Incrementality case study
Measuring for incrementality makes Facebook Ads 90% more effective
Crealytics ran a randomized controlled experiment to compare the attribution system ROAS against incremental impact - with surprising results.
Incrementality: theory vs practice
The explanation for this paradox is that even digitally savvy organizations struggle to bridge the gap between theory and practice.
This case study shows how a home furnishings retailer and Crealytics have bridged this gap together by measuring and improving the incremental return of Facebook campaigns.
About the retailer
There is more than meets the eye; any attribution model is likely to over- or undervalue the incremental value of any campaign.
But alas, most attribution reports are wrong and can even cause harm. The numbers reported to marketers do not show the true financial impact of marketing channels and campaigns. To understand true causal impact, incrementality testing is needed.
02 The Challenge
Exploring new ways to move the needle
The Facebook campaign structure mimicked a classic e-commerce conversion funnel with two major segments:
Crealytics had two hypotheses in mind:
But before any execution, these counterintuitive tactics needed proof in data.
03 The approach
Retargeting vs Prospecting
What is Facebook's Conversion Lift tool?
Conversion lift compares the actions of real people in randomized test and control groups to measure the additional online, offline or mobile app business driven by Facebook, Instagram and Audience Network ads.
04 The Results
A 5.7x higher return from prospecting vs retargeting
As a result, the retailer’s incremental Facebook ROAS increased by +90%, driving nearly twice as much impact for every advertising dollar. While incrementality optimization can seem daunting at first, it is worth implementing as it is one of the biggest levers to really drive business impact.
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