 million in seed funding to expand its lending operating system.

According to an Oct. 10 report, the round was led by HV Capital and included participation from Dutch Founders Fund, AlbionVC, FFVC, Plug & Play Ventures, and Syndicate One. Kennek offers software-as-a-service tools to help non-bank lenders streamline their operations using open banking, open finance, and payments.

The platform aims to automate time-consuming manual tasks and consolidate fragmented data to simplify lending. Xavier De Pauw, founder of Kennek said:

“Until kennek, lenders had to devote countless hours to menial operational tasks and deal with jumbled and hard-coded data – which makes every other part of lending a headache. As former lenders ourselves, we lived and breathed these frustrations, and built kennek to make them a thing of the past.”

The company said the latest funding round was oversubscribed and closed quickly despite the challenging fundraising environment. The new capital will be used to expand Kennek’s engineering team and strengthen its market position in the UK while exploring expansion into other European markets. Barbod Namini, Partner at lead investor HV Capital, commented on the investment:

“Kennek has developed an ambitious and genuinely unique proposition which we think can be the foundation of the entire alternative lending space. […] It is a complicated market and a solution that brings together all information and stakeholders onto a single platform is highly compelling for both lenders & the ecosystem as a whole.”

The fintech lending space has grown rapidly in recent years, but many lenders still rely on legacy systems and manual processes that limit efficiency and scalability. Kennek aims to leverage open banking and data integration to provide lenders with a more streamlined, automated lending experience.

The seed funding will allow the London-based startup to continue developing its platform and expanding its team to meet demand from non-bank lenders looking to digitize operations. Kennek’s focus on the UK and Europe also comes amid rising adoption of open banking and open finance in the regions.

Featured Image Credit: Photo from; Thank you!

Radek Zielinski

Radek Zielinski is an experienced technology and financial journalist with a passion for cybersecurity and futurology.

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Fortune 500’s race for generative AI breakthroughs



Deanna Ritchie

As excitement around generative AI grows, Fortune 500 companies, including Goldman Sachs, are carefully examining the possible applications of this technology. A recent survey of U.S. executives indicated that 60% believe generative AI will substantially impact their businesses in the long term. However, they anticipate a one to two-year timeframe before implementing their initial solutions. This optimism stems from the potential of generative AI to revolutionize various aspects of businesses, from enhancing customer experiences to optimizing internal processes. In the short term, companies will likely focus on pilot projects and experimentation, gradually integrating generative AI into their operations as they witness its positive influence on efficiency and profitability.

Goldman Sachs’ Cautious Approach to Implementing Generative AI

In a recent interview, Goldman Sachs CIO Marco Argenti revealed that the firm has not yet implemented any generative AI use cases. Instead, the company focuses on experimentation and setting high standards before adopting the technology. Argenti recognized the desire for outcomes in areas like developer and operational efficiency but emphasized ensuring precision before putting experimental AI use cases into production.

According to Argenti, striking the right balance between driving innovation and maintaining accuracy is crucial for successfully integrating generative AI within the firm. Goldman Sachs intends to continue exploring this emerging technology’s potential benefits and applications while diligently assessing risks to ensure it meets the company’s stringent quality standards.

One possible application for Goldman Sachs is in software development, where the company has observed a 20-40% productivity increase during its trials. The goal is for 1,000 developers to utilize generative AI tools by year’s end. However, Argenti emphasized that a well-defined expectation of return on investment is necessary before fully integrating generative AI into production.

To achieve this, the company plans to implement a systematic and strategic approach to adopting generative AI, ensuring that it complements and enhances the skills of its developers. Additionally, Goldman Sachs intends to evaluate the long-term impact of generative AI on their software development processes and the overall quality of the applications being developed.

Goldman Sachs’ approach to AI implementation goes beyond merely executing models. The firm has created a platform encompassing technical, legal, and compliance assessments to filter out improper content and keep track of all interactions. This comprehensive system ensures seamless integration of artificial intelligence in operations while adhering to regulatory standards and maintaining client confidentiality. Moreover, the platform continuously improves and adapts its algorithms, allowing Goldman Sachs to stay at the forefront of technology and offer its clients the most efficient and secure services.

Featured Image Credit: Photo by Google DeepMind; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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UK seizes web3 opportunity simplifying crypto regulations



Deanna Ritchie

As Web3 companies increasingly consider leaving the United States due to regulatory ambiguity, the United Kingdom must simplify its cryptocurrency regulations to attract these businesses. The conservative think tank Policy Exchange recently released a report detailing ten suggestions for improving Web3 regulation in the country. Among the recommendations are reducing liability for token holders in decentralized autonomous organizations (DAOs) and encouraging the Financial Conduct Authority (FCA) to adopt alternative Know Your Customer (KYC) methodologies, such as digital identities and blockchain analytics tools. These suggestions aim to position the UK as a hub for Web3 innovation and attract blockchain-based businesses looking for a more conducive regulatory environment.

Streamlining Cryptocurrency Regulations for Innovation

To make it easier for emerging Web3 companies to navigate existing legal frameworks and contribute to the UK’s digital economy growth, the government must streamline cryptocurrency regulations and adopt forward-looking approaches. By making the regulatory landscape clear and straightforward, the UK can create an environment that fosters innovation, growth, and competitiveness in the global fintech industry.

The Policy Exchange report also recommends not weakening self-hosted wallets or treating proof-of-stake (PoS) services as financial services. This approach aims to protect the fundamental principles of decentralization and user autonomy while strongly emphasizing security and regulatory compliance. By doing so, the UK can nurture an environment that encourages innovation and the continued growth of blockchain technology.

Despite recent strict measures by UK authorities, such as His Majesty’s Treasury and the FCA, toward the digital assets sector, the proposed changes in the Policy Exchange report strive to make the UK a more attractive location for Web3 enterprises. By adopting these suggestions, the UK can demonstrate its commitment to fostering innovation in the rapidly evolving blockchain and cryptocurrency industries while ensuring a robust and transparent regulatory environment.

The ongoing uncertainty surrounding cryptocurrency regulations in various countries has prompted Web3 companies to explore alternative jurisdictions with more precise legal frameworks. As the United States grapples with regulatory ambiguity, the United Kingdom can position itself as a hub for Web3 innovation by simplifying and streamlining its cryptocurrency regulations.

Featured Image Credit: Photo by Jonathan Borba; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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