KPI optimization

Constructor's grounding philosophy is that the most important goal for search, browse, and recommendations is not to drive abstract metrics of relevance or subjective impressions of appeal, but rather to drive real business results.

These business results are captured by key performance indicators (KPIs) that define success for our customers and their businesses.

By default, Constructor will prioritize for conversion rates, ranking results with the goal of increasing this rate. Constructor is agnostic to the outcome targeted for optimization, but we recommend choosing 1 or 2 to make the primary goal of Constructor's machine learning algorithms. Some common KPI goals include:

• Conversion rate
• Unit volume
• Total profit
• Total revenue
• New customer conversion rate
• Clearing high-inventory products

These goals may be more nuanced, though. For instance, a customer may have profit as their primary goal, but not the ability to communicate cost of goods sold / margin data to Constructor. So instead, they can prioritize revenue, while increasing the rank of store-brand products and suppressing the rank of loss-leader products used to drive inbound interest.

Constructor's goal is not to fit customer KPIs into a rigid structure or preconceived box, but instead partner to define the goals for product discovery with each customer. This partnership is accomplished through a discussion during the onboarding process to arrive at the key business outcomes to target in product discovery.