No matter how well-defined your ad strategies are, the conversions tell their worth.
If the conversions are low, it means that your ads don’t resonate with the target market.
Sure, several strategies might have worked in the past, but they may not work today.
The reason? Ever-evolving customer expectations.
So, keep up with the target market’s ever-changing expectations. Tracking what’s on their mind is the key to maximizing ad spend and achieving a high ROI.
That’s where understanding customer behaviour and analyzing campaign data can prove to be a game-changer. The data can help you see what the audience wants and achieve a high ROI on ad spend.
In this post, we’ll share the top five tips for maximizing ad spend through campaign data and customer behaviour analysis.
5 Crucial Tips to Maximize Ad Spend from Data Analysis
1. Analyze Historical Campaign Data
Analyzing historical campaign data is often the most overlooked aspect of creating ad campaigns.
As mentioned, past customer behaviour does not guarantee successful campaign performance. However, it does provide some valuable insights.
Leveraging it can help you analyze how customer preferences are evolving.
Here’s how:
- Insights on Strategies: The historical campaign data can help you identify the top-performing and poor-performing strategies. Analyzing KPIs like click-through rates, engagement rates, and conversions over time can give a clear picture.
- Seasonal Trends: Study the customer and campaign data from the past consecutive years. This can help you gain insights into seasonal trends in customer behaviour. For instance, it might show that your target market engagement or conversions typically peak during Christmas or Easter.
- Engagement Time: The data can help you pinpoint the timing of audience engagement. For instance, it might show that the audience engages the most between 3 and 9 p.m. This can help you understand the best time to schedule and publish the ads.
2. Understand Your Ever-Evolving Audience’s Pain Points
Creating generic ads can’t help you stand out from the competition. You have to be precise when it comes to delivering ads.
Understand a simple fact that the audience is searching for solutions.
So, half of your battle is won when you know your audience’s pain points and create personalized content that addresses them.
Here’s how you can create a “problem-solution” approach-oriented ads:
Understand that not every section of your audience will face the same challenges. So, segment your audience into groups based on specific pain points.
For example, let’s say you observe that a specific audience group is concerned about your product’s pricing while another group cares about quality of service. In this case, you can tailor the ad messaging according to the audience’s expectations.
Similarly, if your customers worry about delayed responses, create an ad highlighting 24/7 service support. You can even refer to a customer success story about how your team delivers prompt solutions. This way, you can entice the right customer segment and improve the chances of conversions.
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3. Set SMART Goals
This goes without saying: set SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goals.
The reason? It gives you clarity about how to head towards achieving precise goals.
Once you have the campaign data and customer behaviour analysis, you need a solid plan.
Here’s a quick example to help you understand how setting a SMART goal can help.
- Specific: Be specific. You must think of a goal like, “We need to increase 20% conversion in 30 days” rather than saying, “We want to increase conversions.”
- Measurable: Ensure you have a specific figure and tools to help you measure the goal.
- Achievable: Be realistic. Don’t target something impossible to achieve within a given span. For instance, 1 million conversions in 10 days is quite unrealistic.
- Relevant: If you aim to increase conversions, your ad spend should prioritize campaigns that drive sign-ups rather than merely traffic.
- Time-bound: Set a deadline. This will keep you motivated and help channel energy in the right direction.
4. Optimize Your Marketing Strategies
This can help ensure that your ad spend works effectively.
For instance, create eye-catching, high-quality content for your ad. Use videos or infographics with clear brand messaging and a value proposition. This will ensure that your ads are noticed.
Besides, ensure your ads are placed in high-traffic, relevant areas for your target market.
For instance, if your audience heavily uses social channels like Instagram, focus on creating ad Stories and Reels rather than posts. Similarly, if the audience is most active on Instagram, allocate your budget to this platform rather than Facebook or LinkedIn.
Analyzing your customer behaviour is the key to cracking the ad spend tactic.
This can help you reach and engage the right audience with zero hassle. Track your campaigns using the analytics dashboard (Instagram’s built-in analytics, in this case). The insights you gain can help you allocate your budget to the top-performing campaigns.
5. Review and Optimize Ad Campaign Regularly
Leverage the campaign data and customer behaviour to review and optimize your ad campaigns at frequent intervals.
As we discussed, customer expectations are constantly evolving. Therefore, leveraging this data can help you stay ahead of the competition.
For instance, track crucial metrics like conversion rate, cost per acquisition, and more.
If your conversions increase every quarter, this indicates that your strategies are working well. To increase the conversion rate, you can work further on optimizing the campaigns.
Here are a couple more ways to review and optimize your ad campaigns based on customer data and analysis.
- A/B Testing: Experiment with your ad content. Create and publish two or more variations of ads with distinct CTAs, imagery, and more. Track what campaigns receive maximum traction.
- Track Costs with Expense Report Templates: Leverage expense report template to track advertising costs. These templates can help you analyze how well your marketing team leverages the ad budget and where you can minimize expenses. This can help make informed decisions.
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Summing Up
Maximizing ad spend is something that every business aspires to. However, guesswork and vague tactics can’t help you reach this goal. Today’s customers are smart and well-read. They know what they are looking for.
This makes the situation tricky. But with the right data, you can reach, engage, and convert customers.
The five tips shared in this post can help you commence your journey.
So, go ahead and implement these tactics and maximize your ad spend.
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