5
3Q CASE STUDY Copyright © 2019 3Q Digital, Inc. All rights reserved UAC optimization leads to 65% improved CPA with 10X volume B2C MOBILE APP

B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

  • Upload
    others

  • View
    1

  • Download
    0

Embed Size (px)

Citation preview

Page 1: B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

3 Q C A S E S T U D Y

Copyright © 2019 3Q Digital, Inc. All rights reserved

UAC optimization leads to 65% improved CPA with 10X volume

B2C MOBILE APP

Page 2: B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

B2C Mobile App: UAC Optimization Leads to 65% Improved CPA with 10X Volume 2

CLIENTA mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for teaching fundamental reading skills.

CHALLENGEAs Google phased out typical app-install campaigns, the client found themselves forced onto a UAC platform that, like most other advertisers, they were unfamiliar with. The client needed UAC to drive new user acquisitions at the same efficiency as the legacy MAI campaigns. More importantly, because app campaigns are the core focus of their digital strategy, they needed to hit this performance almost immediately after phasing out MAI.

As a mobile app service, the client’s primary KPIs included app installs, but the ultimate goal was driving users to start free trials of the platform. The initial UAC setup targeted installs while “optimizing” towards in-app events (trials) – per Google’s recommendation. However, the client struggled to achieve the same performance they’d seen with MAI campaigns. Costs Per Trial fluctuated wildly, and the average was unsustainably high. The client tasked 3Q with determining the right targeting strategy to drive in-app conversions on Google’s Universal App Campaign platform.

SOLUTIONThe 3Q team’s strategy centered on testing against Google’s recommendation by changing targeting from installs to in-app events in the UAC settings. Additionally, we deployed the following tactics:

Target Adjustments

We launched a new UAC campaign to start building new data history, untainted by the earlier poor performance, and increased the aggressiveness of the cost-per-trial target. Acquisition performance improved almost overnight.

We set a target 20-25% above our actual efficiency goal in an effort to ramp up UAC volume and learnings initially. Once we were satisfied with the volume coming in (approximately one month after making the change), we set a more aggressive Cost-Per-Trial target to drive efficiency. To continually drive improvements, the recurring target updates are small and controlled (<25% of the existing target) in order to avoid cutting off traffic and disrupting performance.

Through testing, 3Q has seen that it may take up to 2 weeks for UAC traffic to consistently hit your new target goal. While it’s tempting to continually adjust your in-app-event efficiency

Page 3: B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

B2C Mobile App: UAC Optimization Leads to 65% Improved CPA with 10X Volume 3

target, this effectively “resets” your UAC targeting each time. 3Q avoids frequent changes in order to ensure that all optimizations are driven by statistically significant data - rather than a response to initial volatility during the algorithm’s “learning phase.”

Creative Refreshes

We deploy a rapid creative testing plan to identify winning assets/copy and continuously push performance. By continually testing new creative and messaging in the campaign and providing the algorithm with fresh options, we’ve seen tremendous success on the display network through UAC, as new assets can cause the algorithm to seek out new inventory and new audiences.

When deploying new creative assets, 3Q establishes long-term upload plans, updating in bunches in order to limit how often we’re pushing new updates. For instance, if we have 6 new assets (3 images, 3 videos), our strategy is to plan out multiple weeks in advance and load them in a single update. A caveat: just like other optimizations, new assets start off a new learning phase. As discussed, avoiding learning phases whenever possible to achieve the most consistent performance.

Lastly, the UAC algorithm automatically de-prioritizes low-performing assets. You should not remove creative even if it is performing poorly; keep your rotation full in order to ensure maximize placement and audience coverage.

Budget Changes

Following the data, we strategically increased budget by 5-20% each week that we saw strong results. By strategically limiting budget adjustments to <20%, we are able to prevent our UAC campaigns from re-entering the learning phase, and keep our performance more consistent week-over-week.

SOLUTION (CONT’D)

Page 4: B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

B2C Mobile App: UAC Optimization Leads to 65% Improved CPA with 10X Volume 4

RESULTSOur adjustment to a new targeting strategy and our nimble budget allocation tactics allowed us to unlock remarkably strong performance on UAC. Since switching to targeting in-app events, we have beaten our Cost-Per-Trial goal every week. Before our switch to targeting in in-app events, we were seeing a Cost Per Trial 3x over our target. Following our switch in January, we have improved our Cost Per Trial by 65% - while increasing weekly trial volume by over 10x.

From this testing, one of the primary takeaways should not be that Google’s recommendations held back performance, but to recognize that a newer product like UAC is very difficult to predict. Google teams make recommendations based on how the system should theoretically work, but for new features it is always worth testing a variety of strategies to determine the best approach for your own campaigns.

Trials

October0

200

400

600

800

1,000

1,200

1,400

November December January February

Switch to trial-target

UAC Trial Volume

March

CPT

UAC Cost Per Trial

October November December January February March$-

$50

$100

$150

$200

$250

Switch to trial-target

Page 5: B2C MOBILE APP - 3Q Digital · A mobile app that focuses on early education for children ages 2-8. The client’s service offers personalized learning plans, with proven results for

For more information on how 3Q Digital can help your marketing campaigns:

Get more case studies at 3qdigital.com

Reach out on 3qdigital.com/contact

Email us at [email protected]