Creating in-demand floral solutions and pricing them effectively using A/B testing
[Hua11.com Original] A/B testing, originally a web page testing technique, is a powerful method for optimizing performance by comparing two versions against each other. In simple terms, it involves creating two plans (such as two web pages with similar content but different designs), assigning some users to plan A and others to plan B, and then recording user interactions to determine which plan yields better results (e.g., more clicks and higher conversion rates).
Hua11.com extends this concept to product demand testing and pricing strategies for flower shops. Let's explore two common scenarios:
1. Case One: Light Indoor Flower Arrangement
- Imagine a customer who wants an indoor flower arrangement but lacks familiarity with flowers. They don't know which flowers to choose, how many to use, or what the overall effect will be. Their budget is vague, lacking a clear concept or range. In such cases, customers often request that we provide a plan.
2. Case Two: Monthly Subscription Flower Project
- Suppose a flower shop plans to launch a monthly subscription flower service. However, they're uncertain about the pricing strategy. A/B testing becomes invaluable in determining the optimal price point.
By applying A/B testing principles, flower shops can make informed decisions, enhance customer experiences, and drive business growth.
In Case One (light arrangement demand), we can follow these steps:
1. A/B Test the Customer's Psychological Price:
- Without a budget, creating an accurate plan becomes challenging. Therefore, our first task is to determine the customer's approximate budget.
- Since the customer lacks a concept, we need to educate them about key flower-related concepts:
- There are various types of flowers, each with different price levels.
- Flower materials within the same color system offer flexibility in pricing.
- Armed with this knowledge, the customer transitions from confusion to having a clearer understanding of the feasibility and flexibility of the light arrangement. However, the exact price range remains uncertain.
2. Analyze the Light Arrangement Site:
- Examine how many main scenes the customer plans to use and the number of supporting decorations.
- Visual aids, such as showing similar cases and renderings, enhance understanding. These visuals provide an intuitive sense of the arrangement's potential.
- After describing the plan, propose a price—say, $8000—as part of Test A (using premium flower materials).
3. Customer Reactions:
- Customers typically respond in one of two ways:
- "Too Expensive!": If the customer firmly expresses this sentiment, the proposed price exceeds their expectations.
- "Um..." (Thoughtful): In this case, the price aligns more closely with what the customer had in mind.
4. Adjusting the Quote:
- Based on the customer's reaction, we fine-tune the price to match their psychological threshold. For instance, we might propose $5000 (Test B, using different flower materials).
- Customers with the first reaction above likely find this adjusted price acceptable.
- The second type of customer may inquire about quality differences and the quantity of flowers used, indicating that their budget falls between the two quotations (A and B).
5. Effective Communication:
- Through multiple rounds of dialogue, we gain a more accurate understanding of the customer's psychological price.
- The customer also gains insight into the plan, preventing unrealistic demands that exceed their budget.
- Successful collaboration benefits both parties.
6. Cautionary Note:
- Failing to execute this step well—resulting in a plan quote far beyond the customer's expectations—may lead to lost orders.
Building upon the relatively accurate budget, let's create a plan using A/B testing:
1. Imagining the Final Effect:
- While the customer has a general idea, they may struggle to visualize or express the ultimate arrangement. Therefore, another round of A/B testing becomes necessary.
2. Dual Plan Approach:
- For the parts of the plan that the customer is clear about, we proceed accordingly.
- However, for the remaining aspects, we present two sets of plans:
- Plan A: Designed to achieve the best effect within the budget range.
- Plan B: Tailored to match the customer's preferences (based on our informed guess).
- We submit both plans simultaneously to the customer.
3. Budget-Friendly Choices:
- Since both A/B plans fall within the customer's budget, they are more likely to make a selection.
4. Competitive Advantage:
- In a competitive market, this strategy increases the likelihood of closing the deal. Customers seek multiple suppliers precisely because they want options.
5. Quality and Expectations:
- Remind the customer that quality correlates with price—a fundamental truth in the floral industry.
- Clearly communicate the quality and output associated with the chosen price point. Accurate expectations prevent disappointment and foster long-term cooperation.
In Case Two (monthly subscription flower pricing), consider the following approach:
1. Initial Launch and Testing:
- Since you lack clear insight into customer acceptance ranges, begin by launching two subscription packages:
- Package A: Priced at 128 yuan
- Package B: Priced at 228 yuan
- Create one or two sample arrangements for each package.
2. Market Launch and Customer Reaction:
- Directly introduce these packages to the market and observe customer responses.
- After continuous testing for one month:
- If more customers purchase Package A (128 yuan), proceed to launch Package C (priced at 178 yuan) for further testing.
- If more customers prefer Package B (228 yuan), introduce Package D (priced at 328 yuan) for additional testing.
3. Iterative Refinement:
- Repeat this process iteratively.
- Ultimately, retain 2 to 3 packages based on customer preferences.
- Avoid offering too many packages, as it complicates inventory management and cost control.
Remember, your customers vote with their wallets. By mastering A/B testing, you'll develop a systematic approach to product planning and pricing—one of the essential skills for modern flower shop and studio operators.
(For a detailed analysis of the monthly subscription flower project, refer to: [Hua11.com · Product Analysis Series 1] Ultra-detailed guidence: can flower shops compete with e-commerce's 99 yuan monthly packages?)
Copyright Statement:
This article is an original creation by Hua11.com and is included in the “How to Run a Flower Shop and Floral Studio” Ebook. The content of this article may be periodically updated and is initially published on the Hua11.com official website blog. You can find the article at this link: https://hua11.com/blog/4696.html.
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The work titled “How to Run a Flower Shop and Floral Studio” is copyrighted by Hua11.com. Additionally, the “Practical Floral Training” model and the concept of “Light Decoration” are original creations by Hua11.com. The trademark “花艺意” is registered and protected by relevant national laws.