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Measuring the Business Impact of Web Performance 1 Buddy Brewer [@bbrewer]
Measuring the Business Impact
of Web Performance
1
Buddy Brewer [@bbrewer]
2
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Why Care About Performance?Slow load times damage traffic and sales
5
Why Care About Performance?Slow load times also damage reputation
5
Performance isn’t just one simple numberWeb sites deliver good and bad experiences every day
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How Should I Approach Performance?Performance optimization in three steps
How fast am I? How fast should I be? How do I get there?
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How fast should I be?The industry has lagged here
4
What is Real User Measurement?JavaScript-based Real User Performance
Analytics
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Tracking ConversionsWhat’s a “Conversion”?
Orders
Shares, Likes, Comments
Page Views
Subscriptions
Signups
Dealer Locators
Game Item Purchase
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Measuring the impact of speed on businessExample 1: Impact of speed on conversion rate
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Measuring the impact of speed on businessExample 2: Impact of speed on bounce rate
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This Means We Can Measure PatienceAnd if we can measure it, we can manage it
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Example
Time range: 1 month
Median Load Time: 4.12
Visits: 25M
Conversion Rate: 2.7%
Average Order: $100
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Can We Do Better?Speed increases drive business improvements
Median Load Time: 4.12s
Total Conversion Rate: 2.7%
Conversion Rate @ 3.0s: 4.9%
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Faster pages convert more frequently
4.12 sec
2.7%
3.0 sec
4.9%
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What Are We Playing For?Impact is Measurable and Significant
Total Conversion Rate: 2.7%
Best Case Conversion Rate: 4.9%
Conversion Gap: 2.2%
Visits: 25M
AOV: $100
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What Are We Playing For?Impact is Measurable and Significant
(4.9% - 2.7%) * 25M * $100 =
$55M
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What Are We Playing For?Impact is Measurable and Significant
1 second = $55M
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BUT
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Potential vs Realistic GoalsImpossible to achieve ideal speed at 100th percentile
Median Load Time: 4.12s
Total Conversion Rate: 2.7%
Conversion Rate @ 3.0s: 4.9%
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Refining Performance GoalsWe can make these more realistic and iterative
Target Load Time: 4 sec (vs 3 sec)
Percentile at 4 sec: 49
Target Percentile: 60th
Percentile Gap: 11%
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What Are We Playing For?Impact is Measurable and Significant
(4.9% - 2.7%) * (11% * 25M) * $100 = $6M
Improving from
4.12 sec @ 50th percentile
to
4.0 sec @ 60th percentile
=
$6M / month
100% data collection
Stored forever
Processed in real time
Correlated to things that matter
© 2014 SOASTA CONFIDENTIAL - All rights reserved. 26
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Customer Spotlight - StaplesPerformance improvements lead to business gains
mPulse data led to changes in JavaScript, CSS
Reduced JavaScript size by 48%
Refactored CSS, reduced size by 83%
Shaved 1 full second off of Home page median load time
Shaved 6 seconds off the 98th percentile
Conversion improved by 10%
