Thanks to Google’s Website Optimizer, the phrase “Taguchi Methods “ has become one of the hottest (and most misunderstood) in Internet Marketing right now. As an Applied Statistician, I learned that Taguchi’s methods in terms of understanding and implementing quality into a product. To Internet Marketers, the phrase “Taguchi Methods” describes a subset of Taguchi’s contribution to the design of experiments.
Within the web analytics world, I have noticed two common themes regarding the "Taguchi Methods" and how they are used within the Web Analytics Space. I was working with a client whom had mentioned they had wanted to use the "taguchi methods" in order to test the optimum pay per click ads for their keyword programs. The first thing he had confusion about is the difference between multivariate testing, A/B testing, and Taguchi functions. The second thing he asked me about was why some of the tests created through Taguchi Metho
