propensity to buy or need help in solving their
issues. Increasing the *acceptance rate is the
outcome here. * Acceptance rate= (Number of
customers who accepted the invites)/ (Number of
chat invites shown)
2 DEFINING THE OBJECTIVE
We need to answer the questions below:
a. Why do we want to run an experiment? What
is the outcome we want to measure?
b. What is the effect of experiments on
conversion?
c. Is he a potential buyer customer etc.?
d. What can be specifically done to reduce the
decline rate of the invite?
Design of Experiments can be used to find answers
in situations such as:
e. What are the main contributing factors to
enrich the user experience / improving conversions
etc.?
f. How well does the system/process perform in
the presence of noise?
g. What is the best configuration of factor values
to minimize variation in a response?
This can shed light on complex aspects of
decision making during the buying cycle of the
customer.
3 DETERMINING THE FACTORS
AFFECTING THE WHOLE
PROCESS
A lot of research on the brand goes into this. The
brand connects to its audience through different
medium like TV, radio, stores and online market.
The behavior on the different medium needs to be
studied with the brand guidelines. Factors are
determined after quite a lot research on usability
perspective, competitor analysis and call to actions.
Factors: Determining X parameters having Y
levels. Parameters are variables within the process
that affects the performance measure such as sound,
color etc. that can be easily controlled. The number
of levels to the parameters should be varied and
must be specified. Increasing the number of levels to
vary a parameter increases the number of
experiments to be conducted.
As we use Taguchi's method for designing the
experiment. Hence we should ensure that the factors
are independent of each other. Hence we need not
measure the interaction effect. The factors should be
independent of each other, if we are not measuring
the interactions.
For example: It can be anything from imagery, size,
place, font, color, shape. In experiment we used
these factors with 2 levels each.
Factors being: Sound (yes or no), text color (blue
vs red), content on the invite, transition, text cases
etc.
Here levels being: Yes vs no, for Sound.
Design the Experiment: Once we have the
factors and levels to it, we design our experiments.
We design a matrix in such a way that all the factors
and its levels are being experimented. There are
many ways in which a DOE can be applied, but here
we are sticking to Taguchi’s method to run
experiments. This approach uses the fundamental
idea of DOE, but simplifies and standardizes the
factorial and fractional factorial designs.
Fractional Factorial: is used to reduce the number
of experiments. A fractional factorial design of
experiment (DOE) includes selected combinations
off actors and levels; it is a representative subset of a
full factorial design. A fractional factorial DOE is
used when the number of potential parameters is
relatively large because they reduce the total number
of runs required. In general, higher-order
interactions are confounded with main effects or
lower-order interactions. Since higher order
interactions are rare, usually you can assume that
their effects are minimal and that the observed
effects are caused by the main effect or lower-level
interaction.
Taguchi’s way uses orthogonal arrays, as this makes
it possible to carry out fewer fractional factorial
experiments than full factorial experiments.
Orthogonal Arrays: are used to determine the
matrix. Orthogonal arrays are a set of tables of
numbers, each of which can be used to lay out
experiments for a number of experimental situations.
Types of Fractional Factorial Design: Orthogonal
(balanced) arrays, Latin Squares etc.
Example: Factors = 5 and levels=2, Full Factorial
Experiment = 2
5
= 32.
Full factorial leads to 32 experiments to run. Hence
using fractional factorial we can run 8 experiments.