DROPSHIPPING - THE HOLDOUT EXPERIMENT PLANNER (Chapter 4) Does your advertising CAUSE the sales, or just stand next to them? Write the prediction and the decision rule BEFORE you start, so the result cannot be negotiated with. EXPERIMENT ONE - THE GEOGRAPHIC HOLDOUT (the stronger evidence) Region paused (a meaningful share of orders): ______________________ Paused from __________ to __________ (two weeks). Everything else identical: same creative, same budget elsewhere, same emails. 4-wk avg/wk test avg/wk change Region paused $__________ $__________ ______% Rest of market $__________ $__________ ______% Implied ad contribution in the region = rest-of-market change minus paused change: ______% (book: +2% minus -18% = about 20%) EXPERIMENT TWO - THE STEP CHANGE (only if no clean region exists) Hold total spend flat 2 weeks -> cut by half 2 weeks -> restore. Record weekly revenue, with organic and email separately. Weaker evidence: note that in your record so you don't later remember it as more certain than it was. Treat a small move as inconclusive. CAN'T AFFORD TO LOSE REVENUE ON PURPOSE? (cash-blocked stores - don't) [ ] Now, free: the one survey question (below) [ ] Now, free: unplanned holdouts already in your data (paused accounts, declined cards, budgets out at 4pm) - dates: __________ [ ] Later, cheap: one small region, one week, once a buffer exists MY PREDICTION (a number): the paused region will move ______% MY DECISION RULE: "If advertising contribution comes out under ______, I will ____________________________________________." THE THREE OUTCOMES - decide now which action each gets Most of it was coming anyway -> shift spend from re-reaching people who know you toward reaching people who don't Roughly proportional -> measurement was about right; move on More than proportional -> ads feed your other channels; a license to spend more IF the cash and margin chapters support it Run it again in six months: the answer goes stale as the store grows. THE ONE SURVEY QUESTION - order confirmation page, AFTER purchase "How did you first hear about us?" (free text, or a short list + "other"). One question only. Added on: __________ ---------------------------------------------------------------------- From Dropshipping - Advanced. The full method is in the book; every free worksheet: eports.global/resources/dropshipping ePORTS — your ecom source. eports.global.