If you’re looking for a simple addition to your Facebook campaigns that will boost sales and entice action, look no further! Facebook Offer ads can be an excellent tactic to highlight special deals to your target audience and boost sales. One of our recent Facebook Offer campaigns resulted in a 150% increase in sales WoW versus simply running remarketing campaigns! To get started with Facebook offer ads, we’ve compiled these four helpful tips to best utilize this high-potential ad format.
1. Refine your messaging & identify an appropriate landing page
Just like any ad copy you write, messaging is key to ensure successful results. Given that offer ads are promoting a discount, it’s best to keep the ad messaging short and concise: provide the discount/offer, specify eligible products and include a strong call-to-action to drive direct response. In this day and age, advertisements are everywhere, and with average attention trending at just 8 seconds 1, it’s more crucial now than ever to get your message across quickly and concisely.
Once you’ve perfected the messaging, the next step will be determining the most appropriate landing page for your ads. To increase conversion rates, it’s generally best to direct users as far down the funnel as possible, limiting the number of clicks needed to complete a purchase. Sending traffic directly to the product page for the discounted product is ideal. From the product detail page, a user can simply click “add to cart” and begin the checkout process right away. Simplifying and shortening the path to conversion will set the stage for your campaign be as successful as possible.
2. Determine an appropriate discount
The next step in the process is to determine an appropriate discount or deal to offer. The offer amount will need to be substantial enough to spark both interest and action from your target audience. This is particularly true if the product is widely available at retailers such as Amazon, which offers highly competitive pricing or delivery benefits. According to TechCrunch, 65% of online shoppers report comparing prices online and ultimately purchasing wherever they can get the best deal2. In order to win the sale, it’s imperative that the discount offers a competitive price on the product.
Given that prices fluctuate, Facebook recommends offering a discount of at least 20% or more to be compelling. Not too surprisingly, consumers are more enticed to act when offered a discount of 40% vs. 20%. We recently ran a Facebook offer campaign with a minimal discount of $20 off, which drove only a handful of sales. When the discount amount was increased by 10%, purchase volume increased by 133%. In essence, the results garnered by the higher discount made up for any potential loss in margin.
3. Determine the most appropriate product mix for the offer
If revenue/sales are the main goal of your campaign, having an offer limited to one product is ideal since you’ll be able to direct a user right to the applicable product detail page. As mentioned previously, directing a user to the applicable product page requires fewer overall clicks, shortening the path to conversion and improving conversion rates. However, it is also important to consider that limiting an offer to just a single product can also significantly limit the scale of your campaign and its respective results.
If you’re more interested in providing an offer applicable to many products, we’d recommend driving ad traffic to a more generalized product family or product category page to make navigation to all applicable products easiest for the user. A category page would allow someone to quickly view all the products eligible for the offer and only adds one extra click to the conversion path. This said, in our experience, Facebook offer ads that led to a category page haven’t performed as well compared to leading people directly to a product page. Comparing our offer campaigns, those driving directly to a product page had an 81% greater conversion rate than campaigns that drove to a category page (product page conversion rate was 0.90% and category conversion rate was 0.50%).
4. Identify the most appropriate ad formats to be run
In our experience, the best ad format to run an Offer Ad is the carousel ad format which features multiple cards and can provide more depth of information than a single image ad or a video ad. Additionally, Facebook can tailor the order of your carousel cards to unique users within your target audience to increase the likelihood that the first card will be the most relevant for each individual user. One of our top performing ad formats (far better than video for driving purchases), we recommend always running this ad format in addition to any others you’d like to test.
Following these four simple and helpful tips will equip you with the information you need to run a successful Facebook Offer campaign.