Diminishing Returns

In economics, diminishing returns (also called diminishing marginal returns) is the decrease in the marginal (per-unit) output of a production process as the amount of a single factor of production is increased, while the amounts of all other factors of production stay constant.The law of diminishing returns (also law of diminishing marginal returns or law of increasing relative cost) states that in all productive processes, adding more of one factor of production, while holding all others constant ("ceteris paribus"), will at some point yield lower per-unit returns.
Posts about Diminishing Returns
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  • The Rise of the User Experience Marketer

    … still have some ground to cover before marketing and UX have truly mutual goals. Comments like this make me sigh, though I understand where he’s coming from. I’ve seen firsthand the power of user testing, but usability tests deliver well-known diminishing returns. One user provides value, and five users can get you 80 percent of the way – but hard…

    Brittney Sheffield/ Search Engine Watch- 13 readers -
  • SEO in 2015: Prediction Trends & Your Action Plan

    … for publishers. Many companies focused on informational posts, trying to answer their visitors' questions. Content-driven businesses might see diminishing returns on their efforts in 2015 since Google's Knowledge Graph is aimed at providing instant answers and keeping searchers on Google.com. A better approach would be to write long and informative posts…

    Lyena Solomon/ Search Engine People Blogin SEO Twitter- 18 readers -
  • How Often Should I Share a Blog Post on Social Media?

    … to that post a second time the next day? Does the traffic double? Based on the law of diminishing returns, no. That’s not quite what happens during the second round. But, if we share the content again a third time, the traffic (for the second and third sets of shares combined) more than doubles. How can you argue with results like that? - Garrett Moon How…

    Kevin Shively/ Simply Measuredin Social Content How To's- 17 readers -
  • The Rise of the User Experience Marketer

    … it clear that we still have some ground to cover before marketing and UX have truly mutual goals. Comments like this make me sigh, though I understand where he’s coming from. I’ve seen firsthand the power of user testing, but usability tests deliver well-known diminishing returns. One user provides value, and five users can get you 80 percent…

    Brittney Sheffield/ Search Engine Watch- 11 readers -
  • Maximize PPC Productivity: 2 Killer Tips

    … geotargeting to match customer zips Low High High Raise bids on top keywords Low Med Med Add expanded sitelinks Low Low Med YouTube remarketing Med Med Med Clean up duplicate keywords Low Low Low Review SQR to find negative keywords Low Low Low Not only are difficulty and impact specific to each account, but they will change as performance and resources…

    Caitlin Halpert/ 3Q Digitalin Paid Search YouTube- 12 readers -
  • How to Win Instagram with Six Simple Tests

    … who is comfortable using hashtags, and they can too. Test the number of hashtags you put in your captions, too (covered below), and experiment to find the sweet spot. Aside from the caption, you can use hashtags in comments to continue to tell your story. While these can be used as additional space to add keywords and hashtags, they can also…

    Convince and Convertin Social Content Twitter How To's- 17 readers -
  • Eliminate Conversion Bottlenecks In Your PPC Campaigns

    … are controlling your spend with bids instead of budget caps, you can look to increase spend by pushing your ads into higher positions to drive more clicks and conversions. Be careful, though; you will reach a point of diminishing returns where pushing into a higher ad position can start to hurt overall cost-per-action as the clicks become too…

    Garrett Bugbee/ 3Q Digitalin Paid Search- 14 readers -
  • For Converting E-Commerce Transactions, Time is of the Essence

    … points, or free shipping at particular price points. These same tactics are also effective in bringing customers back to abandoned shopping carts. By the end of this middle half-hour, almost seventy percent of all purchases have been made, with another six percent still converting in the final fifteen. Because of the diminishing returns…

    Jim Shannon/ Dex Media- 10 readers -
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