Paid Media - Mason Interactive

In the realm of digital advertising, the strategies employed to maximize ROI are as diverse as the platforms themselves. When it comes to paid social media advertising on platforms like Facebook and Instagram, two primary approaches stand out: optimization and true A/B testing. While both aim to improve campaign performance, they differ significantly in their methodologies and long-term impact.

Optimization: The Art of Continuous Refinement

Optimization involves the constant refinement of ad elements based on ongoing performance data. Marketers leverage machine learning algorithms and platform insights to adjust variables like audience targeting, ad creative, and bidding strategies. This approach is akin to fine-tuning a musical instrument to produce the best possible sound.

By utilizing optimization, advertisers can swiftly respond to changing trends and audience behaviors. For instance, if a particular ad resonates more with a specific demographic, the platform will allocate more resources to display that ad to a broader audience within that demographic. This iterative approach ensures that your campaign maintains relevance and efficiency, driving better results over time.

Continuous monitoring of campaign performance metrics, such as click-through rates, conversion rates, and cost per acquisition.

Adjusting bidding strategies based on real-time data to optimize ad delivery and budget allocation.

Refining audience targeting parameters to ensure ads reach the most relevant and engaged users.

Tweaking ad creatives, headlines, and descriptions to maximize engagement and conversion rates.

Testing different ad formats (e.g., carousel ads, video ads) to identify the most effective format for your audience.

Adapting campaign elements based on seasonality, trends, and changes in user behavior.

Utilizing platform-specific optimization tools to enhance product visibility and sales.

True A/B Testing: The Scientific Approach to Insightful Results

True A/B testing takes a more structured and scientific approach. It involves running controlled experiments by creating multiple ad variations, each differing in a single aspect, such as ad copy, image, or call-to-action. These variations are then randomly presented to different segments of the target audience. By carefully measuring the performance of each variation, advertisers gain precise insights into the impact of individual elements on campaign success.

Unlike optimization, which focuses on refining what’s already performing, true A/B testing allows marketers to make informed decisions about which specific changes yield the most significant improvements. For example, if you’re uncertain whether a humorous or a serious tone works better with your audience, A/B testing can provide concrete data to guide your creative choices.

Identifying specific variables to test, such as ad copy, imagery, headlines, calls-to-action, and audience segments.

Creating multiple versions of ads, each with a single variable changed while keeping other elements consistent.

Implementing randomized distribution of ad variations to different segments of the target audience.

Monitoring and collecting data on key performance metrics for each ad variation, such as click-through rates, conversion rates, and engagement rates.

Analyzing the collected data to determine which specific changes had a significant impact on performance.

Iteratively refining ad elements based on the insights gained from A/B testing results.

Applying the knowledge gained from A/B tests to inform future campaign strategies and creative choices.

Conducting follow-up tests to validate and build upon the findings of initial A/B tests.

Choosing the Right Path for Your Campaign

Both optimization and true A/B testing have their merits, and the choice between the two depends on your campaign goals and resources. If you’re seeking quick adaptations and overall improvements, optimization might be your go-to strategy. On the other hand, if you’re looking for deeper insights into the effectiveness of specific ad elements, true A/B testing is the path to take.

Remember that both optimization and true A/B testing are not mutually exclusive. They can complement each other, with optimization helping to fine-tune campaigns based on broader trends and A/B testing providing insights into the effectiveness of specific changes.

Ultimately, the choice between these approaches depends on your campaign objectives and the level of insight you’re seeking. Whether you’re aiming for ongoing refinements or in-depth analysis, a combination of both optimization and true A/B testing can help you make the most of your paid media advertising efforts on Facebook and Instagram.

Contact us to schedule a free consultation with our digital experts, and take the first step on your journey.

Yesterday we wrote about the challenges and solutions we’er seeing in real time. Today I want to share something that’s part of our internal mantra.

Communicating Bad News.

I have never been fired fired for missing a client’s goals.

I have been fired by many clients for not telling them that we were going to miss a goal.

I’ve been fired by many more clients, for not suggesting ways to hit the goals we’re forecasting to miss.

Meaning, If you’re going to miss you goals by 30%, and we have clearly articulated this bad news, and we’ve clearly articulated fall-back positions, including but not limited to…

Forecasting for a client “well, we’re behind on revenue, but we can get there. It’s going to cost X dollars., and ROAS will suffer, but we can do it.”
Saying to a client, “well, we can preserve ROAS/CAC/CPL, but we’re going to have to reduce our topline goals by Y%, and here are the six places we recommend actioning to really chase these pockets of efficiency”

…then the client will generally appreciate that advice, and trust us more in the future. Nothing solidifies a relationship like going through bad times with transparency and sincerely.

Some more tactical – but still good! – ideas could be:
- Reducing targets
- Offering a deeper discount
- Starting the sale earlier
- Send more emails – for real, send more emails. Don’t be precious about it.

So that’s my advice…

…to anyone starting out in this industry. Your managers are looking at your client retention, and the best way to retain clients is to be transparent and honest. Clearly, loudly, emphatically communicate bad news, as long as it’s A) backed up by day and B) you provide solutions.

If you’re not already a Mason client, book a consultation with our team and we’ll work on a tailored approach for your brand, together.

Holiday is here. We’ve frozen PTO, we have twice a day check-ins with most clients, and most of those, seven days a week.

Challenges

We have tons of data showing that “holiday” is actually a 2.5 month event, from mid-Oct., through the end of December. We’ve counseled our clients to start their sales earlier, and we track each client’s actual daily revenue against their target daily revenue.

Meaning, if you want to make $1,000,000 in November, you need to make $33,333 a day. If you’re actually making an average of, say, $25,000 a day, that’s a delta of $8,333 a day. That seems like it might be small enough hill to climb, if you’ve got a 35% off sale starting Saturday the 19th

But if you want to make $1,000,000 in November, and you’re actually making an average of, $10,000 a day, that’s a delta of $23,333 a day. That is a big hill to climb.

Solutions

Be Proactive – We’re recommending that partners supply creative with an increased discount (20% vs 25%) in the event that we need to swap in order to be more aggressive in market
Be Flexible – Base and stretch goals are going to be key to winning your Holiday push
Be Nimble – ROAS floors are a great way to strike while the iron is hot. Confirm ROAS bands with your team to speed up decision making in the moment

Results

We do have clients who exceeding their goals. In that same hypothetical example, imagine client who is making an average of $40,000 a day MTD – they’re ahead of their goals by 7K a day. It’s the 15th of the month – that means that they’re $105K over their target.

I’d much rather be in a place where we’re ahead of targets on Thanksgiving, than behind. Even if that means starting a sale ealier.

If you’re not already a Mason client, book a consultation with our team and we’ll work on a tailored approach for your brand, together.

On Oct 13th, Mason Interactive welcomed colleges, K-12’s, and more, to Google’s NYC HQ. We shared insights into changes in the Education industry since the pandemic, and talked about how schools can “future proof” against changing demographics.

Side note: It’s three years – to the day! – since we presented at the annual HighEdWed conference in Milwaukee, Wisconsin; we are thrilled to be back to hosting in-person events with industry leading brands and digital experts.

Even with the rise in important new platforms like TikTok, it is our perspective that the first marketing dollar should always go to Google. Google Search is where the search for a school begins, and it pays to be there, at the start of a prospective student’s journey.

Key Challenges & Observations

Demographic Trends:
Due to declining birth rates post 2008’s “Great Recession,” there are fewer students in market.
- This decline is causing a looming “enrollment cliff.” There is an expected 15% decline in college-going students over the 4-year period between 2025 and 2029.
Changing Behavior:
Students are looking at investing in themselves, and see education as a cost/benefit analysis. They’re asking themselves “is the cost of this degree worth the money I’ll make from it?” This is reflected in changing search patterns.
- Specific Brand Searches are down. People are not searching for specific schools as much as they were.
  - Traditional Schools: -3%
  - Community Schools: -7%
  - Career Educators: -11%
- General Category Searches are flat/down. Interest in specific degrees are flat/neutral.
  - Programs: +12%
  - Degrees: +13%
- Searches that reflect a student’s interest in a positive Return on Investment are up.
Students + Parents/Guardians are more ROI conscious than ever:
- 78% of students say that their degree, short course or bootcamp will be the most important financial expenditure they’ll make this year
- There is a high correlation between earnings and growth in search volume:
  - Ex. music production certificate vs. wealth management certification programs – the first of those is seeing a smaller increase in volume than latter.
- Students are looking for the certifications and short courses that are going to bring them the “biggest bang for their buck” not only in the questions that they are asking, but also in the subjects that they want to study.
- Students still believe education is critical, with optimism for up-skilling and re-skilling. This is an opportunity for education leaders to drive strategies that focus on growing offerings in these areas and for students looking for these new learning opportunities to help them up-skill & re-skill.

**Ways Your School Can Win**

Be Early
- The average student looks at only 3 schools. If your school is not in that three-school list, your chances of enrolling them drop dramatically, because…
  - 75% of prospective students do not consider beyond their initial school & program list
Be Persuasive
- You are competing with 2 other schools – get to the applicants before them. Speed matters.
- Meet students where they are: flexible, part time, hybrid demands are here to stay
- Match degree offerings to job and student demand > push to short course / micro-credentialing
- As competition for student consideration increases, double down on brand awareness / upper funnel media
  - 77% of prospective degree and non-degree students agree that it is important for the school they select to have a strong national reputation
- Add value during the admissions process
Set Goals
- We have clients who are growing enrollments in this environment.
- The #1 thing these clients have in common, is a set of clearly-articulated, globally-shared goals.
  - “More” is not a goal.
  - “I want ‘R’ incremental enrollments, I want them from ‘X’ location, I need them by ‘Y’ date, and I can afford to pay ‘Z’ for them” is a goal.
- Goal Setting:
  - Set a goal for incremental number of new students
  - Melt Rate: The Student journey is not linear. Supply valuable and reinforcing content based on where they are
  - Budget: Use seasonality data to your advantage

A Look Back + Look Forward – Quick Stats with Google:

The decline in college enrollment is something higher education leaders have been expecting for some time.
1. Even before the pandemic, enrollments were already on a downward trajectory and admissions professionals have long been aware of the enrollment cliff projected for 2025.
- Universities will need to be nimble and make sure their strategy is aligned with the ever-changing market

33% increase in students reporting that their graduation plans have changed:
- There’s a 33% increase in students reporting that their graduation plans have changed, with a third of students reporting that they will be delaying their graduation, transferring to another school, or dropping out completely.

83% increase in current degree students reporting that they are spending more time digitally:
- Google Search and YouTube are the most used applications among current and prospective students
- 79% of students using YouTube use no other video platforms for supplemental learning, 10% use TikTok.
- 58% of students watch YouTube daily (vs. 44% of general population)
- 36% of students watch vlogs / influencer videos weekly (vs. 27% of general population)

If you’re not already a Mason client, book a consultation with our team and we’ll work on a tailored approach for your school, together.

Holiday planning for e-commerce brands is underway, and every year we proactively take this time to position our clients for success in preparation for the busy Q4 holiday shopping season. Historically, Cyber Five was the key revenue driving period for brands, but YoY data indicates that consumers are starting their shopping earlier, and many have already made a purchase.

In the current macroeconomic climate, we are preparing for another year of uncertainty. As your agency partner, we want to be transparent about the market trends and data we are gathering from our partners at Google and Meta.

Key Challenges & Observations

Consumer purchasing is split making each month critical
- October = 32%, November = 32%, and December = 36%
- One miss = ⅓ of holiday
Consumers are shifting away from branded searches
- Aggregate total:
  - Branded: -3%
  - Generic: +1%
Consumers are on the lookout for deals and open-minded about who they buy from
- 36% said they purchased a brand different from their preferred brand to get a better price
- 30% shopped at a store that was not their preferred store
- 56% will hold off on buying gifts until they are on sale
Free shipping options and fast delivery have become table stakes for retailers during Holiday
- Besides price, the top factor that determines where holiday gifts are purchased from:
  - Free Shipping/Shipping Speed
  - Convenience/Proximity to Store Location

Source: Google Internal Data, 2020-2022.

Ways to Win Your Holiday

Be Proactive – We’re recommending that partners supply creative with an increased discount (20% vs 25%) in the event that we need to swap in order to be more aggressive in market
Be Flexible – Base and stretch goals are going to be key to winning your Holiday push
Be Nimble – ROAS floors are a great way to strike while the iron is hot. Confirm ROAS bands with your team to speed up decision making in the moment

Quick Stats: Think With Google

People are shopping earlier than ever
- 26% of shoppers globally have already begun their holiday shopping.
- Many people research and shop months in advance of events, and this year is no exception

Those who have already begun their holiday shopping want help with:
- 47%: Gift ideas and inspiration
- 44%: Starting gift lifts
- and 18% have already made a purchase

Unboxing videos, written recipes, home improvement blogs, and more all help to inform buying decisions

67% of YouTube viewers surveyed have made a purchase as a result of sponsored content
- Video ads can help brands deliver relevant, personalized experiences to audiences at their most engaged moments

64% of U.S. holiday shoppers who used Google said they did so for “discovery and inspiration”
- Visual shopping experiences such as lifestyle photography, videos, and customer reviews can make lasting impressions

Omnibuyers: Searches containing “near me in stock” have grown in the US by more than 90% YoY
- Omni Buyers are paving the way for “intuitive shopping,” where people browse and find inspiration concurrently, online and offline, across multiple product categories
- In the US, people are shopping across seven categories in a two-day period
Searches containing “cheap and best” have grown globally by over 40% YoY
76% of US shoppers want to buy higher-quality products that last longer
- Promote your deals, shopping, and return benefits, in-store inventory, and store pickup options in your messaging and on Search

Best practices for making your holiday advertising shine

If you’re not already a Mason client, book a consultation with our team and we’ll work on a tailored approach for your brand, together.

Introducing Advantage+ Shopping Campaigns

It’s no secret that Meta platforms’ performance is impacted by Apple’s iOS 14.5. Apple’s relentless focus on user data privacy resulted in signal loss, changes to targeting capabilities, and most critically, measurement.

Our view: Instagram and Facebook aren’t broken, they’re different. As industry standards evolve, so do the platforms we use, whether for social connections, community and brand building, or business growth and development. This makes the landscape more uncertain, the data more difficult to read, and the insight more challenging to articulate.

Meta has rolled out Advantage+ Shopping Campaigns globally. ASC use artificial intelligence to enable e-commerce and retail direct-to-consumer brands to potentially achieve better performance, greater personalization and more efficiency through advancements in AI + machine learning. These campaigns provide greater flexibility to control creative, targeting, placements and budget, and more opportunities to optimize campaigns that drive conversions.

What are Advantage+ Shopping Campaigns and how does it work?

Simply put, ASC falls under Meta’s new suite of Total Advantage tools. While Advantage tools are designed to automate a specific part of a manual campaign, Advantage+ focuses on automating a campaign from beginning to end or part of a manual campaign (e.g., placements or creative).

Here’s a simple overview:

Advantage+ Shopping Campaigns offer end-to-end automation and support dynamic and static ads

Advantage+ Shopping Campaigns combine Prospecting and Remarketing strategies in one campaign

Meta does not see ASC replacing existing products, and it is recommended to test and learn across current Business as Usual (BAU) campaigns

Advantage+ Shopping Campaigns are designed for Broad reach, removing campaign restraints

Advantage+ Shopping Campaigns are designed to automate creative, resulting in less audience saturation

Advantage+ Shopping Campaigns can test up to 150 creative combinations, reducing creative fatigue

If you’re looking to make your advertising operations more efficient and drive performance at the same time, Advantage+ Shopping Campaigns are worth looking into. If you’re not already a Mason client, book a consultation with our team and we’ll work on a tailored approach for your brand, together.