Busting The Fact About Importance Of Website Speed In Online Business EnvironmentPosted by Joe / October 27th, 2015 / No responses
In this world where people are behaving like robots and are struggling hard to save each and every single minute, the delay of even few seconds can be suicidal for your business organization in the long run. It has been seen that websites which take more than 2- 3 seconds to load are often not too impressive for the site visitors and they start looking out for other alternatives. Moreover, the website loading speed do makes a profound impact on the online search rankings and can affect your chances of making a global impact in your eCommerce business segment. In order to support this fact, here are the few case studies of various organizations that will explain you why website speed matters a lot for the eCommerce website performance and growth.
Case Study 1 Amazon- According to a presentation report by Greg Linden of Amazon, the brain behind the Amazon’s recommendation engine to an organization called Big Data, gave the conclusion that even a minor 100 millisecond delay in the website’s loading speed could cause revenue loss of 1% to the organization. Further, it amounts to a massive revenue loss when compared to the total estimated revenue generation by eCommerce giant, Amazon in the year 2014 which stood for a gigantic $74.5 billion would be around $745 million.
Case Study 2 Bing- Now, take the case of another IT giant, Bing that will explain you how minor web server delays can affect your overall business organization. As per the joint study conducted by Eric Schurman (Bing) and Jake Brutlag (Google), they evaluated the results of a longer web server delays of more than 1.5 seconds on the overall business potential of Bing. Here are the startling facts regarding that test which saw decrease in the various key performance metrics like
- User satisfaction with a drop of 3.8%.
- Revenue per user with a drop of 4.3%.
- Number of clicks being lower with a percentage of 4.4%.
Case Study 3 Google- In another experiment conducted by the Marissa Mayer (Present CEO of Yahoo and a previous VP at Google) and his team on Google’s search results showed how displaying the different number of search results on a page could affect the search behavior of the users. For their test, they tested a 10 search results variation against 30 search result variation and the response they got can be summarized as follows.
More number of search results on a single page affected the search behavior of the user by 25% due to the increase in page loading time.
The report showed that the page with 30 search results had a response time of 0.9 seconds whereas the page with only 10 search results had a response time of 0.4 seconds.
The study revealed that a minor delay in the response time of even 500 ms in this case can be a significant reason for the steep decrease in the page impressions of the website.
By carefully studying the case study of three major online organization, it can be deduced that a website loading speed can drastically affect its conversion rates, site traffic, sales revenue, site performance and customer engagement. So, don’t ignore the loading time of your site as it has the potential to decide the future course of your online business organization.