Where It Came From, What It Can Do for Your Online Sales
Taguchi MultiVariate Testing was developed as the direct result of Web Marketers steadily increasing frustration with the inherent slowness of traditional A/B split tests. This made A/B Tests impractical for commercial websites that wanted to maximize existing sales and profits in their current budget cycle rather than over a period of years.
Essentially, 4 drawbacks make A-B Split Run Tests much less productive for any business selling directly from their website:
1) Split-Run testing allows only one Selling Factor to be tested at a time, which necessarily makes it a sequential process that becomes longer and longer as you find you have to test more and more Selling Factors.
2) The Sales Conversion Rate gains you can expect from a single Split-Run test is comparatively quite small since you can test only one, rather than many, of your Selling Factors at one time.
3) In far too many A-B Split Tests, the Original Version (Control Version) of the site ends up having a higher Sales Conversion rate than the new version, negating all the time and effort invested in the test.
4) Because Split-Testing can never test the interactionsbetween multiple changes in your website sales copy, it can never generate those hidden gains that MultiVariate Tests have shown such interactions can produce.
Although Taguchi multivariate testing easily beats A/B split testing, there are differences as well in each vendors' solution.