For stores with lots of SKUs, the dynamic display of products has been a real winner for many on Facebook ads over the last 12 months. Facebook’s ability to dynamically pull products from a catalog and present them in an optimized manner has been a game-changer for many brands.
But is your brand utilizing dynamic catalog displays to their fullest potential?
For a while, most only used catalog displays for retargeting, which makes sense. People at this stage of the funnel already know about your brand and selling points, so may simply need reminding of the products, or presented with similar ones in order to drive conversion.
However, more recently, Facebook has come through with more top-of-funnel options for dynamic display.
Now I know what you’re thinking, I can’t just put my catalog in front of people and expect them to buy, and you would be correct. Whilst this may work for some brands, for many, we need content to sell them, and we need our products laid out in a way that’s easy to digest.
This is what collection ads offer.
The collection is an ad format that lets people move from discovery to purchase in a smooth and immersive way. Each collection ad features a primary video or image with three smaller accompanying images below in a grid-like layout. Customers who tap on your collection ad to browse or learn more will be seamlessly taken to a fast-loading visual post-click experience powered by Instant Experience – all without leaving Facebook or Instagram.
This allows you to bring forward the browsing experience from your website to Facebook whilst also offering value and a chance to inform with media and copy. This is very useful for a few reasons:
We get all the benefits of a traditional video or image post allowing you to inform the viewer of what your product is about, its selling points, features and benefits. As we know this is crucial in the sales process and means.
By bringing the browsing experience to Facebook, people can see your full range of products with prices, and you can even segment your “storefront” collection into sections of relevant products (shopify collections). This means people see more products, so could be more likely to be intrigued enough about one to click through to the website, compared to if they were presented with an image of a single product. For stores with multiple collections, this is a game changer.
The fact they’ve already watched your video or seen your content, browsed your full range, seen the price, (all whilst still on facebook) and then still clicked through to the website means that the conversion rate from this traffic is likely to be higher and more qualified. Of course, this is not the case 100% of the time, however it’s what we have seen on multiple accounts, and makes sense as we can still use the video and copy to handle objections.
Engagement retargeting – By clicking on your collection, someone is engaging with your post. This instantly puts them into an engaged audience in the middle of funnel campaigns. If people are more likely to click because they don’t have to leave Facebook, this means you’re building a larger, warmer audience faster, and the best bit? This has nothing to do with Facebook pixel retargeting, so you don’t have to worry about tracking issues, or a smaller retargeting audience. This is a really useful retargeting strategy going forward, particularly if your brand is one that was heavily reliant on pixel data, rather than engagement data for retargeting, and have seen a large reduction in audience size since ios14.
So as we can see, collection ads have a range of benefits over single image or video ads, and with three different layout options – Storefront, Customer Acquisition, and Lookbook, there’s no reason not to be testing these formats in your ad account.
Whenever we start working with multiple product brands, we analyze the backend data in order to understand the best-performing product.
Afterward, we go through the ad account and search for the campaigns sending traffic to this product.
Only after confirming the best performing product with the client (sometimes clients have different perspectives on this question) do we analyze the strategy the client has been using for advertising this product and put together ideas for our strategy.
So why do we usually start with 1 product?
This is the most efficient way to build a sustainable base in the ad account.
Why? Because you have an opportunity to clearly test your media buying strategies since you know that the product shouldn’t be an issue since it proved to be the best performing.
You can obviously use catalog sales for the retargeting traffic but start pushing prospecting traffic just for this top product.
Another advantage of this type of testing is very accurate and conservative budget testing.
Since you’re not spreading the budget across all the multiple products, your testing budget can be quite conservative.
So this is the best moment for testing audiences (interests, lookalikes), different GEOs, budget, bid, and other types of campaign settings.
While you’re looking for the winning combinations, you should also be testing different types of creatives and creative angles.
As I said, all of these tests will help you depict a clear winning strategy. In the end, you will know which audiences work best for the business and which type of creatives resonate with your audience.
Once you have stable campaigns which bring enough revenue for you to start scaling them, you can proceed with product testing.
Use the findings that you got from the previous tests and start going through the products.
Test 1 product at a time. If the campaigns are not performing well, the main conclusion will be that this specific product is not worth advertising.
After several rounds of testing, you will define a list of best-performing products and will be able to advertise them successfully and profitably.
Another tip you can use after you have this list is creating bundles based on the best-selling products – this will increase your average order value and will help you continue scaling your campaigns.
You can also use upsells for promoting the top products and again increasing the AOV.
We find these procedures much more effective than testing multiple products at a time. The main reason is that you’ll never know whether the product is not performing or your media buying strategies don’t apply to this account and this brand.
So my main piece of advice will be – ALWAYS TEST SMARTLY =)
After the iOS14 update, we’re all driving ourselves crazy trying to find audiences that really work for our brands…😓
Lookalikes based on custom events have been affected. Facebook is no longer able to track people as it did before due to the increase of opt-outs.
Of course, these changes are affecting attribution and reporting, but not the deliverability of the ads. Therefore we need to focus on the quality of the whole setup of our ads, looking into audiences, placements, and creatives.
Read More: Don’t Trust Your Facebook Rep, Always Trust the Testing Data
Today, I want to share a recent test I’ve been doing in some of our accounts and it’s been effective so far: targeting Android Devices Only.
If you haven’t tested it yet, it’s something you definitely need to consider as you might be able to find some stability in your ad account!
Here’s how I set it up:
Since you’re just targeting Android users, your audiences will be smaller so it’s important to select your best-performing countries where you know the ads will be delivered efficiently. If you are targeting worldwide and it’s performing well, then continue targeting Worldwide.
Choose your best performing 3-5 audiences and place them in a CBO with a minimum ad spend per day.
You can even split them by campaign so that you are targeting one interest or lookalike at a time.
It’s important to test cold traffic audiences first, as you will have more data than on retargeting.
Select all platforms so that the ads get more deliverability.
Choose your best 3 best post ids that have quite a lot of social proof for better results. You can also use your 3 best creatives if you still don’t have enough social proof on your ads.
I have tested this in several accounts and in most cases, I’ve been able to scale the campaigns on the first 5-7 days.
For scaling, I recommend slowly raising the budget 20% when hitting the KPIs, instead of duplicating the campaign or ad set, as the audience might not be big enough.
*You can also run an A/B test targeting Android Users vs All Mobile Devices, leave it for approximately one week and analyze the results to decide if it’s worth testing it with more audiences.
When it comes to Instagram Stories, you have to think about building a sustainable strategy.
Since Stories disappear after 24 hours, you can have a lighter approach or be more ad-hoc with your content creation. With a bit of planning, you can complete your normal posts with quality content stories and create highlights for visitors to browse.
What kind of content is the best choice for Stories?
The story surface is great to get more personal. You can create stories based on your IG feed posts and save information on your highlight for people to revisit when looking at your profile.
Engage your follower base! Ask an open question or start poll about colors, styles, and improvements of your product.
You can create a weekly routine, like a “Sweepstake – Sunday”, or a “Tell-your-story Tuesday” or even a “Flash-sale Friday” – your followers will wait for these events and will be more and more active every week!
Feature a follower’s post or story, showing your audience how often your customers mention you, and also to showcase positive customer reviews.
You can answer customer questions – and save the post into a FAQ / Q&A story highlight.
Interact & involve – In the morning, ask people what they plan for the day, share your plans and in the evening you can inform them about the week’s schedule you are planning. (promotion, sweepstake, live etc)
Use location stickers, date & time stickers, and insert poll stickers to get your followers involved. Ask questions about the content your followers want and create that content the day after!
“Ask me anything” day – you can get valuable input about the topics your customers are interested in. Replying on these questions will increase brand awareness, and will make your brand likable.
Promote your fresh content: New blog post, new events, upcoming promotions – or a countdown until the new product arrives.
If you start implementing these tips, you’ll easily fill your IG story with valuable content.
Try to post at least 3x / week, or if you can build out a thematic plan – try every day! Your customer will like the value you provide. Just try not to repeat yourself.
In the next chapter, I will come back with some Reels & IGTV tips – stay tuned!
Attracting customers is what every business needs to do. This would allow an increase in sales and compete better in the market.
Understandably, this side of the business is just a bit of a challenge to assess how much to spend on what.
Power of branding
Branding is a reflection of your product, people go with someone they are familiar with. Putting a budget to branding efforts allows you to empower your business.
Content creation to build an audience
Content is the future of your audience. From content, you’re building your audience that builds your community which makes your company.
The better the content is, the more the audience the higher the ROI.
Why settle for software with limitations?
The better the marketing software you have the more features you have, the more that you can make in ROI. Go big, and it will pay off as time goes on.
Experience is what matters at events. It’s something people talk about.
The better you provide the better the outcome. Would you sacrifice a few dollars spending on conference room and food and being told of it? Instead of people telling how good it was with you in the event and asking more people to join.
It is important to do quarterly and annual assessments for you to identify whether projections are aligned with the actual spending.
Making this a practice will allow you to refine your efforts and have an accurate budget as you go along.
Throughout this time we managed to get a good understanding of the customer behavior and trends weekly and we were able to build a solid strategy with the marketing dynamics.
Typically with the customers, we see that we see a huge drop in sales and conversion rate every second week of the month relative to the payday cycle. This is usually because people don’t have money to spare, at least with our customer base.
We understand that our demographic likes to spend money as soon as they get it which is why we typically see a spike at around the 15th of every month and the last week when payday hits. The first week of the month was based on some educated guessing, they settled all their bills and have a little extra left to ‘treat’ themselves.
Typically we lose a lot of our margin in the second week of the month since we don’t usually scale down the account and the ads keep on spending, which eats away our margins.
To combat this, we implemented a few changes to our strategy and added some new tactics in our marketing and advertising strategy to get those sales up and keep all the numbers green.
Here’s what we did.
1. New Creatives
I can’t stress enough how important creatives are. I have written a few posts about how you can test creatives, this was back when Facebook was still performing relatively normal, but it still applies.
I think there are a lot of times one neglects the creatives, I am sometimes guilty of this as well, but the results speak for themselves. As soon as we refresh our creatives and angles, we see a big improvement in both conversion rate and overall ad performance.
We dived deep into the comments of previous ads, the reviews, and the typical questions customers have surrounding the product. Based on the information we gathered, we did more research on the types of questions and found new pressure points.
We used this to create new angles for the ad copies and implemented them with the actual creatives. We were able to do this all with free content found on Canva, which means you don’t have an excuse not to do it as well
2. Landing Page Updates
We used this “slow period” to focus on updating the landing page, by adding fresh content, updating the reviews on the product images, and just giving the website a little overhaul.
We already built the page to be optimal for conversions but as I mentioned above, there is also room for improvement even if it’s minor, we started seeing an increase in our conversion rate.
3. Diversify Your Product Offers & Ads
We decided as well to start implementing dedicated campaigns to our lower down the line products since we focus and scale our flagship offers and products.
We did just as much work with our lower down the line products regarding research, creatives, and ad angles to start focusing on these products just as much as the flagship products.
Since we had to reduce ad spend during the second week of the month for our main campaigns, we were able to diversify the budget and run multiple campaigns at the same time with different offers and stabilize sales.
The overall AOV was lower but we were able to maintain a steady stream of sales.
4. Push An Exciting Offer
This might sound very generic, but hear me out.
During the slower week of the month, we implement a new offer to the customers and added it to our email marketing campaigns on all the social media channels and ads as well.
With the previous offers, we typically implemented a new bundle on offer, ran a buy one get one free offer, or added a free product with orders above a certain value, free shipping, etc.
We decided to try something a little different; since customers don’t really have money to spend we decided to implement a discount offer with the pair of cheapest products, but with an overall lower average order value.
We priced it just under the free shipping point, which means customers can either add something to their cart (increasing the AOV) or will have to pay to ship themselves, reducing our costs.
With this, we managed to reduce our ad spend overall for the month and actually increase our revenue since the margin on the lower-priced product is higher.
A lot more customers started buying compared to previous months. We ran the offer for a little bit longer than we typically do, but to keep it exclusive, you have to remove it, which we did.
5. Be Prepared To Scale!
After implementing these changes and updates to the account, ad account strategy, website, and creatives, we weren’t too focused on the account during the second week of the month and created a lot of new creatives.
This left us ready to scale the account in the fourth week, and we did! We used the second and third weeks to test which angles and creatives performed the best, which prepared us for the big week.
We already know which of the new stuff works, when buying behavior is lower, when it’s higher they should be able to perform even better in theory. As I am writing this piece we are currently in this fourth week and so far this strategy has paid off well.
Focusing on the smaller things has already given us a big step up in the strategy of the brand and we will continue to test and tweak until we have the perfect recipe.
Sometimes you can do more with less
But this only works if you have the right agency partnered with you!
If you are spending over $500 a day and you want to scale your brand
You can have the best creatives and a great media buying strategy.
But if you are sending traffic to a site that is not converting, it is all pointless!
A good eCommerce site should be converting at around 2-3%.
Anything under that percentage means that you are losing clients across the funnel.
Recently, we provided some suggestions for one of our clients.
The store is selling electronic gadgets, great products, and good creatives that provide a very high CTR.
However, the page conversion rate was averaging at around 1,5%.
We noticed that we were losing a lot of clients from the add-to-cart to purchase.
We analyzed the store, and we noticed that there was a lot of room for improvement within the add to cart section of the page.
Firstly, once you landed on the main product landing page, you had to scroll all the way down until you could find a CTA button that said BUY NOW.
We suggested adding more CTAs across the page, one at the start, one in the middle, and one last button at the bottom of the page.
Once you made it to the add to cart section, the button was small and underneath the product, we suggested then readjusting the product image to the left side of the page, and a big Add to Cart button on the right side.
The price is clear on top of the button and underneath there is a list of the features of the product, clean and simple.
Reviews and product images could still be found at the bottom of the page.
We recommended adding as well a pop-up that appears every time the user clicks to add the product to the cart.
On this pop-up, you can now see a list of “usually bought together” products and a 20% discount for any additional product added into the cart.
Any of the products on the list can be added into the cart without exiting the pop-up, once you are done adding products, you can click “go to checkout”.
If the user does not wish to add any additional products, there is a second button “No, thank you” that will exit you from the pop-up.
This way, very easily, the average order value increased.
Previously, in order to purchase several items together, you needed to click into each one of them on the top menu of the page, add one, move into the menu again, and a second one, etc.
By adding an “upsell” type of pop-up, we increased the number of products purchased at once, and the AOV of each purchase.
Another improvement added by the client was setting up Afterpay, offering users the possibility to pay in installments.
Considering that some of these electronic gadgets have a high price after payday makes it easier for customers to make the decision to purchase them, helping again to improve the conversion rate.
With these very easy adjustments, the conversion rate on the store increased to 3%.
Nothing within the media buying strategy was changed, but the ROAs improved across the account.
And you? Have you analyzed your store and if you can improve anything across the funnel in order to simplify the process and improve the conversion rate?
If you have any questions about any of the above or if you’re interested in working with us to grow your eCommerce brand, find out if we’re the right fit for you!
Lately, I’ve been testing Catalog Sale campaigns for both prospecting and retargeting audiences.
70% of the time, they work superbly on retargeting, especially on PV3-30 and ATC+IC7 or 30.
90% of the time, they work if the product is good and you have a lot of variations. Or if your store has hundreds of products relating to the main product your customer just bought. They work even better on retention campaigns.