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The Split Test Calculator & Decision Tool is an easy-to-use, simple tool that will help you decide which of two options you are testing for your pay-per-click campaigns is more effective.
The tool not only calculates which of the two options being tested is most effective, but also calculates the confidence level of the results. This is important because without a confidence level that is high enough from a statistical standpoint (95% is the usual standard quoted), you cannot be certain that the results are not just a result of coincidence or chance. In essence, a confidence level of 95% tells you that there is a 95% percent chance that the results are accurate and due to actual differences between the two items you are comparing, rather than being due to randomness.
To use the tool, you simply enter the number of visitors for each version of the page or text ad and the number of visitors who carried out the goal (a download, purchase, etc.). The conversion rate is a rather simple calculation, but it is the addition of the confidence level that allows you to be certain that the results are statistically significant enough to base further action upon.
If you are a math wiz and can handle the complexities of advanced Excel use, you could probably set up a similar tool on your own. But if you are just beginning to investigate ways of judging the efficacy of the testing you are doing on your pay-per-click campaigns, a tool like the Split Test Calculator & Decision Tool can be extremely useful at easing you into the sometimes confusing world of statistics and how they play an integral part in pay-per-click advertising.
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