The Perfect Campaign: Test, Optimize, Repeat

The Perfect Campaign: Test, Optimize, Repeat

Take a hundred dollars and turn them into a thousand. That’s the basic principle in marketing, right?

No matter if you work with clients or an employee in some company’s marketing department, at one point, we all hear something along the line of “I want you to get me 10 actions every day right from the start.” My answer is usually: “There is no magic formula. Marketing is A/B testing”

And that’s exactly my point. Marketing is all about data. You make a decision based on data you get from clients, purchases, leads, conversions or educated assumptions. It may be an assumption regarding your target audience.

Let’s say you are launching a jewelry store online. Who is your target audience? To asses that, you need to get input from the designer: Who is the jewelry made for? Then, you can create a sample targeting group that matches the demographic information the designer provided. This will be your first test. Once all the creatives are done and live, you are able to measure the results by a few factors.

• Click-Through Rate (CTR): The average between the number of impressions and the clicks the ad got.

• Quality/Relevance Score: How relevant are the creatives and landing pages for the targeted audience? This number is usually rated one to 10.

• Conversion Rate: What percentage of the users who clicked on your ads actually purchased?

• Time On Site Or Bounce Rate

By assessing the results for the different creatives (at least three to four for the first test), you can choose the best-performing one for that audience. Or you may realize that you need to adjust the targeting if, for example, the quality score is low (below six), the CTR is OK but the conversion rate is low and the time on site is short. That will tell you that this is not the right target audience. However, if the quality score is good, the CTR is good but the conversion rate is low, you need to analyze the traffic performance on the landing page and optimize it.

This is just one example of how you can test an assumption and optimize based on that. When you are trying to create a marketing strategy, always question your assumptions. Never promise anyone a magic campaign or huge results with a strict budget.

So, how do we set the right budget for the audience? What I like to do is look at the target audience’s estimated size. Most tools will also give you the exposure-per-set budget, so you can choose the right amount of exposure per day or overall for the test period. There is not a minimum budget to run with, but I never go for less than a few thousand impressions per day. I find that this will give you the best exposure for the test. It may be $20 per day or even $200 per day, depending on the system, audience, competition or keywords.

Many clients expect to spend very little or as little as possible and get amazing results. Never make promises you can’t keep. And until you have tried a target audience and a product, you never know how it will work. Even if you work on a product that already sells, you will be expected to show better results than before, and this is the exact same thing as working on new objectives.

The best campaigns likely had many variations before they saw amazing growth and success. Make sure you always have a few approaches ready to go. The whole point of A/B testing is to test two or more different assumptions. This may be a combination of different creatives, audiences and landing pages. By doing this, you allow your budget to be spent on two different assumptions and optimize the one that works better. Sometimes, you even get good results with the two approaches and it’s a win-win situation.

The thing that never changes is that you need to base your decision on data. You begin with an assumption or past performance data, you go into real-time performance optimization, and then you optimize based on results and do it all over again.

A campaign has to be optimized all the time. Treat it like a little baby — it needs care and love or it will die.

 

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POST WRITTEN BY:

Kobi Ben-Meir

Marketing Director at Got Capital. Overseeing the brand and marketing strategies in the US. View the original article published on Forbes.

Increase Returns By Building A Business Model Based On Value

What makes customers choose a product or service provider over another? Customers typically compare their options to find the best value, but this concept goes beyond the mere price of a product or service. Customers are developing a more complex approach to assessing value. For 70 percent of them, a great service is a form of value since they would spend more for this positive experience. Also, for 73 percent of millennials, sustainability is valuable since they would spend more for a sustainable product.

Delivering Value Through Your Products

You need to identify all the ways in which your products deliver value. Shape your message to draw attention to value and look for areas that could be improved to deliver more value.

Shoppers will look at product quality to assess its value. Durable and reliable products appeal to shoppers. More consumers are adopting a budget mindset, and they will spend more if a product lasts longer.

Convenience is another important factor. Your product should be convenient to use, and the process of researching and purchasing the item should also be convenient.

Shape your marketing campaigns around the value that the function of the product brings. Your content can inform shoppers about the value of the product by explaining how the product saves time or how it simplifies a task.

What A Valuable Service Looks Like

For 62 percent of companies, customer experience is seen as a differentiator. Consumers’ behaviors confirm this trend because 86 percent will pay more for a great experience.

Invest in a consistent multichannel experience that delivers the right interaction at the right time. The quality of each interaction matters and can be assessed in terms of how well it meets the customer’s needs and expectations.

Customers will also weigh the cost of the service offered and look for evidence that you are putting efforts into offering the best service possible. They will also consider the reward of the service offered, which you can demonstrate by offering tools customers can use to track their progress while using your services or products.

Building Trust

Trust is a crucial element of the relationship between consumers and brands. You can establish trust by repeatedly meeting and ideally exceeding a customer’s expectations.

Here is what you should focus on to build trust:

  • The values of your organization should appeal to consumers so they can form an emotional attachment.
  • There is a concrete dimension to building trust. You need to consistently deliver quality products that function as advertised.
  • The social impact of your brand matters. Did you know that 53 percent of consumers believe that brands can do more than governments to address social problems? You can deliver value and build trust by connecting with your community.

Further Considerations On Value

A customer won’t be able to assess the real value of a product or service until they make a purchase. Until then, the value is projected or perceived. Your marketing efforts help shape the perceived value of what you offer, but you need to make sure there that are no discrepancies between the perceived value and real value.

Value can be broken down into four elements:

  • The social impact of your business.
  • The life-changing qualities of your products or services.
  • The emotional connection with your audience.
  • The functional aspect of what you offer.

You need a strategy that addresses these four elements. Calculating the ROI of your efforts to increase value can be difficult because sales numbers alone won’t be very indicative. Instead, focus on performance indicators such as your customer satisfaction index and how many shoppers make repeat purchases. Track customer advocacy for your brand on social media.

Investing in value will result in satisfied customers, more sales, and more returns for your business. However, your approach should be tailored to your audience and how they define value. If you are interested in potential strategies to consider, we think exploring AI and chatbots is a great place to start since they can help you offer a better experience and form stronger connections with your audience.

 

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