July 23, 2015

Lovehoney

SLI Systems Helped Lovehoney Boost Its Online Conversion Rate

Site search, merchandising, and multivariate testing fuels business growth. With Learning Search in place, Lovehoney has seen conversion rates that are four times higher for site search users versus non-site search users. In addition, average revenue per visit is 16 percent higher for visitors who use site search, and the abandonment rate for visitors who use the search box is 18 per cent lower than for those who don’t.

Conversion Optimizer has given Lovehoney fast, accurate feedback on merchandising and product display options. “We’ve successfully used Conversion Optimizer to determine how many product options to display in response to a search and still generate a high click-through and conversion rate,” said Matthew Curry, head of eCommerce at Lovehoney. The advanced site search, multivariate testing and analytics features provided by SLI, in tandem with SLI’s expert guidance in deployment, customisation, and ongoing management of site search, have played a significant role in Lovehoney’s growth.

The Challenge

Lovehoney has built a highly successful ecommerce business by taking the embarrassment out of shopping for adult toys – and making it fun. The Bath-based company was founded in 2002 and is the now the UK’s largest online retailer of erotic toys, lingerie, adult books, and games.

In 2010, Curry and his colleagues realised they needed a more robust site search solution for the website, as their previous search system lacked flexibility, with no merchandising capabilities, and often delivered results that weren’t relevant to what their visitors were searching for.

Strategy: Search Data Leads To New Line Of Business

Lovehoney implemented Learning Search in late 2010, along with Conversion Optimizer, SLI’s solution for multivariate and A/B testing of features on site search and navigation pages. Curry and his team immediately began using Learning Search to monitor search terms used by visitors, in hopes of identifying shopping trends that might dictate better merchandising.

“We began seeing a high number of visitors using search terms like ’50 Shades of Grey,’ or ’50 shades. This was some time before the now highly-popular 50 Shades of Grey book series for women had gained such a broad following.” Matthew Curry, Head of eCommerce at Lovehoney

The first book in the series was distributed online by author E.L. James before it found a publisher. Curry and his colleagues tapped into the burgeoning 50 Shades of Grey demand, and partnered with the author to become the exclusive distributor of an official line of 50 Shades of Grey products.

“Without the detailed analytics from SLI, we would not have gotten out in advance of this trend. Site search data helped us develop an entirely new line of business that’s become a tremendous competitive advantage for our company.” Matthew Curry, Head of eCommerce at Lovehoney

In 2013, the company will launch a second group of 50 Shades products, and expects future product tie-ins when the eagerly awaited 50 Shades of Grey movie is released in the future.

Results: Site Search That Learns From Past Customer Behaviour

Curry asked his peers at other eCommerce businesses for site search recommendations, and several suggested Learning Search from SLI Systems.

“We also checked out Fredhopper’s search and merchandising software, but we found that it wasn’t as fast or flexible as what SLI offered. We needed a site search that was intelligent, and delivered relevant results.” Matthew Curry, Head of eCommerce at Lovehoney

SLI offers more relevant search results because it continually “learns” from past site search activity by tracking visitors’ search queries and click-throughs.

“We knew that new customers visiting our site might need a gentle introduction to our products. We didn’t want to scare them off by showing them more advanced items when they may have been looking for something more tame.” Matthew Curry, Head of eCommerce at Lovehoney

Before committing to SLI, the Lovehoney team decided to test Learning Search head-to-head with its homegrown search solution. “We ran an A/B test for about three months,” Curry explained. “We found that conversions for SLI users were 15 per cent higher during that time period.”

lovehoney.co.uk/