Test #013: Increasing Relevancy by Personalizing a Standard Offer
PARTNER: SOURCED CRAFT COCKTAILS
COMPANY TYPE: FOOD & BEVERAGE, PERSONALIZED SERVICE
EXPERIMENT QUESTION: IF WE PERSONALIZE OUR OFFER TO OFFICE MANAGERS, CAN WE INCREASE AD RELEVANCY AND INCREASE CLICKTHROUGH RATE?
Sourced Craft Cocktails is an Austin-based cocktail delivery service, serving the Austin, Dallas, and Los Angeles markets. They work with clients to create custom cocktails that help them tell a story behind their event, and their focus is on making memorable experiences. Be Whatever the type of event, they source all the materials needed, so that the end consumer can enjoy a high-quality cocktail without the hassle of going to five different stores to find ingredients and then trying to get proportions right.
Sourced launched an initial round of advertising campaigns to encourage viewers to 'Request a Quote' for their delivery services. After reviewing past performance and receiving feedback from their city Brand Leaders, they asked: If we personalize our offer so that it's geared towards one of our target audiences (ie. Office Managers), can increase our relevancy and clickthrough rate?
This is one of the existing Sourced Facebook advertisements. We've tried to develop a playful sense of urgency, while also showing the wide array of ingredients available. Here are the observed results:
Control: 20,049 people reached, 218 clicks (1.09% Clickthrough Rate)
This is the personalized treatment version. We changed the imagery to show the lifestyle of the brand, with individuals who fit the target market demographic. We've also introduced the idea of using Sourced for 'company happy hours.' Finally, we simplified the call-to-action to 'Find Out More.' Here are the observed results:
9197 people reached, 133 conversions (1.45% Clickthrough Rate)
RESULT:VALID; 33% INCREASE IN CLICKTHROUGH RATE
This experiment crossed the 95% confidence threshold, showing a statistically significant 33% increase in clickthrough rate.
It's clear that the personalized advertisement was more appealing to viewers. But why exactly? Since we changed a number of elements in this test, there are a few possible reasons to consider:
First, it's possible that the new imagery provoked the higher response rate. There are a handful of Facebook advertisers that suggest using more lifestyle imagery in advertising because they've seen it produce better results. Their hypothesis is generally this: When you show someone 'themselves' using a product in an inspiring setting, the user is more likely to stop and clickthrough to learn more.
Second, it's possible that the ad copy–which refers to using this service for the next company happy hour–was more relevant to users than control's ad copy. Sourced has continued to refine it's targeting in the last year, and they have noticed a strong trend towards engaging with Office Managers. They are generally the office 'decision maker' when it comes to events. It's likely that the targeted audience contained a higher proportion of these individuals.
Third, it's possible that the change in the ad's call-to-action increased clickthrough rate. In our control ad, the CTA was pretty significant ask: 'Book the bar now »". In our treatment ad, we reduced this to a simpler, perhaps less committal CTA, "Find Out More »". Reducing the commitment needed to clickthrough may have increased the amount of traffic to the landing page.
In all reality, the increase in clickthrough was likely a combination of all three reasons. The important thing to note in this test is that it's important to continually test your ad creative, especially when you have the opportunity to personalize it for a certain audience.