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Podcast: Shift Marketing Objectives Now!

Shift Marketing Objectives Now!

Dave Granfield: Alrighty, Christopher Mott, welcome to I don’t know what episode this is, but welcome to another episode mate. We have been a little bit sporadic in these over the last couple of weeks. But Jay fellow just, I don’t know where he is. What’s he doing today? Do you know?

Chris Mott: I don’t want to speculate, but I believe the conditions are pretty good for fishing about six nautical miles offshore.

Dave Granfield: As I was driving to work, I was having a little tear, because I know how flat the ocean is right now, I know how little wind there is. I’m looking out at the ocean, there’s no wind anywhere and the boat rooms were packed, rooms out there essential fishing and-

Chris Mott: Absolutely.

Dave Granfield: … I’ve decided to spend my time with you in the office, making sure that we put out good content, so Jay can go, whatever he wants to do with that fishing. It’s up to you and me to put this together mate and-

Chris Mott: We’ve got this.

Dave Granfield: Right. We’re still in the ship, he’s just out on a little boat. So mate, today we’re going to talk about cheaper CPMs and we discussed this and the team’s been putting out a little bit of content over the last couple of days about chasing different objectives, while we’ve got cheaper CPMs. You reached out to me and said you want to expand on that a little bit further. So your words were, let’s talk about shifting objectives. So what do you mean by that mate?

Chris Mott: Yeah. So shifting objectives, I’m thinking in an e-comm sort of platform here within Facebook ads, your ideal goal with your advertising strategy is, obviously to produce conversions. So running conversion campaigns or catalogue sales campaigns in order to attribute dollar values and conversion events from your website, back into your Facebook ad account, which is traditionally where we sit as well. As an agency, obviously attribution is a strong card for us to be able to show value and the quality of our work to our customers. But talking to-

Dave Granfield: Can I stop you there for a second?

Chris Mott: Oh, yeah.

Dave Granfield: So, very valid point is, a lot of agencies will put people in a false sense of results, I guess, by focusing on conversions. That’s essentially what you said. Here’s a real-life example of how that’s happened. We just took on a clothing company. We’ve got them live last week, they were getting like 30 times return on ad spend. Now, while that sounds amazing that they’re getting 30 times return on ad spend, it was a vanity metric only chasing really warm traffic at the bottom of the funnel. Now, what’s the problem with that?

Chris Mott: Well, you run out of people to retarget.

Dave Granfield: You run out of people to put ads in front of their eyes.

Chris Mott: Straight away.

Dave Granfield: If you’re not building the brand awareness, you run out of people to target and you might get a 37 or whatever it was, times return on ad spend. But if you try and spend more money on it, you’re going to plateau. There are only so many people that you can retarget ads to. So we’ve reduced their return on ad spend down to 17 times or something. But we’ve thrown a ton of traffic into the top of the funnel, which is still converting because we’ve done it right and we’re making sure that we put the right people into the top of the funnel. So we went from like 37 times what they used to get with another agency to 17 times return on ad spend, which is still a shit-hot number, right?

Chris Mott: Absolutely.

Dave Granfield: Or I think getting sales for two, three or $4, which is a magical amount for cost per acquisition for eCommerce right now. So that’s my little rant. You’re saying that as an agency, agencies will tend to focus on conversion objectives because that makes agencies look good. But as a business owner, what do you need to be considering?

Chris Mott: Considering the right place to invest your money, and it’s not so many conversions make agencies look good. It’s the key goal and the end result. What I was thinking about, we’ve been talking about cheaper CPMs for the last couple of weeks, which is a great result. But where that really comes into its own is the higher objective. So your brand awareness, reach and traffic, those sorts of things. They’ve traditionally got CPMs at half the price of a conversion campaign anyway, even at the peak of the market.

Dave Granfield: So can we explain that a little bit? So you could do a website traffic campaign, which is not a conversion objective. It’s not going to show results or a purchase. So you have to do a website traffic awareness campaign. What most agencies will do will be maybe a new content conversion campaign, which is getting people clicking through and it’s the same objectives, getting people to view the content on the website, but that view content conversion objective is costing a heck of a lot more than say a website traffic objective.

Chris Mott: Yes, 100%.

Dave Granfield: So I just want to strike it down really, really simple because-

Chris Mott: No, that’s cool.

Dave Granfield: You know this factor from-

Chris Mott: Yeah. And effectively, you’re doing the same thing. So if you are running a traffic campaign, directing it to specific products on your website versus a conversions campaign, which is doing exactly the same thing, and your conversion objective is set to view content. It’s the same deal. So if you throw a dollar figure at it, say $10 a day for each of them, there’ll be a significant difference between reach, impression size, CPMs and there’ve been click-through rates between those two objectives, even though they’re optimized for the same thing. So when we’re talking to a business owner, somebody who may or may not be with an agency, I’m thinking may not be with an agency at the moment and looking to do social media stuff, they potentially have a new pixel on their website or they’re not really sure about, I’m driving for conversions, but my audience is really small and I’m not really getting the purchases.

Chris Mott: Shifting objectives back to a higher funnel objective with the same budget could potentially increase your audience size. As I mentioned, a traffic campaign always has cheaper CPMs than a conversions campaign because you know the way the algorithms targeting the people that it wants to show those ads to.

Dave Granfield: So you can target the same people asking Facebook to consider them based on a different objective?

Chris Mott: A 100%. Yeah, a 100%.

Dave Granfield: I know this, I just want to clarify.

Chris Mott: I know. Yes, I do.

Dave Granfield: I’m not that silly.

Chris Mott: So if we think about that, we increased our audience size, we’ve got cheaper CPMs at the minute, so we’re getting another extra little boost by going back up to traffic or a brand awareness objective shift. The potential for more people to hit the website, I think can sometimes outweigh that need to have that attribution shown in Facebook Ads Manager and we talk about tracking a lot, you know with pixel tracking and all that stuff and Google Tag Manager and everything else.

Chris Mott: One thing I think we’ve talked about in the past, but probably not really expanded on is UTM codes, available when you’re building Facebook ads, UTM parameters. And what that actually does is, that will show up on your, say e-commerce, so your Shopify platform, when you’re looking through your customer orders or your order records within Shopify, you can actually filter out for UTM codes and it will show you the path that, that particular person has taken. If there is a UTM code attached to their path, if they’ve come organically, it will be an eye. If they have come through a brand awareness campaign and purchase something, it will show you that in the UTM codes. So that’s-

Dave Granfield: Okay. Let’s just break that down a little bit more. So UTM code is basically a little string of words on the end of the URL, right? So you’ll see, it’s like /? and then it might have source Facebook campaign such and such, ad such and such, and you can change what that says, right? But when you do that, a traffic objective on Facebook isn’t going to stick its hand up and say, I’ve made a sale for someone. But in Google Analytics using these UTMs, and UTMs are put in Facebook ads manager, UTMs are put on the ad creation page, at the very bottom you can create your UTMs there. Facebook actually helps you create these, but that UTM then shows in Google Analytics in a dashboard and you can then see what traffic came through. And if you set up your conversions correctly in Google Analytics, am I correct? You will show a conversion for my traffic campaign in Google Analytics?

Chris Mott: Yes it will. Yes, absolutely. It will, 100% it will. And that’s a really strong tool for a business owner that may not be with an agency is, they’re throwing some money at Facebook ads and not really sure if they’re seeing results. But like I say, something as simple as a little bit of script on the end of that URL can change that overall picture in terms of attribution for the advertising dollar that a business owner has spent.

Dave Granfield: So we could get into the whole thing on attribution win-wise in first click, last click, all of that sort of stuff. That’s not for this conversation. We’re not… This message isn’t going out to that person that’s that advanced in this. But really at the end of the day, what you can do if you’re on Shopify as well, in your reports section on your dashboard, you can also see sessions attributed to marketing and sales attributed to marketing and say, for instance, you have an internal person doing your Facebook advertising and you decide to start putting these UTM parameters on your Facebook ads. You will see what sessions, so what sessions on your website and you’ll see what sells on your website in that report come from that particular UTM.

Dave Granfield: Now how that’s powerful is if you’ve then got a Google AdWords company or an SEO company that does a little bit of Google ads for you or Google Shopping or you use Klaviyo for your emails, you can start aggregating and seeing the different UTMs and how the sessions are tracking and how they solve the tracking. Now it does get complex with first click attributions, last-click attributions, which platform is actually going to claim a sale.

Chris Mott: No one.

Dave Granfield: But I guess what you’re saying mate, to summarize it is, a UTM code is pretty simple to set up and it just gives you a little bit more clarity on things that may be tracking based on Facebook’s ad conversion metrics.

Chris Mott: Yeah. And to sort of to double back, I suppose we’ve probably got off on a bit of a tangent with tracking and stuff to double back to shifting objectives. Now that was my fault as well. It’s okay to start thinking about those higher objectives at this point in time. And we’ve talked about an audience-building period that we’re currently sitting in as well, with so many eyeballs on the internet. So if you’re someone who’s spending $100 a day on your Facebook ads, maybe across two or three different campaign structures, there’s a bit of reassurance in expanding that campaign away from a potentially, a conversions campaign to a traffic campaign, but keeping the same budget.

Chris Mott: Slightly diluting that budget and then being able to target newer audiences or maybe spend some time nurturing your middle of funnel audiences or retargeting audiences you otherwise haven’t thought of, with a little bit of reassurance, linked to that tracking element of, okay, I’ve moved away from a conversions campaign with my middle of the funnel, but now I’ve got several new audiences that I haven’t previously targeted. I’ve got my UTMs in place and I can see in Google Analytics which of those nurturing audiences are actually performing. And then you can go harder again and then start scaling some budget as well. So it’s diluting the budget, shifting objectives, expanding-

Dave Granfield: So you’re using these time to expand [crosstalk] right?

Chris Mott: 100%.

Dave Granfield: You chase audiences that maybe you didn’t have the budget to chase before, you change larger segments of audiences. Maybe you segment your audiences out greater because you’ve got more budget to go further. But that’s all well and it’s a funnel at the end of the day. And we’re talking a lot about the brand awareness at the top of the funnel and introducing as many people to your brand as possible. There’s still got to be a sale at the end of the day, right? Advertising needs a return. So while you might not be able to trace a conversion on a brand awareness style objective, you still need to then follow that up with retargeting, right?

Chris Mott: Yeah.

Dave Granfield: That, do you want to add anything to that or no?

Chris Mott: No. That’s, that’s pretty much it.

Dave Granfield: You just need to follow it up and re-targeting.

Chris Mott: They just need to follow it up with retargeting. Exactly right and that’s…

Dave Granfield: So we were talking, CPMs where… Last time we talked is CPMs down to four or $5 right?

Chris Mott: Yeah.

Dave Granfield: $4 to get in front of a thousand people. So imagine if you change some of your objectives around and for $3 or $2 got in front of two or 3000 people, who are still targeted as your ideal customer base, but you’ve never been able to reach that far before because you haven’t had the budget. Sounds like a pretty good opportunity for a land grab and a brand awareness grab while it’s cost-effective to do so, right?

Chris Mott: Exactly right. Yeah.

Dave Granfield: Cool. So what we recommend at BidPixel. A lot of the time, we’ll spend up to 70% of an advertising budget on top of the funnel and brand awareness. We then spend 15 to 20% on education and motivation. So the middle of the funnel, we’re trying to get your prospect delighted in what’s making them want to purchase from you.

Dave Granfield: And then we allocate most of the budget or pretty much the rest of the budget to retargeting and win-back campaigns. Have a think about how you can change your message to get in front of your broader audience while it’s extremely cheap now. Have a think about how you can turn that broader audience into an ongoing audience as well. So if they become website visitors, make sure you’re creating audiences to retarget them. If they’re watching videos, make sure you create audiences to retarget them based on the video views. But spend the time now, to get in front of the masses so that when the cost of advertising goes back up again, you’ve got a massive data set and audience set of your ideal customers, that you can refine the message and get them to come back and purchase.

Chris Mott: Yeah, I think that’s a great tip.

Dave Granfield: Would you like to add anything else to that one or let’s wrap this?

Chris Mott: No, that’s a good one. Yeah. And I suppose the benefit of being able to do that now is, Facebook does have those rolling window audiences you can expand up to three, six, 12 months. So say you’re coming out the other side of this in six months time, and you think all that money I spent during this period of time building audiences, I want to get in back in front of them again, and you just pick that date ranges out, you hit them hard, and you nurture them again, and you get back in front of them.

Dave Granfield: Awesome. Chris, thanks so much for your time today. So we talked about last week about cheaper CPMs. We’ve just talked about how you can shift your objectives around to get in front of more people, while the cost of advertising is dirt cheap. If you’re an e-commerce business or a lead generation business, if you’re trying to sell a product or a service, it works for everyone, it’s just a case of making sure that the message is correct and making sure that you’re getting in front of those people with a relevant and meaningful way. So let’s wrap this episode, but we’re going to record another one straight away about long-form copy and video work and how you get in front of people with the right message. So this episode is done. Thank you very much, Chris Mott.

Chris Mott: Thank you.

Dave Granfield: Everyone watching comment, like, share, subscribe, whatever platform you’re watching this on. Their team is amazing, they crop it vertically, horizontally, put it on YouTube, Instagram stories, it goes everywhere. Girls, you do an amazing job, so thank you for doing that, and Josh and Ivan as well. Comment, like, share, subscribe, all that jazz so that you get more content from us and so that we share and feel the love that you’re giving us. Stay tuned. We’re going to do another episode now, and it’s all about long-form copy and video copy in this [inaudible] right now and how it’s important. Cool. Thanks per se.

Chris Mott: Cheers mate.

Dave Granfield: See ya.