How can you effectively test your distribution channels?

I normally test my distribution channel through my audience or target client, who will tell me the truth about the products and service I'm offering to them.

First, think about where you believe your product/service will get noticed the most. Is it on social media, through emails, or somewhere else? For example, if you're selling a new app for artists, you might guess that showing it off on Instagram will grab their attention because that's where lots of artists hang out. When I first started, I thought sending lots of emails would work best because we were targeting older professionals.

Define your channel hypotheses by outlining the assumptions you have about each distribution channel's potential effectiveness in reaching your target market and achieving your business goals. This may include hypotheses about customer preferences, channel reach, cost-effectiveness, and competitive landscape. Clearly articulate your expectations for each channel to guide the testing process and evaluate performance effectively.

Let's break it down with an example: You're launching a plant-based baking subscription box. Your customers? Eco-conscious millennials who love trendy recipes. Hypothesis: They're more likely to discover you on Instagram and value influencer recommendations over traditional ads. Remember, these are educated guesses! As you test your channels, you can refine your hypotheses and see what resonates most with your target audience. Bonus Tip: Don't put all your eggs in one marketing basket! Try a mix of channels and see what drives the most engagement and sales.

Plan some tests for your guesses. This means deciding what success looks like for you. Is it more people visiting your website? Or is it more people actually buying your product? You'll also need to think about what you'll show or tell people in these tests to grab their attention.

Design experiments to test your channel hypotheses. Define variables, objectives, and metrics for each experiment. Ensure clear comparisons with control groups. This focused approach yields actionable insights for distribution channel optimization.

Make sure you're ready to keep track of everything that happens. This might mean setting up special tools to see how many people click on your ads or preparing your team on what they need to do. It's super important to be organized. When we tried using ads on Google, we kept a close eye on every little detail to see what worked best.

Execute your channel experiments by implementing the planned tests according to your design. Ensure consistency in execution across all experiments and adhere to predetermined parameters and timelines. Collect relevant data and observations throughout the testing period to capture insights into the performance of each distribution channel. Monitor progress closely and address any unforeseen challenges or issues that may arise during the execution phase.

After your tests have run for a bit, take a look at how things went. Did some ways of sharing your product work better than others? Try to figure out why that happened by looking closely at the numbers and any comments people might have left.

Based on what you learned, tweak your tests and try again. This step is all about making little improvements to see if you can get better results. We changed our emails to make them more personal and direct, which really helped get more responses.

Once you find a way that really works well, start doing more of it. This might mean spending more money on it or showing your product to more people using that method. But, keep an eye on things to make sure it continues to work well. After figuring out that LinkedIn was a good spot for us, we slowly started spending more there but kept tweaking our approach to stay sharp.

Consider the scalability and sustainability of successful distribution channels identified through experimentation. Assess their long-term viability and potential for growth within your business model. Additionally, factor in external factors such as market trends, competitive landscape, and regulatory changes that may impact the effectiveness of your distribution channels over time. Continuously monitor and adapt your distribution strategy based on evolving market dynamics and customer preferences to maintain a competitive edge in your industry.