February 28, 2025
Experimentation is often misunderstood or overlooked as a strategic business tool. Despite its proven impact, many organizations fail to implement it effectively. Research shows that companies that accelerate testing early and increase velocity by 20% year over year outperform competitors (Optimizely, 2023). Yet, many marketers and executives struggle to see its value or how to integrate it into their operations.
The good news: experimentation does not have to be complex. By simplifying the process and starting with the fundamentals, organizations can quickly gain insights and drive meaningful improvements.
What is experimentation?
Experimentation is the scientific method applied to business. Just as in a science lab, organizations test hypotheses, analyze results, and make data-backed decisions. The process follows a simple framework: ask a question, test a hypothesis, and evaluate the outcomes.
Experimentation helps refine user experiences, optimize conversions, and enhance engagement through measurable insights.
The experimentation mindset
Experimentation means different things to different people. A scientist refines hypotheses in a lab. An artist adjusts colors and textures to create a new effect. A marketer tests variations of an ad campaign to determine which resonates most with an audience.
Despite these differences, the approach follows a common structure, echoed in a familiar Sesame Street framework:
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I wonder: Define the problem based on observations and past experiences.
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What if: Form a hypothesis to address the challenge.
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Let’s try!: Implement the experiment, gather results, and refine strategies.
In one episode, Elmo and Rosita raced ping pong balls down ramps. When Rosita’s ball was slower, they questioned why. Observing that Elmo’s ramp was higher, they hypothesized that increasing Rosita’s ramp height would yield a tie. They tested their idea and confirmed their hypothesis.
This framework mirrors digital experimentation — asking questions, testing ideas, and using insights to iterate.
Tactics for digital experimentation
Digital experimentation involves structured methods designed to enhance user experiences. The three primary types include:
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Experiment: Discover new possibilities without fear of failure.
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Test: Validate assumptions and measure impact.
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Personalize: Tailor the user experience based on audience segments.
Insights from experimentation inform strategy, guiding teams toward data-backed decisions that drive optimization and growth.
Cultivating curiosity
The biggest barriers to experimentation are not technology, but internal resistance to change. Leading companies like Netflix and Amazon use experimentation as a competitive advantage. According to the Harvard Business Review, "To successfully innovate, companies need to make experimentation an integral part of everyday life. That means creating an environment where employees’ curiosity is nurtured, data trumps opinion, and experimentation is embraced."
Many organizations try to overhaul everything at once. Instead, starting with small, impactful changes aligned with key business objectives is more effective. Leveraging existing technology before investing in new tools helps streamline adoption and scale experimentation gradually.
How Valtech can help
Experimentation is a powerful driver of innovation and business optimization. By fostering a culture of curiosity and data-driven decision-making, organizations can unlock new opportunities for growth.
Valtech helps businesses implement structured experimentation strategies, leveraging data to refine digital experiences and optimize results. Get in touch with our Data & Analytics team to start your experimentation journey today.
