CRO / Merchandising Optimization
Objective: Identify the most revenue-efficient merchandising strategy for a given audience and catalog. Use CVR and RPV metrics to map the price-demand curve and find the optimal product to merchandise.
Step 1: Map the product catalog
Bubble position shows price and CVR. RPV updates live.
Step 2: Find the optimal RPV on the curve
Revenue per visitor helps show that the highest conversion rate does not always produce the strongest revenue efficiency.
Project Overview
This case study treats product merchandising as an optimization problem: identifying which products convert efficiently, which products monetize efficiently, and where price may be suppressing demand.
What the model shows
The plotted curve shows CVR declining as price increases, while the table tracks RPV so the strongest revenue products can emerge from the middle of the curve.
Key Learning
Paid traffic, homepage placement, discounting, and collection sorting can all move conversion rates. A useful model shows those shifts before you commit the homepage or the discount.
Key Takeaway
Low-priced products can convert easily, but mid-priced products may produce stronger revenue per visitor when price and conversion rate are evaluated together.
Synthetic Product Set
| Product | Price | CVR | RPV |
|---|---|---|---|
| Product A | $12.00 | 21.8% | $2.62 |
| Product B | $24.00 | 18.1% | $4.34 |
| Product C | $36.00 | 13.9% | $5.00 |
| Product D | $48.00 | 12.3% | $5.90 |
| Product E | $72.00 | 7.7% | $5.54 |
| Product F | $96.00 | 5.5% | $5.28 |
| Product G | $120.00 | 3.3% | $3.96 |
| Product H | $144.00 | 2.6% | $3.74 |
| Product I | $168.00 | 1.6% | $2.69 |
| Product J | $192.00 | 1.3% | $2.50 |
| Product K | $216.00 | 0.9% | $1.84 |
| Product L | $240.00 | 0.7% | $1.78 |
v0.4.29 · Updated 2026-04-18