10 A/B Testing Metrics You Should Be Tracking & Testing

In a modern world that runs on data, guesswork is a recipe for missed opportunities.

A/B testing offers a solution, allowing businesses to make smart decisions based on genuine user behavior. 

But with so many A/B testing metrics available, knowing where to focus your efforts can be overwhelming. 

To truly maximize your results, you'll need to strategically prioritize, track, and test the metrics that matter most for your business's success.

Today’s article is all about how to do exactly that. Here’s what we’ll cover:

• What is A/B testing?
• Why is it important?
• How to choose the right metrics
• A full list of the most important A/B testing metrics
• How Eppo can help you to achieve A/B testing success

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Let’s get started.

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What is A/B testing?

A/B testing (or split testing) offers a data-driven way to compare the performance of two or more variations of a web page, email, or app feature. 

You could also call an A/B test a controlled experiment: You divide your audience into different groups, expose each group to a specific variation, and then carefully analyze their behavior. 

This analysis reveals which version leads to the best results — whether that's boosting sign-ups, increasing retention, or maximizing revenue.

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Why should businesses use A/B testing?

A/B testing offers a multitude of benefits for businesses of all sizes:

• Decisions based on data you can trust: Move beyond assumptions and rely on concrete evidence to optimize your marketing efforts and user experience.
• Improved revenue margins: Identify what resonates with your audience and tailor your offerings to maximize revenue.
• Enhanced user experience: Continuously refine your product or website based on user behavior, leading to a more satisfying customer journey.
• Reduced risk: Test new ideas on a smaller scale before full implementation, minimizing the risk of making costly mistakes.
• Edge out the competition: Stay ahead of the curve by constantly updating your offerings based on customer data.

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The importance of choosing the right metrics

Metrics are the guiding lights of your A/B test. Choosing the right ones ensures you're testing the KPIs that truly matter and gaining valuable insights. 

Here are some tips to help you select the most effective metrics for your tests:

• Align with business goals: Start by understanding your overarching business goals. What are you trying to achieve with this A/B test? Is it to increase sales, generate leads, or boost user engagement? Once you know your goal, you can choose metrics that directly track progress towards it. 
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• Focus on primary vs. secondary metrics: Identify a single primary metric that serves as the main indicator of success for your test. This could be conversion rate, click-through rate, or bounce rate, depending on your objective. Supplement this with a few secondary metrics to provide a more holistic view of user behavior. 
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• Consider the user journey: Think about the entire process a user goes through when interacting with your product or website. Choose metrics that reflect the specific impact you expect your change to have on a particular stage of the journey.
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• Look at examples: Reference case studies and industry best practices to see how others have applied A/B testing and chosen relevant metrics for their goals. 
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• Don't overlook common metrics: Familiarize yourself with core metrics like conversion rate, click-through rate, bounce rate, and average session duration. Understanding these metrics equips you to choose the most suitable ones for your tests.

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10 A/B testing metrics you should be tracking for success

#1 Revenue: The most important metric of all 

What is it?

Revenue is the total amount of money generated by your business from sales in a specific period. It's the most important metric in A/B testing because it directly measures the financial impact of your changes. 

The reason why SaaS companies fail to track this accurately is that many traditional testing tools rely on incomplete clickstream data or ask you to install custom “revenue snippets” in your code that capture dollar amounts but lack parity with your company’s internal source of truth.  

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How to calculate it:

Total Revenue = Price of Product or Service * Number of Units/Subscriptions Sold

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How to improve it: 

• Use the right tool: For the most reliable results, consider a data warehouse native experimentation tool like Eppo, which integrates with your source of truth to analyze revenue impact.

• Increase conversion rates: Employ A/B testing and optimization tactics to turn more visitors into paying customers. Test different CTAs, messaging variations, and page layouts to discover what drives the most conversions for your target audience. 
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• Raise average order value (AOV): Implement strategies like product bundling, upselling, or cross-selling to encourage users to spend more per purchase.
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• Target high-value visitors: Focus your marketing efforts on attracting users who are most likely to convert and have higher spending potential.

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#2 Conversion rate: Another keystone of A/B testing

What is it?

The conversion rate is the percentage of users who complete a desired action you define as a success. 

This action — a "conversion" — can occur across various touchpoints and isn't limited to websites. It could be signing up for a service via a mobile app, downloading a white paper after attending a webinar or phoning a sales representative after seeing a social media ad.  

The conversion rate essentially measures how effective your efforts are at prompting users to take the actions you want them to take.

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How to calculate it:

Conversion Rate = (Number of Conversions / Total Number of Visitors) * 100

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How to improve it: 

• Prioritize A/B testing conversion rate: Continuously experiment with different messaging, CTAs, and creative elements to discover what resonates best with your audience and drives conversions. 

• Craft clear CTAs: Use strong calls-to-action (CTAs) that are specific and action-oriented, regardless of the medium (e.g., webinar registration button, social media ad with a "Learn More" link). 
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• Highlight value proposition: Clearly communicate the unique benefits of your product or service in a way that resonates with your target audience. 
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• Minimize friction: Streamline signup processes, minimize form fields, and offer multiple options for users to complete a desired action (e.g., phone number or email for lead capture). 
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• Build trust: Showcase social proof through customer testimonials, reviews, or case studies to establish credibility and encourage conversions.
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• Target the right audience: Tailor your marketing efforts to reach users who are most likely to be interested in your offering, increasing their propensity to convert.

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#3 Profit margins: The true lifeblood of your business

What is it?

Profit margins measure the percentage of each dollar of revenue that your business keeps as profit after covering all costs. There are several types of profit margins, including gross, operating, and net profit margins.  

Focusing on profit margins in A/B testing is crucial because it goes beyond simply tracking clicks and conversions. Changes that increase conversions might not actually benefit your bottom line if they drive sales of low-margin products or cannibalize profits from higher-margin ones. 

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How to calculate it:

Gross Profit Margin: (Revenue - Cost of Goods Sold) / Revenue * 100

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How to improve it: 

• A/B test for impact: Use a tool like Eppo to test changes and ensure they positively affect profit margins before full-scale rollout. Beware, as most A/B testing tools don’t offer data warehouse native experimentation and may give misleading or harmful data.

• Understand your product/SKU mix: Knowing which products or services provide greater profit margins can point you in the direction of promising hypotheses and away from ideas with potentially harmful second-degree impacts.
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• Increase customer lifetime value (LTV): Focus on retention strategies, upselling, and cross-selling to maximize revenue generated per customer over time.

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#4 Customer lifetime value (LTV): Predicting long-term value

What is it?

Customer lifetime value (LTV) is a prediction of the total revenue a customer will generate throughout their relationship with your business. It helps you understand the long-term worth of acquiring and retaining customers.

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How to calculate it:

LTV = (Average Order Value * Purchase Frequency * Customer Lifespan)

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How to improve it: 

• Excellent customer experience: Go the extra mile to captivate customers at every touchpoint, building strong relationships and promoting long-term loyalty.
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• Nurture customer relationships: Use proactive communication channels like personalized email campaigns or exclusive content to stay top-of-mind for customers and encourage repeat engagement.
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• Provide long-term value: Continuously demonstrate the ongoing value of your product or service through updates, new features, or exclusive benefits.

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#5 User retention rate: Building loyalty over time

What is it?

User retention rate measures the percentage of users who keep engaging with your product, service, or content over a given period. A high retention rate indicates your offerings are resonating with users and providing an experience that compels them to return.

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How to calculate it:

Retention Rate = [(Number of Users at Period End - Number of New Users Acquired) / Number of Users at Period Start]  * 100

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How to improve it: 

• First impressions matter: Deliver an exceptional onboarding experience that guides users on how to best use your product/service. Highlight the value they'll get.
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• Provide constant support: Offer accessible resources (tutorials, knowledge bases) and customer support channels to address user questions and pain points.
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• Foster a sense of community: Encourage user interactions through forums, social media groups, or exclusive member areas. This builds loyalty and increases engagement.
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• Reward loyal users: Implement a loyalty program or offer deluxe perks for frequent users to show them you value their steady engagement.

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#6 Customer satisfaction score (CSAT): Assessing immediate satisfaction

What is it?

Customer Satisfaction Score (CSAT) is a metric that directly measures how happy customers are with a specific product, service, or interaction with your business. It's typically collected through short surveys immediately after a customer experience.

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How to calculate it:

CSAT surveys usually ask customers to rate their satisfaction on a scale (e.g., 1-5). Divide the number of positive responses (typically ratings of 4 or 5) by the total number of survey responses and multiply by 100 to calculate the percentage. The formula would look like this:

CSAT = (Number of Positive Responses / Total Number of Responses) * 100

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How to improve it: 

• Ease pain points: Proactively identify and address common customer pain points (e.g., confusing return policy, slow response times) to provide a smoother experience.
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• Solicit timely feedback: Send CSAT surveys immediately after key interactions, while the experience is still fresh in the customer's mind.
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• Close the loop: Follow up with customers who expressed dissatisfaction to resolve their issues and demonstrate you care.

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Important note:

Note that metrics like CSAT may be difficult to accurately gauge, both in experiments and in standalone surveys, since they are both subjective, and continuous — meaning they require larger sample sizes to identify true signal from likely noise.

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#7 Cart abandonment rate: Optimizing e-commerce flows

What is it?

Cart abandonment rate in e-commerce means the percentage of shoppers who add items to their online shopping cart but leave without completing the purchase. This metric highlights potential friction points or frustrations in your checkout process.

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How to calculate it:

Cart Abandonment Rate = (Number of Abandoned Carts / Number of Shopping Sessions Initiated) * 100

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How to improve it: 

• Simplify checkout: Reduce the number of steps and form fields required to complete the order.
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• Display shipping costs upfront: Avoid surprise fees at the end, promoting transparency in the buying process.
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• Provide multiple payment options: Accommodate various preferences (credit card, digital wallets, etc.).
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• Retargeting campaigns: Use email reminders or targeted ads to nudge users to complete their purchases.

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#8 Click-through rate (CTR): Understanding engagement

What is it?

Click-through rate (CTR) tells you how often people click on your links, ads, or calls-to-action (CTAs) after seeing them. It's one of the most valuable A/B testing metrics for understanding if your messaging and visuals are grabbing users' attention and enticing them to take the next step.

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How to calculate it

CTR = (Clicks / Impressions) * 100

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How to improve it: 

• Compelling CTAs: Use action-oriented language and create a sense of urgency (e.g., "Discover More," "Shop the Sale").
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• Eye-catching design: Employ contrasting colors, bold visuals, or short videos to make your CTAs stand out.
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• Relevance is critical: Ensure your ads and CTAs align with the interests of your target audience.

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#9 Bounce rate: Diagnosing engagement issues

What is it?

Bounce rate measures the percentage of users who encounter your content (on a website, app, email, etc.) and leave without taking any further action. 

This could be anything from closing an email without clicking a link to leaving a mobile app after viewing a single screen. A high bounce rate might indicate that users aren't finding what they expect, the content isn't engaging, or there are technical issues.

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How to calculate it:

Bounce Rate = (Single-interaction Sessions / Total Sessions) * 100

Remember: The specific definition of a "session" and how it's measured will vary depending on the platform (website, app, email).

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How to improve it: 

• Match user expectations: Guarantee consistency between the messaging that attracts users (ads, social media) and the landing page content itself, reducing surprises that cause bounces.
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• Visual appeal: Use high-quality images, videos, and a clean design that's visually appealing to avoid users leaving due to a poor first impression.
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• Internal linking: Include relevant links to other content within your website or app to encourage users to explore further and reduce the likelihood of exiting.
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• Error handling: Clearly address 404 errors (broken links) with helpful suggestions or redirects to relevant content to minimize frustration.

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#10 Average session duration: Gauging content depth

What is it?

Average session duration measures the time a user actively engages with your website, app, or other digital content. Longer session durations often indicate that users are finding the content interesting, valuable, and worth their time.

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How to calculate it:

Average Session Duration = (Total Time Spent Across Sessions / Total Number of Sessions)

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How to improve it: 

• Content depth and value: Create informative and engaging content that fulfills a specific need for your target audience. This applies to emails, videos, presentations, or any digital content format. 
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• Strategic storytelling: Weave narratives or case studies into your content to connect with users on an emotional level and make it more memorable.
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• Encourage interaction: Design elements like quizzes, polls, or open-ended questions to prompt user interaction and extend engagement. This expands on the "interactivity" concept beyond websites. 
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• Content series: Structure your content as a series or ongoing narrative to give users a reason to come back for more. This could be a video series, a multi-part email course, or a sequence of blog posts.

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Next steps with Eppo

You now understand the critical role of metric testing through A/B testing in your business. 

But how do you efficiently manage and analyze this valuable data to drive meaningful changes? 

This is where you’ll want to use Eppo, an experimentation platform that can measure any metric in your business, to run your A/B tests. 

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See your results through the lens of data

Eppo's seamless integration with your data sources (Snowflake, BigQuery, etc.) brings all your A/B testing data into a single, easily accessible platform. Track crucial metrics like:

• Revenue and profit margins: The fact that Eppo is warehouse-native ensures accurate tracking of these critical metrics. Analyze the true financial impact of your changes, ensuring that A/B tests drive increased sales and protect the profitability of your different product lines.

• Conversion rate: See how different variations impact the percentage of users taking desired actions.
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• Click-through rate: Pinpoint how compelling your CTAs, ads, or other elements are at different stages of the user journey.
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• Bounce rate: Identify potential issues in your website or app's design, navigation, or content that lead to users dropping off.
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• Average session duration: Gain insights about how deeply users engage with each version of your content.

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Eppo helps you monitor these — and many other — metrics over time and analyze them across different user segments, revealing patterns and opportunities to optimize your A/B tests.

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Conduct experiments with confidence

Eppo's intuitive experimentation platform allows you to design and execute rigorous A/B tests safely. 

Its randomized testing approach ensures unbiased results, eliminating the potential for skewed data that could lead to incorrect conclusions. This gives you a reliable picture of how changes affect your primary success metrics.

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Make informed, strategic decisions

Armed with the insights derived from Eppo's robust analysis tools, you can make confident product decisions backed by solid evidence. Eppo goes beyond simple reporting, helping you:

• Identify winning variations: Clearly determine which changes drive the greatest improvement across your chosen metrics.
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• Mitigate risk: Predict the potential impact of a change before rolling it out to your entire user base and make sure that all information is coming from your internal source of truth. 
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• Keep testing: Build an optimization cycle where every change is grounded in data.

Eppo transforms your A/B testing strategy, turning data into actionable changes that drive measurable results and continuous improvement.

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Book a Demo and Explore Eppo.