FamilyLife

How using a multi-offer campaign in Facebook affects click through rate

Experiment ID: #59638

FamilyLife

Experiment Summary

Timeframe: 03/15/2021 - 05/01/2021

The FamilyLife resources team asked us to take on their Facebook marketing and strategy. The first thing we wanted to test was how a multi-offer campaign that combined all of their offers into one campaign performed against campaigns that included one offer each. We tested the multi-offer campaign with four offers in it, against the four offers in individual campaigns. This test was set up as a test and learn in Facebook and ran for 6 weeks. The four campaigns had an equal combined spend with the multi-offer campaign.

 

Research Question

Combining offers into one campaign will reduce cost per click and cost per donor acquired.

Design

C: Multi-Campaign
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T1: Single Campaign
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https://www.nextafter.com/wp-content/uploads/Treatment_1-144-372x583.jpg [thumb_372-width] => 372 [thumb_372-height] => 583 [single_post_thumbnail] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [single_post_thumbnail-width] => 383 [single_post_thumbnail-height] => 600 [thumb_32_32] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-20x32.jpg [thumb_32_32-width] => 20 [thumb_32_32-height] => 32 [thumb_48_48] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-31x48.jpg [thumb_48_48-width] => 31 [thumb_48_48-height] => 48 [thumb_64_64] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-41x64.jpg [thumb_64_64-width] => 41 [thumb_64_64-height] => 64 [thumb_128_128] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-82x128.jpg [thumb_128_128-width] => 82 [thumb_128_128-height] => 128 [thumb_122_67] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-43x67.jpg [thumb_122_67-width] => 43 [thumb_122_67-height] => 67 [thumb_153_153] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-98x153.jpg [thumb_153_153-width] => 98 [thumb_153_153-height] => 153 [thumb_130_163] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-104x163.jpg [thumb_130_163-width] => 104 [thumb_130_163-height] => 163 [thumb_232_177] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-113x177.jpg [thumb_232_177-width] => 113 [thumb_232_177-height] => 177 [thumb_272_325] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [thumb_272_325-width] => 383 [thumb_272_325-height] => 600 [thumb_271_346] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-221x346.jpg [thumb_271_346-width] => 221 [thumb_271_346-height] => 346 [thumb_271_271] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-173x271.jpg [thumb_271_271-width] => 173 [thumb_271_271-height] => 271 [thumb_272_172] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-110x172.jpg [thumb_272_172-width] => 110 [thumb_272_172-height] => 172 [thumb_372_461] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-294x461.jpg [thumb_372_461-width] => 294 [thumb_372_461-height] => 461 [thumb_372_500] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-319x500.jpg [thumb_372_500-width] => 319 [thumb_372_500-height] => 500 [thumb_385_270] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-172x270.jpg [thumb_385_270-width] => 172 [thumb_385_270-height] => 270 [thumb_416_241] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-154x241.jpg [thumb_416_241-width] => 154 [thumb_416_241-height] => 241 [thumb_448_410] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-262x410.jpg [thumb_448_410-width] => 262 [thumb_448_410-height] => 410 [thumb_448_410_retina] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [thumb_448_410_retina-width] => 383 [thumb_448_410_retina-height] => 600 [thumb_574_382] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-244x382.jpg [thumb_574_382-width] => 244 [thumb_574_382-height] => 382 [thumb_776_395] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144-252x395.jpg [thumb_776_395-width] => 252 [thumb_776_395-height] => 395 [gform-image-choice-sm] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [gform-image-choice-sm-width] => 192 [gform-image-choice-sm-height] => 300 [gform-image-choice-md] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [gform-image-choice-md-width] => 255 [gform-image-choice-md-height] => 400 [gform-image-choice-lg] => https://www.nextafter.com/wp-content/uploads/Treatment_1-144.jpg [gform-image-choice-lg-width] => 383 [gform-image-choice-lg-height] => 600 ) ) )

Results

  Treatment Name Click Rate Relative Difference Confidence
C: Multi-Campaign 0.40%
T1: Single Campaign 0.65% 62.2% 100.0%

This experiment has a required sample size of 6,366 in order to be valid. Since the experiment had a total sample size of 1,218,852, 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:

    62.2% increase in traffic
× 0% increase in conversion rate
× 0% increase in average gift

Key Learnings

The multi-offer campaign did increase clicks, and so increased traffic to their site, by 62%. That in turn reduced the cost per click from $1.80 to $1.30, a decrease of 28%. We hypothesis that this happened because instead of requiring Facebook to use the budgets to compete for spend in the different audiences, it allowed Facebook to serve the best offer to the best candidate in those different audiences and so allowed the Facebook algorithm to do it's best work. That meant it had to spend less to reach the best lead. In addition to decreasing the cost per click and increasing the click through rate, this test also increased the number of purchases by 59% and decreased the cost per acquisition by 26% taking it from $120 CPA to $89 CPA. (This data is according to the Facebook 7-day attribution window. We did not have the capability at this time to confirm this data through Google Analytics tracking.) The same hypothesis applies here. We allowed the algorithm to find the best leads through this campaign set up.


Experiment Documented by NextAfter

Question about experiment #59638

If you have any questions about this experiment or would like additional details not discussed above, please feel free to contact them directly.