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Growth Hack #1 – Four Cognitive Biases That Influence Behavior :
Our brain has glitches, too, and it’s fairly easy to leverage a few of them when it comes to purchase behavior:
Anchoring effect: Customers tend to attach more weight to the first piece of information in a sequence. After that, they subconsciously alter their perception of value.
Example: Start by introducing your most expensive item. After they see that, your cheaper items still look more competitive.
Social proof: A common one. People tend to “view a behavior as more correct” when others are engaging in the same behavior.
Loss aversion: People put greater emphasis on a loss rather than a gain of equal value.
Example: Trial of a software. Once people start using a software service and the trial period expires, the loss of that software is far more influential than the thought of acquiring something new in that first moment.
Goal gradient: The effort we put into reaching a goal grows as we get closer to that goal.
Example: A 10-space coffee card pre-stamped twice will be completed faster than an 8 with no pre-stamps. This can be useful to shorten the purchasing cycle.
Growth Hack #2 – A Paid Social Expert’s Advice on Bid Caps vs. Cost Caps on FB:
When is the right time to use a bid cap vs a cost cap in PPC advertising? “Paid Social Evangelist” David Hermann has the answer:
✔️ Bid Caps w/proven creative and a clear understanding of your target CPA.
✔️ Cost Caps for creative testing/scale and a bit open to seeing what your target CPA will be. (Bidding roughly 10-20% higher than target CPA)
Source: David Herrmann on Twitter
Growth Hack #3 – Four Steps to 192% Better Google Shopping Ads:
Boosting Google Shopping Ad performance can come down to a few key steps. Here are four that resulted in a 192% increase in ad revenue:
1. Analyze your query data and pick out long tail (more than 3 words long) search terms that are product specific and generating the highest volume and revenue. Raise your bids on those terms.
2. Then set up remarketing ads to those who:
– Viewed basket, didn’t commit to purchase
– Viewed a high ‘detail-view’ to checkout-rate product
– Viewed website for over 4 minutes in one session
– Viewed site in the past 5, 10 and 15 days
– Viewed site from high converting location
– Viewed site from high converting device
– Viewed site and in top lifetime value segment
3. Segment your data by mobile devices, gender, age, geography, and find who generates the highest ROI. Then focus your ads specifically on the most valuable segment.
4. If you find that time and day influence ROI, you can use a chart like the image above. Create scripts to automate bidding across this custom schedule.