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By Susana Cipriota

Co-Founder at Funnely
CMO & VP Product

1 The Game: Full Funnel Strategy p. 3
2 Formation: Facebook Pixel Setup p. 4
3 The Team: Ecomm Variables Impacting Facebook Ad Performance p. 5
4 The Plays: Facebook Ad Funnel Components p. 7
4.1 Targeting p. 7
4.1.1 Demand Generation p. 8
4.1.2 Demand Capture p. 8
4.1.3 Placement p. 9
4.2 Creativity, Promotions and Ad types p. 10
4.2.1 Attention p. 10
4.2.2 Interest p. 10
4.2.3 Desire p. 11
4.2.4 Action p. 11
4.2.5 Loyalty p. 11
4.3 Bidding p. 12
4.3.1 Actions p. 12
4.3.2 Daily Unique Reach p. 13
4.3.3 Impressions p. 13
4.3.4 Clicks p. 13
4.4 Budget p. 16
4.4.1 All About Reach p. 16
4.4.2 All About ROI p. 17
4.4.3 All About LTV p. 17
5. Review The Film: Measuring for Success p. 19
6. The Kick Off: Building the Funnel p. 21


5) funnel. THE AUDIENCES YOU WILL BE TARGETING IN EACH performing ads by lowering the cost per purchase and boosting ROAS and sales. The magic will not happen sales funnel. This is Facebook is the best channel for Ecommerce lead gen and retargeting campaigns. And the how your group of audiences should look like: advertisers to reach new qualified leads.65 billion monthly active users. placements and creativity that covers every step of the sales 3 Product Visitors 3 -(4. 3 .4.Full Funnel Strategy W ith 1. budget. the lower your average cost of 100 million hours of video watched if you avoid this step. bidding.5) a deep understanding of all the best practices to optimize their budget more than ever. 4 -(5) 5 Clients Top performing Facebook ads for Ecommerce come from managing a group of campaigns 5 covering every step of the funnel. CAMPAIGN ARE JUST AS IMPORTANT AS THE ONES YOU ARE Once the custom audience events are placed EXCLUDING SO YOU CAN AVOID OVERLAPPING MESSAGES.3.4. 2.5 million monthly active ad- 1 Qualified Leads vertisers utilize Facebook. them right away. in your ecomm site you can start feeding more granular you map all the steps of your 1 billion stories posted every day. The funnel allocation approach is a must for ecommerce advertisers as it’s granularity allows for better. REMEMBER. you’ll need to use them all when forming 4 Add To Cart your ad strategy on Facebook. From 2 Homepage Visitors 2 -(3. The granular allocation purchase will be as you are able to offer better every day and 2 billion photos shared every day lets you optimize your investment between promotions to highly relevant prospects. exist- ing prospects and clients. It’s advertising system has become very robust and full of new features every month.5) Ecommerce components and KPIs to specif- ic targeting. so e-retailers need 1 -(2.

The pixel consists of a base code and several 3. Today there are investment is worth it. InitiateCheckout. will be generating leads to feed the funnel 2. the been built with a performance focus. standard events that will help you attribute Facebook has upgraded its pixel technology conversions in your reporting. Purchase. visit. generating audiences for your ads. using However. pixels. already 2. Keep in mind that revenue is not own. add to cart. you merce site. or purchase your product.BUILDING REMARKETING AUDIENCES: The pixel will be triggered by the standard Implementation of the Facebook pixel is events and Facebook will identify the user required to structure a sales funnel for your depending on their behavior on your ecom- ecommerce site. This is a funnel example with 6 of them: always a great KPI for your ads. You can use the 9 standard events how successful your ads are by reporting Facebook has put together or customize your on events. These include by combining the power of its multiple old AddToWishlist. and more (check into one.Formation: Facebook Pixel Setup W ith the world of ecommerce always they don’t have the ability to track events. conversion and custom audiences all AddPaymentInfo. a deeper under. 1. Although standing of its scope and possibilities will help you’ll need a developer to insert a Facebook you plan and execute a rocking Facebook pixel and set up events on your site.5 million active advertisers on their platform. the time (and Instagram) ad strategy. is a must if you want to take your online sales Facebook has put together a group of metrics to the next level. As an e-retailer. this is a must if you plan to master current. With this structure. AddToCart. so KPIs should change. cutting-edge technology the art of Facebook ads for Ecommerce. 4 . the funnel below as an example). so a granular allocation of your ad You need to be aware of these 3 powerful dollars is more important than ever if you features available with the Facebook pixel: need to lower your cost per conversion.CONVERSION OPTIMIZATION: Optimiz- and then remarketing them depending on ing your ads for conversion will allow Face- the actions they take on your site to finally book to deliver them to people most likely to convert them into clients or re-purchasers. Depending on Some standard retargeting platforms haven’t the level of the funnel you are targeting. changing for marketers.CONVERSION TRACKING: You can learn events.

Although all of them are variables on the business side. many of them must remain stagnant due to their importance in the business model. it is Delivery important to understand their relation to ad metrics. However. Let’s Churn take a look at some of them in detail: 5 .The Team: Ecomm Variables Impacting Facebook Ad Performance Ecomm KPIS Ad KPIS Ecomm Variables Ad Variables Market Targeting CPM ROAS Pricing Business Margins Budget CTR Product Life Cycle CAC Bidding CPA Purchase Frequency Product Catalog Size Placement CR LTV Creative Frequency E very online business has it’s own components which AOV will more or less influence it’s Facebook advertising Relevance Score performance.

it will usually re. a higher product price will typically you can lower your CPM. PRICING: Affordable products usually produce level is directly correlated with this cycle. If your margins competitors. Tip: If to ad metrics. margins in your ROI formula to see the big your company is based on a subscription model picture and the real ROI. Always include high levels of attrition among customers. earlier the business is in the cycle. 6 . your However.61 in EMEA and $3. The a shorter path to purchase due to the emo. period of time will be directly correlated with importance in the business model. better performance. the product category. DPA are a cross-device markets yields a lower CPM. The four it requires a wider product catalog offering for was $8. $4. Categories that have high levels understand their relation are very constrained the space to test. the more you can bid in the customer is likely spending their money on your auctions to win ad delivery. retargeting solution that helps e-marketers sult in lower CTRs or conversion rates. City) (Price . Tip: Up-selling strategies with DPA (direct product ads) will PURCHASE FREQUENCY: The number of remain stagnant due to their help you raise the AOV (average order value) times a customer makes a purchase in a given and leverage your biz margins. is the progression of an item through the four offerings with optimized targeting. While targeting developing ROI driven by DPA directly in Facebook’s ad namic Products Ads. life cycle stages are: Introduction.46 in APAC.01. Tip: Some adver.Cost of product) instead of the price PRODUCT CATALOG SIZE: We all agree that has it’s own online behavior and therefore.The Team: Ecomm Variables Impacting Facebook Ad Performance MARKET: Each market (Country. However. business side. learn of purchase frequency also lend themselves to and iterate is very limited. while expensive expensive the price will be to get a new client Although all of the online business products require multiple touch-points (ad due to the aggressive demand generation impressions) between the lead and the process you’ll need to pursue. It’s always a good idea to test multiple markets in PRODUCT LIFE CYCLE: The product life cycle a robust ad type that combines dynamic different ad sets and learn from their metrics. Region. retargeting clients will tisers assign the real valvue of the product help lower churn. it’s in the Product feed so they can get the actual the best-performing Facebook ads are Dy- own average CPM. (No purchase frequency). Growth. reporting tool. If the purchase frequency BUSINESS MARGINS: The higher your for your brand is lower than category rates. your relevance score is as high as possible so However. Tip: It’s promote their entire Product Catalog. The acquisition cost uni-product company. Tip: Ensure components are variables on the brand before converting them into a client. If you are promoting a Maturity and Decline. The 2015 Q4 average CPM for the Americas stages of its time on the market. this tool is not for you. the more tional and impulsive process. many of them must result in a higher margin. it is important to business margin.

there are many best spend by reaching relevant audiences for your business is challenging.The Plays: Facebook Ad Funnel Components TARGETING C reating successful Facebook ad cam- paigns for ecommerce usually requires While getting the best value from rigorous testing and constant optimiza- tion. capture stages should be approached sepa- rately in terms of your targeting strategy. audiences for your business is While getting the best value from your ad challenging. The demand generation and demand to guide you in this art. 7 . there are many best practices and tips you can use practices and tips you can use to guide you in this art. Testing helps e-marketers like you identify your ad spend by reaching relevant small tweaks you can make to your campaign settings to drastically increase ROAS.

you can use clients.Targeting A. Demand Generation Lookalike audiences and interest-based target.000 people brings the lower cost per action and the highest and if possible. B. The best practice to is crucial when generating demand so you can test lookalike audiences is by implementing a scale up your results.The Plays: Facebook Ad Funnel Components . It’s important to test both process called: Nested Lookalikes. or product visitors as seed qualified leads to your ecommerce site. Demand Capture Once your qualified leads have visited your ecommerce site. audience. testing each of them in different ad-sets. from 1% to 10% of the country) and narrow big audiences and ensure you are target. ing are two tools you can manage to generate basket abandoners. custom audiences are great technology tools for delivering retargeting campaigns. it’s time to remarket to them based on their behavior on your site to ensure conversion and a higher return on investment. The suggested size of overlapping. Custom audiences and website VS. as well. Reach custom audience. but base to leverage the relevance of the lookalike is not always the case). All Lookalike audiences need to ensure you are excluding the ones that are based on a custom audience (From a datafile are included in the other ad-sets so you avoid or from your Website). You will learn which audience the seed audience is at least 2. If not possible. use a higher-valued-clients ROI (Usually the one with the highest CPA. You ing only relevant leads. It means targeting types (avoid using them in parallel to creating 2 o 3 different Lookalike audiences avoid overlapping) so you can learn from metrics (Using the relevance vs wide percentages and optimize. and you’re ready to go! 8 . You can combine both of them to available. Ensure a Facebook Pixel and some standard events are in place.

the where 43% of tablets are shared with others. the length of the the customer behavior through the marketing 80% of online adults that own one use it at funnel. But Instagram. for retargeting campaigns. it’s ant tasks like work or managing finances. Data social activities. Mobile placements (Face- adjusting your marketing budgets accordingly.2 billion smart- in a customer’s journey to purchase. multiple parameters (purchase that multiple parameters (purchase values. It’s always with them and is exercise will reveal critical touch-points of most commonly used for communication and industry is different and that their customer’s journey to a purchase.The Plays: Facebook Ad Funnel Components . Additionally. The tablet is viewed as the confirms that every industry is different and entertainment hub and is often used at home. measuring and learning from each iteration and reach your audience. While challenging. Facebook and Messenger. most customer journeys Instagram) are best ones for creating awareness. and at work (9 in 10 consumers start However. phones in the world. take place on different devices at home. people spend 3 hours of the marketing funnel. so you ating demand with a lead gen campaign and their day on their mobile phone. abandoners to come back and move forward phone is considered the go-to device . the right column is right value to each of them in your Facebook a great placement for reminding your basket advertising reports. monthly time spent on mobile is consumed by don’t always seal the deal by geting afterwards is a good starting point. the an activity on one device and finish it on News Feed Desktop placement still gets the another). crucial e-marketers design campaigns that The world is no longer transitioning to mobile. and it tends to be dedicated to import.Targeting Placements Mapping and understanding the path to online of adults who own one use it while they are Data confirms that every purchase is critical for e-marketers as this out and about. so you don’t always seal the deal by home. the only way to optimize ROAS is by testing. the go. on demand generation and qualified leads. 9 . 20% of the capturing this intention with granular retar. the smart. With 1. book News feed Mobile + Audience Network + To complicate matters. length of the journey. In general. these are the channels you should be utilizing to delivering a single ad.76% with their purchase. journey. But don’t panic! You can measure all highest conversion rates in terms of purchase of these cross-device paths and attribute the conversion. As a result. the customer behavior through deliver the right message at the right moment as they are already there. Gener. client profile) influence delivering a single ad. client profile) influence The laptop or desktop is the workhorse — values.

as it creates an immer. building an email list First Time Shopper Offer in your ad as it can is extremely important for online retailers. or as well. nudge those first-time visitors and convert By providing an offer in exchange for visitors them into paying customers. You can merge keters to push their prospect database to the A mong the multiple ad types available images and videos into one ad so your users can next level. Images are with an email or call-center strategy. Lead ads present a big opportunity for mar- tention of your qualified leads. Once you generate interest be using when marketing an ecomm site they swipe. Free shipping and returns on your first purchase A dollar amount off on the first order 10 . but other channels of high-impact images.The Plays: Facebook Ad Funnel Components .Creativity. Don’t hesitate to include an Email/Newsletter sive experience for the user. try multiple variations. There are endless opportunities from your audience. not only do you increase the chance of a conversion. Canvas is another option for sooner rather than later. As you In terms of promotions. emails. PROMOTIONS Attention: ‘Are you cool enough?’ Interest: ‘You need shoes!’ AND AD TYPES Carousel ads are perfect for attracting the at. but you also get their email for First Time Shopper Offer Examples: re-marketing through Facebook and email at Free shipping on your first purchase the same time. This is a the first touch-point qualified leads will notice great strategy and every marketer should try it about your post. You can create a custom form to be on the Facebook advertising swipe to see them all. products. there are 4 you should best-selling products or unlock a story while UP call to action. promotions and Ad types CREATIVITY. Think not only through Facebook. You can now combine Facebook ads display lifestyle images vs. awareness generation. They can explore your completed by a user after they click the SIGN platform. consider including a probably already know. Subscription Offer in your creative. you can collect their depending on your goal: for marketers to boost conversion rates in their contact information and start retargeting them top-funnel campaigns using carousel ads.

increasing your average order size. get free shipping Free shipping on orders over $X feed to people most $X discount on orders of $Y or more $X or X% off for repeat customers likely to purchase. An offer based on the total value visitors with a reminder and incentive to come of a shopping cart is an effective up-selling back and complete their purchase. We don’t want You can test multiple rules and see how the AOV with offer optimization. it’s critical to include the sexiest Sets instead of the whole catalogue. You At this stage it’s not a good idea to remarket Product Sets in your product feed options and can set up multiple rules to fulfill your business to your prospects with multiple offers if they you’ll be ready to raise the LTV of your clients needs such as not displaying out of stock have already added a product to the basket and also the AOV. Ensure you include some kind of Volume/Cart Abandon Cart Offer possible to provide Size Offer. At this stage. This magic remarketing tool delivers a single product are the most effective Face. DPA combine targeting optimization and abandoned it afterwards. way to incorporate this into your online store A dollar amount off each item is to calculate your average order value for A percentage off each item This magic remarketing tool previous months and offer a discount or free A dollar amount off shipping shipping on all orders 10-20% over your Free shipping delivers the best-performing average order value. you love our shoes’ Dynamic Product Ads are the elite ads for Link Post ads or Dynamic product ads with Dynamic Product Ads with multiple products e-retailers. and your ROI will thank you! their carts. Some ideas: Dynamic Product Ads are the tactic to encourage prospects to spend more. promotions and Ad types Desire: ‘Our shoes are better/cheaper’ Action: ‘Get our shoes now’ Loyalty: ‘Come back. 11 . For example.The Plays: Facebook Ad Funnel Components . for up-selling purposes. best choice at this stage. need to convince prospects that they want scratch. you them to start the purchase process from responds. but need them to move forward with you can divide the product feed into 2 product and desire your product and that it will satisfy the current choice instead. Some other offer ideas: X% off all items in a category Buy 1 get 1 free offer from your product Buy X items. If you are still not delivering DPA. Ensure you set up feed to people most likely to purchase. A strategic A dollar amount off an order elite ads for e-retailers.Creativity. and a cross-selling/up-selling strategy is the the best-performing offer from your product book ad types for shopping cart abandoners. sets using the Average Price as the dividing line their needs. With close to 70% of all people abandoning and set the rule to deliver Expensive Product please start today. products.

However. 12 . Product Page Visit). Therefore. especially for ecomm of them to deliver to (usually 10%). If this is not the case. However. The other thing you need to keep in mind if you choose this action-based optimization is multiple optimization options Actions that the Facebook algorithm needs at least 25 Facebook will deliver your ad to people who are actions per day to adjust targeting. If can maneuver through the process by you are targeting a small audience. you can test 5.The Plays: Facebook Ad Funnel Components . Each level of the funnel should keep your budget low. or any other conversion event further up the This option is great for top-funnel campaigns funnel (i.000 people) as Facebook can pick out 25 purchases per day to let Facebook calibrate the top percentage of people most likely to act the delivery. paign creation process. With an average CPM of $8 in America. For example. you landing page” as the action pursued. Let’s dive into the available objectives: $40. Ensure you marketers. The actions can be any move would be to select the Add to Cart event Facebook Standard Event (or customized event).e. if you are an be bidding for a different action while the consume it all. you can test them. as is usually bidding for a different action while always bidding for actions when selecting the the case for retargeting campaigns. This works you selected Purchase as the event that triggers best when you’re targeting large audiences the action. you need to ‘Website Conversions’ objective in the cam. if and learn from them.000. multiple optimization options and learn from the logical budget to set for this ad set would be advertiser.000. most likely to perform that action. if your audience size rest are kept constant. if you are an is 50. then you can expect delivery to only intermediate/advanced intermediate/advanced advertiser. the suggested and discard the rest.Bidding BIDDING A lthough bidding may sound like a with a wide lookalike audience and “visiting the Each level of the funnel should be whole new world full of tricks. know that Facebook will pick just a percentage the rest are kept constant. you need to ensure you are getting (+100. or the campaign will not However.

sometimes you will see Facebook will deliver the ad to people most that your audience performs better with more likely to click anywhere in your ad (link click. serving ads to all of them but also avoiding high levels of frequency since delivery is limited to Clicks once per day. Currently you works better for you. desired action. like. but best for campaigns that are pursuing engagement from their audience. than one impression per day. Facebook will roll out a feature allowing also avoiding high levels of of the likelihood of those users performing your the frequency cap to be set by the marketer.The Plays: Facebook Ad Funnel Components . comment. but within your target audience and as many times with a limit of no more than once per day. limited to once per day. but without the single daily impression most likely to perform the desired action. This will be the perfect combination of reaching frequency since delivery is geting extremely relevant audiences (Shopping the entire audience with a set amount of daily Cart abandoners for example) as you will be impressions (not just one). share) and you will be paying you should test if optimizing for impressions for each click made to your ad. regardless option. If this is the case. There. can select to be charged only by link clicks.000 and contains only lower-funnel in your website customer audience. prospects that need a final push to convert into serving ads to all of them but it will try to show your ad to as many of those clients or are already clients. If your retargeting audience is smaller relevant audiences as you will be fore. this is your best as they can with the available budget. limitation. exactly like the Daily Unique Reach tool when retargeting extremely Facebook is not optimizing delivery to people option. 13 . This is usually discouraged for Direct response goals. for example. However. This is a great tool when retar. if you want Facebook to reach all the users than 100. as possible.Bidding Daily Unique Reach Impressions Facebook will deliver your ad to as many people Facebook will deliver your ad to as many people Daily Unique Reach is a great within your target audience as possible.

The Plays: Facebook Ad Funnel Components .Bidding Bidding & Ad type QUALIFIED LANDING PRODUCT BASKET CLIENTS LEADS VISITORS VISITORS VISITORS Objective: Objective: Objective: Objective: Objective: Website Conversion Website conversion Product Catalogue Product Catalogue Product Catalogue (multi-product) (single product)) (cross-selling) Conversion Event: Conversion Event: Landing Page Visiting Product Visiting Conversion Event: Conversion Event: Conversion Event: Add to Cart Purchase Purchase OPTIMIZE FOR ACTION (IF WCA < 100K = CPM) OPTIMIZE FOR ACTION (IF WCA < 100K = CPM) OPTIMIZE FOR ACTION (IF WCA < 100K = CPM) OPTIMIZE FOR ACTION (IF AUDIENCE <100K = OPTIMIZE FOR IMPRESSIONS) OPTIMIZE FOR ACTION AWARNESS CONSIDERATION PREFERENCE PURCHASE LOYALTY 14 .

If the event is Bidding too low is the primary reason for not Add to Cart for example. if Facebook is delivering less than experienced advertiser. and your Shopping getting your ad delivered. and your Business Margin will not pay more for your bid than it’s worth is 80%.” by default. you can always the highest suggested by Facebook) and see if shows a suggested range to guide test the manual bidding option if you are an the ROAS makes sense for your business. as there is no range in these cases). suggest you to do the math and set what the action is worth to you. bid high enough (double than the amount but we suggest you to do the math and set suggested. ensure you you in this process. Facebook a bid and Facebook will get the most actions expected. your maximum bid to turn a visitor bidding option if you are an to you. what the action is worth to you. If you are selecting “Optimize for into the “shopping cart adder” would be $48. you are not asked to set However. 15 . Facebook Cart Abandonment Rate is 60%. Action. but we suggested range to guide you in this process. try to raise the bid (25% more than at the best price. Facebook shows a While bidding CPC or CPM.The Plays: Facebook Ad Funnel Components .Bidding Automatic vs Manual bidding Although it’s not your actual bid. However. your Average You can always test the manual uses a max bidding amount to ensure you Order Value is $150. experienced advertiser.

15% translated to lookalike targeting. on your advertising investment. placements. It’s impact the three levels of the funnel include very expensive to convert a lead into a client with CAC. For example. and clients we can also Stage 1: All About Reach call these components demand gener. Some of the metrics that impact the three levels The lower on the funnel a person is. average order value. organic monthly visitors. retargeting retargeting visitors. this stage of the journey is multiple parameters. The best-performing allocation model lookalike audiences based on your clients/ for your ecomm business will depend on prospects. organic monthly visitors. these can be Most of your ad dollars (80% lead gen. Usually. and 5% retargeting clients) website visitors. purchase. on multiple parameters. Some of the metrics that likely to be your biggest bet in terms of ROI. retention. In Facebook Ad terms. dollars in reaching out to clients as they are creatives and copy to iterate and lower the cost not going to convert. For the purpose of this analysis. repurchase rate. demand capture and customer and driving highly-qualified leads to your site. Focus instead if your company’s repurchase rate is very on metrics such as cost per person reached low because of the essence of your product. repurchase rate. it does not make sense for you to invest ad Try multiple lookalike audiences. The first stage is all about brand awareness ation. the lower the cost is to convert them on a of the funnel include CAC. of acquiring a new prospect. and LTV. But. 16 . so you can’t expect a high return value. and retargeting website should be invested in campaigns targeting large clients. this is a process that needs a high budget. and their conversion rate from lead to visitor. and LTV. let’s imagine an ideal company as a study model and The best-performing allocation model for your ecomm business will depend focus on the 3 usual stages of an ecomm company’s journey through Facebook ads. average order one campaign.The Plays: Facebook Ad Funnel Components . time and patience.Budget BUDGET L eads. prospects.

Your cost per conversion will be running for a while.Budget Stage 2: All About ROI Stage 3: All About LTV The second stage is the perfect time to boost This is now the perfect funnel! It’s a funnel that you’ve reached the third stage of the funnel and your ROI metrics. This could be a sign that it’s time converting a prospect is lower than converting on generating up-selling and cross-selling to feed your funnel with fresh leads. time and patience. their performance may start remarket to them! Remember that the cost of the lowest. 17 . so your advertising spend will bring a campaigns with DPA or discount codes is key in need to circle back to the first stage again. your customer retargeting campaigns have been cost per qualified lead. 40% retargeting product visitors. and now it’s time to ing clients. The lower on the funnel a tions like Dynamic Product Ads. and you’ll a lead. It’s hard to get there. you will validate inventory is. the lower the cost funnel composition model will be around 50% your university has been flipped around! lead-gen. higher level of return. 10% retargeting clients. You earned a big client audience and to re-allocate a large amount of your ad dollars retargeting them is the best option in terms of from lead-gen campaigns to retargeting solu. Focusing to decrease. and Unfortunately. the cost of conversion. journey but just the end of one cycle. the better they’ll perform. The larger your but if you manage to do it.The Plays: Facebook Ad Funnel Components . and the return highest. The that the perfect funnel you learned about at person is. You managed to lower your allocates most of your ad dollars to retarget. this is a process that needs a high budget. This it the perfect time this stage. Once But. this is not the end of your is to convert them on a purchase.

18 .The Plays: Facebook Ad Funnel Components .Budget Advertising Spend Per Funnel Level This is how advertising spend cycles would look: ROI Evolution The ROI evolution. would look like this: This is of course a very sophisticated approach and requires you to track many variables daily before you decide how to reallocate your ad dollars. with 3 stages included in each cycle.

you must CR: Conversion rates will reflect the health your ad is likely to be more expensive or shown monitor your ad KPIs on a daily/ of your funnel and will show you where the less frequently. You must monitor your ad KPIs to learn from each CPA: The cost per action is the metric that will reflect success or failure of each campaign iteration and optimize accordingly. then CAC. Sometimes The most important ad KPIs to monitor are: that this metric gets high quickly. iteration and optimize accordingly. target audience. replacing the business in the long term. . the more people you’ll reach. It’s important to monitor in both weekly basis to learn from each drop-off is so you can optimize for conversion. If your website’s custom audiences for conversion event with a higher-funnel one. While the action will change from one campaign to another. You prob- ably already know that Ecomm KPIs are your FREQUENCY: Frequency is the average DELIVERY: If your campaign is under-de- main marketing objective and they impact the number of times your ad was shown to each livering. If this metric decreases. negative feedback Facebook receives from the reflect the success of ad campaigns are ROAS. visiting the product page.Review The Film: Measuring for Success A s an ecomm marketer. you will notice or changing your targeting. Refreshing retargeting campaigns underdeliver because your content every 15 days and varying your of a small website custom audience. lead-gen and retargeting campaigns. Add to Cart. The lower CPM calculation is based entirely on the positive and Additionally. the long-term metrics that will you get. try raising your bid.especially in top-funnel campaigns where RELEVANCE SCORE: The relevance score wider audiences are required. the click-through rate does a good job of showing their engage. so ensure CPM: The cost per thousand impressions is product feeds for DPA will help combat this. Purchase) it’s very important to keep a close eye on them. in the funnel more clearly. CTR: Although many people don’t click on ads and go directly to your website from another device afterwards. (visiting the landing page. 19 . LTV. Ecomm KPIs are your main marketing objective and they impact the busi- ment level and how it changes over time. ness in the long term. AOV and Churn. you re-allocate this budget to your top-funnel definitely a useful KPI when measuring success campaigns to feed the funnel. person. retargeting are not very large.

You driven by advertising spend and the touch can change the attribution model to better fit points responsible for the conversion during your business. Facebook offers con. Facebook will attribute a purchase cross-device attribution from Facebook is not (or any other action) to a campaign if it being included. You can change the attribution model to better fit your business. which is why most By default. version tracking based on a 1 day. as conversions to the day of the click and/or most people don’t click on ads and then make impression. we encourage you to consider both view and click events in it. won’t consider this data. however. 20 . If you’re using 28 days. however. as most people don’t click on ads and then make a purchase directly on another device. we encourage you to the customer journey. 7 day and Facebook can attribute this transaction to 28 day post-click and/or post-impression a specific campaign as Facebook users are model (unfortunately the maximum window is logged in on all their devices.Review The Film: Measuring for Success ATTRIBUTION MODEL Establishing an attribution model is happened 1 day after the ad impression or imperative to better understand the lift 28 days after the user clicked on the ad. Specifically. a purchase directly on another device. so you’re a bit limited if you have a other analytics tools for your reporting. Facebook attributes consider both view and click events in it. it particularly long path to purchase).

purchase. CONVERSION The Kick Off: Building the funnel FUNNEL CAMPAIGN AD SET TARGETING OPTIMIZATION PLACEMENT CREATIVE BUDGET OBJECTIVE ADSET 1 Lookalike 2% FB + IG + Audience 2-3 creatives AWARENESS Network per ad set. This is an standard structure to guide you 21 through the funnel structuring process. use Carousel Ads instead. * Re-allocate ad-dollars to placement ad sets with higher ROI. basket visitors *Unique Daily ads / Video spend and clients Reach or Impression Carousel ads ADSET 3 if audience is <100K IG ADSET 1 Product Visitors WCA Conversions: FB Newsfeed Desktop (30-days duration) Add to Cart Campaign 3: Product Exclude basket visitors Product Feed 20% of ADSET 2 *Unique Daily FB Newsfeed Mobile Catalogue for FB. Re-allocate ad-dollars to Level 1 to feed the funnel. Campaign 1: Website Lookalike 9%. CONSIDERATION (30-days duration) View Content Campaign 2: Website FB Newsfeed Mobile 15% of ADSET 2 Excluding product Carousel Conversions. and clients (Multi Product overall ad PREFERENCE Reach or Impression Layout) spend if audience is <100K ADSET 3 FB Right Column ADSET 1 Conversions: FB Newsfeed Desktop Add to Cart WCA Purchase Product Feed (duration 60 days) 15% of Campaign 4: Product ADSET 2 Exclude basket visitors FB Newsfeed Mobile (Single Product Catalogue for FB. Conversions: FB + IG + Audience 30% of ADSET 2 Exclude Lookalike 2% Landing Carousel overall ad Conversions." *This is not a one-size fits all business. 90 days *Unique Daily overall ad Cross-selling/ spend duration) Reach or Impression if audience is <100K Up-selling Setup) ADSET 3 FB Right Column LOYALTY * Instagram for levels 3. 5 can be run with Website Conversion separate campaigns as DPA are not available for this placement yet. + Audience Network overall ad visitors. *Unique Daily overall ad and clients Reach or Impression Layout) spend if audience is <100K PURCHASE ADSET 3 FB Right Column ADSET 1 FB Newsfeed Desktop Conversions: Product Feed Clients WCA Purchase (Multi Product Campaign 5: Product (15 days after 20% of ADSET 2 FB Newsfeed Mobile Layout + Catalogue for FB. FB + IG + Audience Carousel ADSET 3 Exclude lookalike 9% and 2% Network ads / Canvas ADSET 1 Conversions: FB Newsfeed Desktop 2-3 creatives Landing Visitors WCA Product per ad set. Network View Content ads / Video spend Lookalike 10%. 4. . * If ads are underdelivering.

com Support: Facebook Blue Print: https://facebook.Resources Funnely’s own data Facebook for Business: Facebook for Developers: Jonloomer: Facebook DR Activation Guide 22 .

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