The Challenge: Low Average Order Value
An online store offering affordable home linens, markethome.gr, faced the challenge of low average order value (AOV). Despite a steady flow of customers, the low prices of the products resulted in reduced total revenue. The objective was to increase the average order value and revenue while maintaining the store’s affordability.
Strategy: Offers and Communication Hooks in Facebook Ads
To address the challenge, we proposed the creation of bundled product packages, offering more than two items at a discounted price. Promotions such as “Buy one product and get another one free” were introduced to encourage customers to purchase more items per transaction.
These offers were effectively communicated through dynamic Facebook Ads that utilized attention-grabbing hooks. We used:
- Instant Experiences and Carousel Frames to visually highlight the value of the offers.
- Promotional messages emphasizing the advantage of the deals.
The ads clearly communicated the value of the promotions, which helped build consumer trust and motivated customers to increase their purchases. The combination of clear visuals and well-crafted messaging strengthened the effectiveness of the campaign.
The Results: Doubling Average Order Value and Increasing ROAS
The implementation of the bundling strategy and the structured communication through Facebook Ads yielded remarkable results:
- The average order value doubled across the entire website.
- The ROAS (Return on Ad Spend) for Facebook Ads increased by 100%.
Customers responded positively to the promotional offers, leading to a significant rise in revenue for the business.
Research shows that ads with well-structured hooks can improve the Click-Through Rate (CTR) by up to 30% compared to ads without targeted communication messages.
Ads with properly formatted hooks can increase the average CTR% (Click-Through Rate) in paid social ads by up to 30% compared to ads without targeted communication messages.
Conclusion: The Value of Attractive Offers
The case study of markethome.gr demonstrates that well-designed promotions can effectively increase the average order value. By creating bundled product packages and using targeted communication hooks, businesses can better connect with customers, drive higher revenues, and enhance the efficiency of their social media advertising campaigns. This approach is particularly valuable for outreach channels like Facebook, where engaging messaging plays a key role in attracting prospective customers.
