What is Full-Funnel?
Christopher A. Lewis
E-commerce Growth Strategist | CTV Advertising & Paid Ads Specialist
What does a Full Funnels means and how you treat your ads differently depending on the customer journey through the sales funnel?
To understand how the full funnel works you need to understand how
- Understand how FB & IG algorithm
- Having the right campaign structure
- Picking the right optimization event
- Choosing the right bid strategy
- Apply the right scaling strategy
1. Understanding FB & IG Algorithm
Learning Phase
- Narrow down the audience to mostly “ Converting Area “
- Based on your own performance data for each ad set
- Needs 50 conversion events per ad set each week
In order for this to work, you will need to get 50 conversion events each week per ad sets.
With that said, it makes sense to combine them into fewer ad sets, so we can get those 50 conversions. While in the learning phase you want to optimize on clicks and view content
Order Effect
- Rank potential users according to their “Likelihood to Convert”
- Based on the FB Data which derives estimates
- NO minimum of the conversion event needed → Optimization
In the order effect, you want to optimize on the purchase because that is what really matters.
2. Choose the right campaign structure
Branding
- Create brands value via recall & recognition → Prospecting
- Goals: Impressions, reach & engagement
Prospecting
- Fuel your lead pool → retargeting
- Goals: Traffic & upper funnel conversion
Retargeting
- Convert your leads-pool into paying customer → Upsells
- Goals: Lower funnel conversion
3. Choosing the right optimization event
Upper Event Funnel
- First interaction event after FB ads
- Occur with high frequency
- Click, landing pages view and view content
Lower Event Funnel
- Last interaction event after FB Ads
- Occur with Low frequency
- Add to cart, initiate checkout and purchase
When prospecting you should focus on the upper funnel events (clicks, landing pages view and view content) and when you are retargeting you should focus on the lower event funnel (Add to Cart, Initiate Checkout, and Purchase).
4. Choosing the right bid strategy
Lowest cost
- Get you the lowest possible cost per conversion
- Spends your Daily/Lifetime budget (Useless using Bid Cap)
- Available in all campaign objective
Target Cost
- Gets you an average cost per conversion
- Spends your entire daily/lifetime budget
- Available only in performance objectives
5. Apply the right strategy
Old Scaling Strategy
- Increase budget only up to 10% → Reset Learning
- Duplicate winning Ad set and keep original also active
- Dilute budget in too many Ad sets & Loose historical data
New Scale Strategy
- Increase the budget even more than 10%
- Maintain original ad set & combine budget → Order Effect
- Concentrate all data points & maintain historical data
→ Learning Phase > Order Effect
Stable with targeting cost bidding, concentrate & maintaining data
→ Order Effect > Learning Phase
Lowest cost per conversion, scale with higher budgets