📈 How to Succeed with Facebook and Instagram Ads: A Case Study
Are you struggling to make your Facebook and Instagram ads work for your e-commerce business? Look no further than this case study with a print-on-demand client. In this article, we'll break down the reasons why we succeeded and how you can apply these strategies to your own business.
Table of Contents
- Cold Testing Campaign Structure
- Retargeting Structure
- Lookalike Audience Strategy
- Winning Creatives
- Backend Marketing Funnel
- Horizontal Scaling Campaign Structure
- Vertical Surfing Strategy
- Offers
- Bonus: SMS and Email Marketing
Cold Testing Campaign Structure
When testing new products, it's important to start with a lower budget to avoid losing profitability. We recommend setting up one campaign for each product with five ad sets, each with different interests. Choose interests that fit your niche and change them for each ad set. Set up three identical ads in each ad set and set the budget to $5 per day. After three days, turn off any ad sets that did not generate purchases and optimize the ads that did.
Retargeting Structure
To recapture those who added items to their cart or showed interest in your products, set up one campaign with five ad sets and five different custom audiences. Use Facebook's custom audiences to create lookalikes of those who have already engaged with your brand. Offer a small incentive, such as a 10% coupon or free shipping, in your ad copy to encourage customers to complete their purchase.
Lookalike Audience Strategy
To create lookalike audiences, you'll need at least 25 purchases a week. Start with your custom audience and create a 1%, 1-5%, and 5-10% lookalike audience for purchases, add to cart, view content, all page and ad engagement, and video view 75%.
Winning Creatives
Our creative strategy took off when we started using reviews and outsourcing to influencers for video reviews. Use user-generated content to make your ads fit the platform without feeling like an advertisement. Use customer review text in your cold advertising and retargeting.
Backend Marketing Funnel
SMS and email marketing are essential for upselling existing customers and recovering those who abandoned their cart. Set up a retargeting funnel for SMS and email marketing, offering a small incentive to come back and complete their purchase.
Horizontal Scaling Campaign Structure
When you have an ad set that is profitable, duplicate it to a new campaign and set the number of copies to five. Set the campaign budget optimization to five times what your original ad set was and adjust the budget accordingly. After two days, turn off any unprofitable ad sets.
Vertical Surfing Strategy
When you have a product that is hot and you're ready to scale it up, increase your budget on your CBO campaign every hour by 100%. If your return on ad spend starts to decline, reset to the original budget.
Offers
Incentivize your customers with unique offers, such as buy one get one free or a free surprise. Increase the reward and lower the risk as much as possible to lead to a conversion.
Bonus: SMS and Email Marketing
Set up an SMS and email marketing funnel early on to upsell existing customers and recover those who abandoned their cart. Use retargeting campaigns and promotions to increase sales and revenue.
In conclusion, by following these strategies, you can succeed with Facebook and Instagram ads for your e-commerce business. Remember to test, optimize, and incentivize your customers to increase conversions and profitability.
