Multivariate testing generates a profit machine: As the saying goes, time is money. And nowhere is this more accurate than in the world of direct marketing, where real-time insights can make the difference between profit and loss. Enter multivariate testing.
In early 2019, Leadify assisted one of SA’s top lead generators in marketing a funeral product via SMS. Not knowing which wording would resonate best with each of their four data segments, the company used our platform to create four different messages. Each of these was sent out to a small volume of contacts – around 250 messages per day – and the platform provided real-time, daily reporting on the performance of each message and list.
Starting with small batches allows our clients to optimise campaigns before scaling up, thereby maximising impact. The result? Within just a few weeks, this client had identified two high-performing messages, while the others were clearly making a loss and threatening the campaign’s success. The client deactivated the two ineffective messages and Leadify automagically reallocated those contacts to the higher-performing options – and the campaign has been a success ever since, generating over R400 000 in profit over the past two years (and counting).
Daily reporting was key to the campaign’s success, as it empowered the client to monitor, optimise and – ultimately – rescue their campaign in real-time. Without Leadify, they would probably have run the entire campaign before receiving and assessing its results, and this would almost certainly have led to a loss-making campaign that got cancelled.
Not only would that have been a huge waste of time and money for the client – with no reward – but it would also never have led to two years of successful SMS marketing… and, of course, an additional R400 000 in revenue for our client.
“What could have been a failed campaign turned into a highly profitable one that’s still running two years later – and still generating revenue!” – Stavros Michalopoulos, Chief Strategy Officer, Leadify