Nowadays, many businesses are advertising when they think it is the best time to, rather than analyzing data to understand what really works for them.
One strategy that has a high pay-off is manipulating your ad spend on certain days of the week. For example, it could be on Saturday or Sunday when the competition is lower and your customers’ purchase intent is higher.
Before changing your Facebook ads strategy, there are several factors that should be considered. You need to analyze the customer acquisition cost, CPM (advertising price), the buying trends of your customers, and much more.
In today’s blog post we are breaking it down for you with a step-by-step guide on how to use the day of the week analysis to improve your Facebook ads results.
How it all started
Let’s go through one of our past experiences where we noticed a huge advertising opportunity on certain days of the week. We’ve pulled historical data for a 10-month period so we can draw some conclusions and help you act on these kinds of scenarios.
What would you think if I told you we experienced a sudden drop in customer acquisition cost (CAC) on certain days of the week?
I guess your first assumption would be that we decreased the budget. Or maybe you’d think it was an outlier?
Well, at first we thought that too, but after some time we started analyzing if this change was really statistically significant.
Below we can see a breakdown of the average customer acquisition cost and spending per day.
Saturday and Sunday had an 11% lower customer acquisition cost, even though we significantly increased our budget on those days.
|Avg. CAC per day||$31.86||$32.57||$33.07||$33.65||$33.40||$29.70||$28.84|
|Avg. Spending per day||$6,926.41||$6,369.94||$5,872.03||$5,740.92||$6,127.26||$7,413.48||$9,868.54|
Similarly, we can see this by looking at the box plot diagram below. The overall CAC in this period was around $26, but our advertising opportunity on Saturdays and Sundays was increasing week after week.
So if you notice the same scenario on your account, start prioritizing your strategy for best performing days to improve the account performance.
Can’t find your opportunities? Let me show you the easiest way.
Day of the week analysis in RAPP
If you’re new to Facebook ads and need help analyzing important data, we got you covered. You can easily track your performance by day of the week in RAPP’s advertising section.
We created the “day of the week analysis” specifically for cases like this – so you can easily tell which days perform best and based on that optimize your strategy.
On the following graph, we can see that the customer acquisition cost is the lowest on Saturdays along with a high number of purchases.
This indicates that there’s an opportunity on this specific day to improve results and get your high-converting ads to the next level.
We also have a full blog post on how we calculate the expected customer lifetime value and retention in RAPP.
Now let’s find out how to grab an opportunity like this and make something of it.
Facebook ads bidding strategies: Mannual vs. Automatic
First things first, let’s go through Facebook’s bidding strategies.
The simplest and most common bidding strategy advertisers like to use is automatic bidding.
In this case, you simply let facebook decide the optimal CPA without worrying too much about your budget. Often this default setting isn’t necessarily the best fit for your business, but it’s a great way to start and get a feel for future strategies.
On the other hand, in cases like this, when you want to start scaling your Facebook ads, we recommend switching to manual bidding.
That way Facebook will try to spend your budget as long as it fulfills your bid requirements. So if your budget is $100, and your bid cap is $25, they’re going to enter every auction they can as long as the bid is under $25.
Once you gather enough data, accelerated delivery comes into play. When you know which days perform best you want your ads to be delivered as quickly as possible. Accelerated delivery is all about that.
The potential downside is that accelerated delivery is an extremely aggressive advertising strategy so you could easily spend all your budget. Meaning, if you get a lot of clicks earlier in the day, you may spend most of your budget. But if most of these clicks are bringing conversions, this should work out in your favor and give you great results.
Another way to visualize how accelerated delivery works is by looking at the graph below.
Notice how the delivery takes place earlier in the day, making sure you reach as many people as possible in the shortest time. You can also see that you’re always going to enter an auction that is under your selected bid cap ($25).
To give you an example, let’s say you’re doing e-commerce and you’re willing to pay $25 dollars for a conversion action. In this case, Facebook will always bid under that $25 dollars making sure you don’t end up paying more than that for a single conversion.
All in all
The last advice we’d give you is to monitor it closely and regularly before jumping to any conclusions. But hey, don’t worry! Our growth experts are here to help and answer any of your questions. Feel free to drop us a line at [email protected] for any questions or suggestions. If you’d like to learn more about our growth strategies and best practices visit our blog or subscribe to our newsletter.