Retargeting on Facebook Exchange
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  • Of those users who are onFacebook:15% will see the ad within the first 5 minutes of leaving the site.60% will see the ad within the first hour.

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  • 1. Marc Poirier@marcpoirierAcquisioCo-Founder, EVP Business DevelopmentRetargeting on Facebook ExchangeSome Case Studies
  • 2. Questions – Comments: marc@acquisio.com
  • 3. RETARGET VISITORS ON FACEBOOKQuestions – Comments: marc@acquisio.com
  • 4. IT STARTS WITH A VISIT TO YOUR SITEQuestions – Comments: marc@acquisio.com
  • 5. BUT VISITOR DOES NOT CONVERTQuestions – Comments: marc@acquisio.com
  • 6. RETARGET HER ON FACEBOOKQuestions – Comments: marc@acquisio.com
  • 7. 1 BILLION USERS1 TRILLION MONTHLY PAGEVIEWSVS800 BILLION IMP / MONTH ONAD eXCHANGESFBX IS HUGE!Questions – Comments: marc@acquisio.com
  • 8. ALWAYS BRAND SAFE!Questions – Comments: marc@acquisio.com
  • 9. RETARGET USERS WITHIN SECONDS!According to Triggit, for those who are onFacebook:•15% will see the ad within the first 5minutes of leaving the site.•60% will see the ad within the first hour.Questions – Comments: marc@acquisio.com
  • 10. RETAILAND TRAVEL – USE DCODCO FEEDQuestions – Comments: marc@acquisio.com
  • 11. 4 RUMORS ABOUT FBX:1 – FBX Yields the Lowest eCPMsEver Seen2 – FBX Yields Higher CTRs3 – FBX Yields Higher Conversion Rates4 – FBX Yields Lower CPAs/CPOsBUT DOES IT LIVE UP TO THE HYPE?Questions – Comments: marc@acquisio.com
  • 12. The Acquisio Trading Desk (ATD) ranover 40 campaigns since the FBXlaunchAcross 3 continents, 15 countries andmost verticals3We selected 3 campaigns for theirvariety, different goals and executions,here are the results:THE DEVIL IS IN THE DATAQuestions – Comments: marc@acquisio.com
  • 13. EXHIBIT 1 – General Retail TestBUSINESS TYPE – HugeE-commerce site which sells a large range of productsboth online and offline. For this test, product range covers smallelectronics, home appliances, and pet products.SIMILAR TO – Wal-Mart, Target.GEO executed – Russia (Note: Facebook is 3rd largest social network in Russiabut growing rapidly)BUSINESS MODEL – Retail, need to generate direct profit from each saleCAMPAIGN GOALS – CPO = $12STRATEGY USED – 7 Day test – Only FBX retargeting using 3 segments:•Site-Wide Visitors•Shopping Cart Abandoners (DCO)•Converted usersQuestions – Comments: marc@acquisio.com
  • 14. CAMPAIGN 1 – Retail – RESULTS – 7 Day RunImpressions won Clicks Cost eCPM CTR Conv. rate CPASite-Wide 4,051,473 2,066 $5,969 $0.38 0.05% 1.3% $209.6Shopping Cart 758,162 1,831 $1,158 $1.30 0.24% 8.3% $7.6Converted Users 220,387 570 $329 $1.28 0.26% 5.1% $11.3Key Findings:•Average of $0.53 eCPM .•$0.38 CPM for site wide•$1.30 for high quality audiences – why?•Small audience. Bid high to win more frequently and gain volume.•Site-wide drives volume but is about 17X our CPO!Comments:•Huge difference between performance of audiences•DCO for shopping cart abandoners delivers orders at $7.60 (target was $12)Questions – Comments: marc@acquisio.com
  • 15. CAMPAIGN 2 – SPORT CLOTHING RETAILERBUSINESS TYPE – Sport clothing retailer selling sport apparels: t-shirts, polo’s, hoodies, jackets, caps, jerseys, duffle bags etc.. as well as customizableitems.SIMILAR TO – Foot Locker, NikeGEO executed - UKBUSINESS MODEL – Retail, generate direct profit from each saleCAMPAIGN GOALS – CPO = $15STRATEGY USED•Retarget Cart Abandoners•Display exchanges•FBX•First party Search Ad Retargeting on Display Exchanges•No DCO and only generic branded creativesQuestions – Comments: marc@acquisio.com
  • 16. CAMPAIGN 2 – Clothing Retail - RESULTSImpressions BidOnImpressions won Win rate Clicks Cost eCPM CTR Conv. rate CPOFBX re-targeting 4,4345,233 3,272,311 75.3% 1,990 $3,466 $1.06 0.06% 3.3% $21.00Search Re-targeting 1,075,098 452,857 42.1% 421 $1,390 $3.07 0.09% 4.3% $20.50SiteRe-targeting 6,120,709 2,576,843 42.1% 2,471 $5,561 $2.93 0.10% 4.0% $24.40•Key Findings:•CPO is between 40% and 60% too high on all efforts•FBX had the lowest CPM, almost 3 times lower than those on regular Ad Exchanges,•Despite low CPM, we had the highest impression win rate, twice as high as Ad Exchanges•BUT CTR was also much lower than on Ad Exchanges, in fact half the expected Ad Exchange average(which usually stands at about 0.1 – 0.15% for non-DCO campaigns)Comments:•Having a proper creative strategy in place would have allowed us to deliver better CTR and probably hitthe target CPO.Questions – Comments: marc@acquisio.com
  • 17. CAMPAIGN 3 – SHOPPING COMPARISON SITEBUSINESS TYPE – Shopping comparison website. Their mission is to offer the mostcomprehensive list of products anywhere on the web with thousands of new productsadded daily.SIMILAR TO –Shopping.comGEO executed - USBUSINESS MODEL – Razor thin margins. Paid for Click-Through to Retail Websites(Arbitrage)CAMPAIGN GOALS – CPA = $0.52STRATEGY USED – Pure FBX re-targeting concentrating on 6high value products (forthe shopping site) : iPhones, Car Batteries, Mattresses,TIres, TVs and Samsung GalaxyPhonesQuestions – Comments: marc@acquisio.com
  • 18. CAMPAIGN 3 – RESULTSImpressions Bid On ImpressionswonWinrateClicks Cost eCPM CTR Conv. rate CPAFBX re-targeting 8,134,250 4,777,257 58.7% 3,525 $3,980 $0.83 0.07% 33.9% $3.30•Key Findings:•Tightly optimised for frequency and recency due to the very low CPA target, wemanaged to achieve very low CPM of $0.83•CTR about 3X lower than their display retargeting campaigns•At 33% conversion rate, FBX delivered a much lower Conversion rate than theDisplay average for the client which stands at 63%.•Comments:•Clearly the FBX is not suited for very aggressive CPA campaign andaffiliation/arbitrage is probably not a good fit•We had no leeway to optimise using different creative as no assets where availablefrom the client.Questions – Comments: marc@acquisio.com
  • 19. 1 – FBX Yields the Lowest eCPMsEver Seen2 – FBX Yields Higher CTRs3 – FBX Yields Higher Conversion Rates4 – FBX Yields Lower CPAs/CPOsBUT DOES IT LIVE UP TO THE HYPE? HOW DID WE DO?3 assumptions = Truth or Myth?Questions – Comments: marc@acquisio.com
  • 20. SOME EXTRA CONCLUSIONS & Recommendations• Low Competition = Low eCPM• Facebook Ad Formats = Low CTR• Low CPM not equal to Low Avg CPA/CPOBecause of Low CTR and Low Conversion Rate• Not suitable for really low Avg CPA targets• Narrow Audiences Win• DCO Wins, especially for travel and retail• Non-DCO Require Frequent Creative Changes• Align Audience and Creative for Best ResultsQuestions – Comments: marc@acquisio.com
  • 21. Questions?Questions – Comments: marc@acquisio.com