How running Facebook ads to Membership Card campaign targeting impacted donor conversion rates from active members
The Heritage Foundation
Founded in 1973, The Heritage Foundation is a research and educational institution—a think tank—whose mission is to formulate and promote conservative public policies based on the principles of free enterprise, limited government, individual freedom, traditional American values, and a strong national defense.
Experiment Summary
Timeframe: 03/01/2019 - 03/31/2019
We wanted to continue experimentation with running Facebook ads alongside focused campaign messaging used this time to promote their Membership Card campaign.
Research Question
Does adding a third channel in Facebook advertising (alongside email and direct mail channels) improve response rates or revenue?
Design
Results
| Treatment Name | Revenue per Visitor | Relative Difference | Confidence | Average Gift | |
|---|---|---|---|---|---|
| C: | No Ads | $5.35 | $14.34 | ||
| T1: | With Ads | $5.73 | 7.0% | 100.0% | $15.46 |
This experiment was validated using 3rd party testing tools. Based upon those calculations, a significant level of confidence was met so these experiment results are valid.
Flux Metrics Affected
The Flux Metrics analyze the three primary metrics that affect revenue (traffic, conversion rate, and average gift). This experiment produced the following results:
0% increase in traffic
× 0.7% decrease in conversion rate
× 7.8% increase in average gift
7.0% increase in revenue
Key Learnings
With a 99.9% level of confidence, we were able to increase revenue by 7.0% from the active member segment.
This increase was largely driven by a +7.95% increase in average gift, as the donor conversion rate decreased by -0.74% versus the control segment. The increase in average gift is consistent with previous experimentation with adding ads as a lift/support channel to campaign efforts.
Finally, the incremental expense to serve ads to this audience generated a 4.98 ROI from the revenue lift in the segment alone.
It is highly advised to run ads to active members throughout campaigns moving forward.
Note: Offline gifts were not included as a part of this assessment. This included online transactions only, and was run through the first half of the final day of the campaign. Additional updates will be forthcoming.