Earlier this year we dramatically simplified our categories. While the results have been very encouraging, we believe we can do better.
Today we’re unveiling a mix of the old categories and the new ones we released. We believe this is the best of both worlds.
Categories are a very difficult thing to nail down. You want combine accuracy for our inventors, but also enough be general enough that customers see a wide range of products. After simplifying the categories, the results were clear:
- 2.8x traffic to top category pages
- Customers browsed more with fewer categories
The problem was our sales weren’t very evenly distributed. 40% of orders went to Parts, 40% to Tools, and 20% to the remaining 4 categories. We knew we needed to make some alterations with that skewed a distribution.
After looking at the data over the last few months, here are the new categories and their percent of sales (as applied to that same data):
- Components – 38%
- Sensors – 19.7%
- Tools – 17.8%
- Music – 10.8%
- Lights – 7.2%
- Gaming & Kids – 6.5%
While the bulk of the current sales are in Components, that category also has 7x – 14x the number of products as the other categories. As products migrate out of components and into their correct category, our expectation is revenue will become more evenly distributed.
We don’t want you to question which category your product should go into, and the impact it will have on your sales. We continue to fine tune the best ways to display, browse and search for your products to ensure your sales are as high as they should be. Categories will never be perfect (ask Amazon!) but we believe this is a step in the right direction – combining the simplicity of before with the categories from last year.