Common people’s most buzzed words are lockdown, quarantine, vaccine, etc. But the marketers’ vocabulary is filled with iOS’14 updates, cookies going away, retargeting ads not performing, Facebook custom audience match rates below 25%, clients screaming, etc.
Let’s be honest. With a deep sigh and exhaustion, we know that the retargeting ad campaigns are not performing well and the marketers are having a tough time handling the boss and clients asking for ROI.
In these past 9-months, we’ve been talking to quite a lot of e-commerce marketers who barged in with a similar pattern of issues as any other marketer who runs ad campaigns.
What happened 9 months ago – “The challenge begins here”
When a marketer runs an awareness campaign on top of the funnel, from the 2.85 billion active users on Facebook to bring in new leads into the funnel.
Now, based on the awareness campaign visitors, you segment them based on their behavior like “added_to_cart but not purchased”, “left checkout”, etc, and run personalized ads based on these behavioral segments.
These personalized remarketing campaigns for the visitors attracted from the awareness campaigns are going in vain.
Because Facebook has no more access to your iOS user behavioral data and therefore your match rate crumbles and falls less than 25% which results in shrinking the remarketing audience size substantially.
Yes, Facebook is no more your user behavioral data keeper – “Impact of iOS’14+ update”
After the iOS’14+ update, the users have the choice to opt-out of tracking and therefore, Facebook and other platforms do not have the access to target the iOS users’ behavior.
But this does not end here – “See what Google is cooking”
By 2023, we’ve Google announced, phasing out of third-party cookies from chrome. Also, browsers like Safari and Firefox have already eliminated third-party cookie tracking.
And we understand that this isn’t any regular tech update. The future is going to be privacy protected and consented. And we’re abided to protect user privacy and provide consented-personalized experiences.
Can privacy and personalization co-exist?
A case study of “W for Woman”, a leading e-commerce fashion brand
“W for Woman” is a leading e-commerce fashion brand that attracts millions of website visitors in a month on average. After the iOS’14+ update, they saw a severe dip in their ad campaign performance.
A tiny sneak -peek at how bad it was: From the total audience size of 2 Million active users, Facebook could match only 500k to 700k users (using pixel data) which is 25% of the total audience size.
The solution: First-party data
“You own your audience data, not ad platforms”
W for Woman partnered with us a few months back with a 25% match rate using the pixels data.
Given the situation, the only available solution is to collect your own customer behavioral data and not rely on any ad platforms to know your audience.
We’ve been collecting first-party data of WforWoman and set up an ad campaign on Facebook audience manager for the custom audience list of website visitors. The results will shock you;
From the 2 Million audience size, using First-Party data, Facebook could match beyond 80% of the users.
First-Party Data goes beyond email-ids and contact number
First-party data is more than email ids and the contact numbers we collect from the forms submitted and the CRM data.
98% of your website visitors are anonymous and most of them are stuck in the middle of the funnel. For W for Woman, 55% of the mid-funnel audience are anonymous users but are the high-intent audience as they have performed certain actions like,
Read how to activate the middle of the funnel audience to increase your ROAS and reduce the cost per purchase.
Advanced audience segmentation :
With beyond 80% match rates, W for Woman activated the mid-funnel audience based on their behavior to push them to the bottom of the funnel. Like,
>> Cart_abandoned for more than 30days – MOFU
>> Product_viewed_not_ added_to_cart – MOFU
>> product _viewed_more than 3times – MOFU
>> Added_to_cart_not purchased – BOFU
>> Added_to_cart_before 30days – BOFU
Usually, marketers focus on the top and the bottom of the marketing funnel. Now that, there is an amazing match rate, the bottom of the funnel can be populated with more high-intent users.
Budget allocation across the funnel
With higher match rates and niche audience segmentation, W for Woman split their marketing budget across the funnel and not just pump in one area. And they split the budget like,
Top of the funnel (awareness) – 50%
Middle of the funnel (ProductView) – 30%
Bottom of the funnel (added to cart, checkout) – 20%
Moving towards privacy enables marketers to start collecting their customers’ behavioral data and not rely on ad platforms to understand their audience.
W for Woman broke the unwritten and unsaid rules and experimented with their marketing strategies. The traditional system of focussing on the top and the bottom when it comes to campaign performance and budgeting was scrapped.
With the complete picture of their customer data and with 80% match rates, they drew the customer journey and activated the mid-funnel audience. They created segments in a more personalized way which helps customers to make a decision.
This helped W for Woman increased their ROAS and reduced the cost per purchase by 35%.