🔥 The Performance Marketing Newsletter #12
Reduce CAC & Scale Revenue with 3 Actionable ideas & 3 Learning Suggestions :)
My 3 Actionable Ideas (no gyan)
Keep a monthly/quarterly check on metrics beyond ROAS/CAC i.e. Refund rate.
At times we optimize channels/campaigns based on CAC/ROAS. But there might be certain channels/campaigns whose refund rate is high, or there is a customer expectation-product delivery mismatch. Hence do either of two things in this caseP1. Fix the experience!
(as rarely you hit on a gold mine)P2. Pause such channels/campaigns
(as Ltv is impacted)
Don't stop yourself at just 0-1 % lookalike in Facebook Ads!
Experiment 1-2%, 2-3 %, and so on with different combinations(eg: 2-5%).You might be surprised to get better results than some of the interests.
I built and used this prompt to generate a hook line for my video ad creative.
Prompt: You are the world's best at creating awesome ads that persuade people to take action. I want you to suggest me a strong hook line for the <body> of the ad script. This ad will be a performance marketing ad and will be run on Youtube and Facebook.
Body: (I provided the body of the ad script)
PS: I have used this on Bard.
Bonus:
Never make campaign adjustments or optimization based on the data of just “Last 30 days” or just “Last 7 days” or just “Month to date #s”. Make sure you take all these data cohorts together and then take a call (esp the last 7 days).
My 3 Learning Suggestions
How to position pricing on creatives:
The product on the right should convert better than the one on the left.
Why? Simple pricing tactics proven through behavioral psychology studies:
Use a smaller font for the reduced price. It makes the item feel less expensive compared to the original price.
Place the prices horizontally, not one on top of the other. And show the higher price on the left and the lower price on the right. Since we read left to right, this helps shoppers understand the price reduction.
Choose prices so that the sales price's right-most digit is lower than regular price's right-most digit. For example, £295 should be reduced to £250, not £249. Because shoppers read numbers to themselves, the lower right-most number makes the whole reduced price seem lower.Separate the two prices physically by a distance—don’t include them right next to each other.
This separation helps shoppers internalize the difference between the two prices.
While creating pricing pages and ads, consider testing these tactics to see if they increase conversion.Source: Not sure, I got on Whatsapp.
Another great framework to improve LP's conversion rate. Check out.
a. Maintain user focus
b. Maintain user motivation
c. Reduce user friction
Talk on Scaing Growth by Gustaf Alstromer, YC Partner (formerly Airbnb) & Ed Baker (formerly Uber).
That’s all for this time.
Let me know if you want me to cover anything specific about performance marketing and growth.
You can always reply or comment. I will be more than happy to include it in my next editions.
Thanks
Rohit ❤️
Please send me the copy on the mail dear