Mike Paffmann, CEO, Virgo PR
Social media shopping tools are incredibly effective at getting customers to convert because they allow social media users to make purchases directly on the platforms without them having to try finding the company’s business website to make a purchase.
The fashion accessories company Abbott Lyon decided to try out the value-based optimization bidding strategy that’s available on TikTok to create its advertising campaigns on the platform. This type of strategy allows companies to create and distribute ads to the target audiences that have a high potential to become valuable customers for a business. Aside from this strategy, the company also decided to use the Spark Ads feature, as well as in-feed ads on the platform to generate even more positive results from its advertising efforts. Since the platform’s biggest audience is made up of Gen Zers, it aligned with the company’s target audience well, which resulted in great success for the business. More specifically, the brand reduced its cost per customer acquisition by 20%, while the return on ad spend increased by over 30% and the order value was increased by over 10%.
The educational technology platform Headway provides its users with content on personal growth, and it decided to rely on Instagram, and more specifically its Reels ads feature to reach consumers. This feature allowed the company to reach new people and expand the target audience because the business was able to create new types of video content for its advertising efforts. In fact, the campaign was so successful that the company managed to increase its video views by around 10%, and the cost per customer acquisition was decreased by about 15%. Furthermore, the number of people that signed up for a trial period on the app because of the advertising campaign increased by around 10% as well. This type of performance from the advertising campaign, which included an increase in overall conversions made the company continue relying on the Instagram Reels ads feature in the future too.
The clothing and accessories boutique Pink Tag decided to include the new Facebook Shops feature to reach consumers and get them to convert without any of them having to leave the Facebook app and look for the company’s business website when trying to make a purchase. The promotional effort with Facebook Shops resulted in the company increasing its sales rate, as well as the average order value, which increased by over 60% solely from Facebook Shops when compared to the consumers that made purchases directly on the company’s business website. Aside from Facebook Shops, the company also decided to use Live Shopping events on the platform, which are simply live streams where potential consumers could learn more about the business and its solutions while directly interacting with the company.
About the Author: Mike Paffmann is CEO of Virgo PR, a leading PR agency.