Overview: In this case study, I share insights from a recent success story involving the revival of Meta advertising for a client. This client is a leading supplier of educational and office supplies. After a two-year hiatus from advertising on Meta, the client made a strategic decision to restart Meta advertising in July, where I was able to garner impressive results through analyzing and discovering valuable customer cohorts. For this particular client, their peak sales period is from June through August as schools and organizations prepare for back-to-school season.

July: Reinitiating Meta Advertising This journey began in July when I recommenced Meta advertising for the client after a two-year pause. Here are the key findings this pivotal month:

• Cost of Sale (COS) and Average CPA: I achieved an extraordinary COS of just 0.12% overall, accompanied by an average Cost Per Acquisition (CPA) of $1.31.
• Competitive Advantage: The remarkably low CPMs in July, averaging $12, were attributed to the absence of competitors investing in Meta advertising. This trend had been anticipated following platform research conducted in May and was expected to persist through the back-to-school season. With a larger budget allocated for August, I aimed to seize this opportunity.
• High Average Order Value (AOV): July saw an impressive AOV averaging $1,000. Remarkably, despite the two-year hiatus, this client’s Meta pixel had continued collecting valuable customer data and behavior, enabling precise targeting of high-converting audiences.
• Category Performance: The standout category by ACOS, conversion value, and AOV was “backpacks” with an ACOS of 0.09%, $428,000 in revenue, and an AOV of $1,300. Conversely, “school supplies” had an ACOS of 0.17%, $278,000 in revenue, and an AOV of $830.

August: Scaling the Budget and Strategic Adjustments Due to July’s success, the client doubled the budget for August, allocating $3,000 compared to July’s $1,500. This boosted budget allowed me to make substantial investments in acquiring new customers during the crucial back-to-school season.

To further enhance campaign performance, I made strategic adjustments which included adding exclusions to targeting. This ensured that the ads were displayed exclusively to users new to our brand, optimizing spend and sharpening the focus on customer acquisition.

Data Validation with GA4: All ads were being meticulously tracked and measured in GA4. Last-click data from GA4 reported an ACOS of 0.37% in July and 0.45% in August, indicating slightly higher costs per $100 in sales compared to what Meta reported.

In contrast, Meta’s 28-day attribution data showed an ACOS of 0.12% for July and 0.48% for August, aligning closely with tracking in GA4.

Key Takeaways:

1. Customer Cohort Analysis: A detailed customer cohort analysis of the past three years unveiled that this client’s most valuable customers are acquired in March and July. This insight fueled our acquisition strategy during the summer months, pre back-to-school season.

2. Engaging Returning Customers: Given that many customers exhibit peak purchase intent during the summer months, I was able to convince the client to keep investing in Meta during the off-peak periods as well. This approach is to engage returning customers and keep the brand top of mind for last-minute school or office supply purchases.