March 5, 2020Ecommerce
Ecommerce Success Story: Using Facebook Dynamic Ads to Double ROAS
Catalyst helped a major D2C retailer reach a wider audience and increase its return on ad spend with Facebook dynamic ads for broad audiences.
A fashion jewelry and accessories retailer offers style guidance and an extensive online selection, at an affordable price point that encourages customers to play with the trends. This is a D2C business that operates at speed: bringing proprietary design, product development and sourcing together, allowing it to bring the hottest new accessory trends to market fast.
With dynamic ads for broad audiences, Facebook decides who to show the ads to, which allowed us to reach people who had expressed interest in its products (or products similar to them), even if they hadn’t visited its website yet. As a result, the team saw a huge improvement in ad performance compared to previous campaigns.
Instead of creating individual ads for each piece of jewelry, the team uploaded a catalog of all its products and then created an ad template. Dynamic ads pull different products from the catalog to display in the ad template, depending on who is seeing the ad. In a previous campaign, we had included lookalike audiences and behavioral targeting as part of dynamic ads for broad audiences. However, adding specific targeting to this ad type can sometimes exclude valuable audience members from seeing the ads. For this campaign, therefore, the team removed this specific targeting and simply showed the ads to a broad audience of women aged 18 years and up, on Facebook’s desktop and mobile News Feed and on Instagram.
Using Facebook’s dynamic ads for broad audiences in this campaign, which was a three-day test, brought more purchases and an efficient return on ad spend:
47% increase in return on ad spend, compared to dynamic ads without broad audiences
2X increase in average number of purchases per day, compared to dynamic ads without broad audiences
2X return on ad spend