Case Study: Scaling Facebook Ads from $56k to $360k in Spend
Introduction
Our client sought assistance in building an effective traffic acquisition funnel through Facebook Ads. They faced a significant challenge: dynamic retargeting was performing well, but acquisition campaigns were at a loss. The advertising structure was chaotic, with numerous tests yielding no clear conclusions. We embarked on a comprehensive audit to turn the situation around.
Initial Audit
Upon reviewing the client’s Facebook Ads account, we identified several critical issues:
- Dynamic retargeting was successful, but acquisition campaigns were underperforming.
- The overall ad structure was chaotic, with countless tests but no actionable insights.
Strategic Solutions
We addressed the identified problems with a multi-faceted approach:
1. Communication Strategy & Campaign Structure
- Developed a communication strategy based on the RACE funnel (Reach, Act, Convert, Engage).
- Adjusted the structure of Facebook advertising campaigns to align with this strategy.
2. Irresistible Offer Creation
- Combined 20+ single products into one bundled offer, making it highly attractive to potential customers.
3. Optimized Landing Page
- Recommended the client develop a dedicated landing page, streamlining the user journey and eliminating unnecessary information that was present on the homepage.
4. Geo-Targeting Segmentation
- Grouped GEOs (geographical locations) by CPM (cost per thousand impressions) price and economic-geographical principles.
- This prevented Facebook’s algorithm from diverting budget to cheaper, low-performing GEOs, ensuring better ad spend efficiency.
5. Upsell & Cross-Sell Strategies
- Created an upsell offer for existing customers, boosting customer lifetime value (LTV).
- Introduced a cross-sell strategy for new customers, enhancing overall sales.
Funnel Strategy & Execution
Our funnel strategy was meticulously crafted and executed across various stages:
1. Cold Audiences
- Although cold audiences initially resulted in a slight loss, they were essential for feeding the funnel.
2. Re-Engage
- Targeted audiences who interacted with ads in the last 30 days but hadn’t clicked through to the site, requiring multiple interactions to convert.
3. Retarget 1 & 2
- Retarget 1: Used video and banner ads for the main offer.
- Retarget 2: Deployed video and banner ads for single products.
4. Catalog Sales
- Implemented dynamic retargeting through carousel ads, showcasing a variety of products to interested users.
5. Product Upsell
- Focused on increasing LTV by upselling products to existing customers.
6. Creative Testing
- Tested new creative concepts, including video reviews from bloggers, to keep the ads fresh and engaging.
Results
Conclusion
Through a structured and strategic approach, we successfully transformed our client’s Facebook Ads performance. By optimizing the ad structure, creating irresistible offers, and refining targeting strategies, we scaled ad spend from $56k to $360k while generating a substantial return. This case study exemplifies our expertise in turning around underperforming ad campaigns and driving significant revenue growth.