Micro Targeting Can Dramatically Improve Facebook Performance

Summary

The authors describe a series of design experiments used to optimize Faceook targeting and retargeting to buyers of travel insurance. Using different creative for different micro-targets, the authors raised prospecting sales lift by four times and retargeting sales lift by 60%. Key findings included:

• Cross device exposure clouded campaign interpretation, because almost no one purchased travel insurance on a phone or tablet. Instead, they made purchases on desktop.
• Age did not determine click thru rate, but under thirty-five and over sixty-four rarely purchased.
• Android users rarely purchased, probably because of correlated demographics.
• Only the tightest one percent lookalike targets (to prior purchasers) were identified; the author conduced rapid creative testing to optimize the lower part of the sales funnel.
  • This testing identified three user groups with different needs:
    • Baby Boomer Moms sought spa like features
    • Outdoor Enthusiasts sought adventure
    • High Earners protected their investment
  • Authors determined that very different creative worked best for each different micro segment.
  • Authors favored designed experiments over A/B testing for its ability to rapidly test multiple conditions.