How to evaluate the effectiveness of a next-best-action system?

The effectiveness of a next-best-action system can be evaluated using metrics such as:

  • Conversion rate: How many of the recommended actions led to desired outcomes like purchases or sign-ups
  • Engagement rate: How often customers interact with the next-best-action suggestions
  • Customer retention: The impact of personalized actions on customer loyalty and repeat business
  • Satisfaction: Feedback and survey data from customers on the relevance and value of the recommendations

Snowplow's event data can provide the insights needed to track these metrics and measure the success of the next-best-action system.

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