How showing prices on a Facebook catalog ad impacts clicks
Experiment ID: #135307
Pathway to Victory
Experiment Summary
Timeframe: 03/03/2023 - 03/21/2023
Pathway to Victory is a broadcast ministry of First Baptist Dallas. Through radio, television, digital resources, and books, Dr. Robert Jeffress delivers bold, biblical truth to equip the saints in piercing a dark culture.
PTV decided to try out a new revenue stream by promoting items from their store for a set price rather than a generous gift. With this new revenue stream, we decided to test on the Facebook ad if showing the price of the item would increase click conversion.
Research Question
We believe that by including the price of a book for Facebook users will achieve a higher click conversion because the user knows the cost upfront.
Design
C: PTV Kids Book shop without prices
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Results
| Treatment Name | Click Rate | Relative Difference | Confidence | |
|---|---|---|---|---|
| C: | PTV Kids Book shop without prices | 1.5% | ||
| T1: | PTV Kids Book shop with prices | 0.90% | -40.8% | 100.0% |
This experiment has a required sample size of 2,258 in order to be valid. Since the experiment had a total sample size of 62,265, and the level of confidence is above 95% the 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:
40.8% decrease in traffic
× 0% increase in conversion rate
× 0% increase in average gift
Key Learnings
The experiment aimed to determine if showing the price on a Facebook ad for a book would increase click conversion rate. However, results showed the control version had a 40.8% higher click conversion rate than the treatment. Complete Registrations, Cost per Click, and Cost per Registration also experienced decreases, while visitor groups, including 65+, mobile, tablet, desktop, female, and unknown, had significant decreases in clicks.
The key learning from this experiment is that including price on a Facebook ad did not increase click conversion rate but instead decreased it. In future experimentation, it may be worth testing other variables on Facebook ads, such as language, design, or audience targeting to increase click conversion rates. It is also essential to determine the target audience and tailor the ad accordingly. Overall, experimentation is a valuable tool for discovering what works best for promoting revenue streams in Pathway to Victory.