Web Performance ROI: A Brief History

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Web Performance ROI: A Brief History WebPerfDays Amsterdam 2015

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@tameverts performancebeacon.com

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What people SAY they expect from their online experiences

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How do we translate that to the business?

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2008 Does front-end performance matter?

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Impact of a 1-second delay A site that earns $100K per day could lose $2.5M in sales in one year

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2009 Which business metrics does performance affect?

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Shopzilla Sped up average page load time from 6s to 1.2s. Experienced a 12% increase in revenue and a 25% increase in page views. Doubled the number of sessions from search engine marketing. Cut the number of required servers in half. Mozilla Shaved 2.2s off landing page load times. Increased download conversions by 15.4%. Yahoo Increased traffic by 9% for every 400 milliseconds of improvement. AOL Visitors in the top ten percentile of site speed viewed 50% more pages than visitors in the bottom ten percentile.

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2010 Should we care about slowdowns as much as outages?

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Average revenue loss per hour of downtime Average revenue loss per hour of performance degradation (slower than 4.4s) $21,000 $4,100 However… Source: TRAC Research

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…website slowdowns occur 10X more often than outages. Source: TRAC Research

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2011 Can we compare apples to apples?

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Source: Strangeloop

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Source: Strangeloop

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2012 What can we do with a LOT of user data?

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2% increase in conversions for every 1 second of improvement

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Walmart also found… Overall, converted shoppers were served pages that were 2X faster than pages served to non-converted shoppers. Non-buyers were served category pages that were 2-3 seconds slower than category pages served to buyers. For every 100 milliseconds of improvement, incremental revenue increased by up to 1%.

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Today What’s changed?

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But that’s not my site

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Conversion rate barely decreases when load times for “checkout” pages degrade

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Conversion rate shrinks by about 50% when load time for “browse” pages increases from 1 to 6 seconds

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Do you know how performance affects different pages on your site?

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What is the Conversion Impact Score? The Conversion Impact Score (CIS) is a relative score that ranks page groups by their propensity to negatively impact conversions due to high load times. For each page group, the Conversion Impact Score is calculated using the proportion of overall requests that are associated with that group, along with the Spearman Ranked Correlation between its load times and number of conversions. The Conversion Impact Score will always be a number between -1 and 1, though scores much greater than zero should be very rare. The more negative the score, the more detrimental to conversions that high load times for that page group are, relative to the other page groups.

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TL;DR The Conversion Impact Score answers this question: How much impact does the performance of this page have on conversions?

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Conversion Impact Score

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We have more questions

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Can we better measure how performance affects user satisfaction? What impact does performance have on customer lifetime value? What impact does performance have on enterprise productivity? Are we always measuring the right things?

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User expectations and behavior are always changing Our tools for measuring ROI are evolving Know your own business success metrics Understand your own visitors Target the best (not the slowest) pages for optimization Monitor, test, repeat

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Free download (until November 4) http://soasta.io/timeismoneybook