PPC Promotion of a Leather Goods Company on Facebook Ads

Introduction

The Livepage team has been setting up PPC ads on Facebook Ads and Google Ads since 2021 and has known all the ropes.

In this case study, you will learn how the Livepage PPC team increased conversions by 36% and reduced the cost per conversion on Facebook Ads (Meta Ads) by more than 3 times for a B2C and B2B product business in the USA!

Our client is an American company that manufactures numerous leather goods of premium categories. Here are some of them:

• covers for menus and checkbooks;
• notebooks with leather covers;
• backpacks and bags;
• wallets;
• watch straps;
• aprons;
• and more.

Since the target audience of the business covers B2C and B2B segments, the PPC team has prepared separate targeting sets and metrics for each segment to make advertising more effective and evaluate its results.

Facebook optimization

Let’s look at how the most effective target audience and Facebook promotion strategy were selected for the needs of this particular business.

Growth hypotheses

Initially, we prepared hypotheses that would generate the highest sales for this product segment — product categories, audiences, campaign formats, and ad types — and allow us to collect unique statistics for this particular business.

The statistics collected on a specific project allowed us to find growth points and determine further actions most efficiently.

Choosing creatives

Our hypothesis allowed us to identify the most effective product categories, namely backpacks and mouse pads. Next, we selected the most popular items within each category. Among these, we identified groups of products used for advertising creatives — photo and video content with these products.

“Narrowing” the audience

The next step is to identify the required audience niche. To achieve the best results, we needed not just a great reach but also to target a segment of the audience that would be interested in higher quality but also more expensive premium products.

Therefore, we narrowed the targeting by combining audience interests and changing the standard “maximum reach” promotion strategy. In this case, it was apt to apply the “cost per result” bidding strategy, which gave us the best results in targeting the premium audience.

Results

Accurate target audience identification and an effective Facebook promotion strategy allowed us to increase conversions by 36% and reduce the cost per conversion in Facebook advertising campaigns (Meta Ads) by more than three times.

Now, such consistent advertising brings more conversions with a good return on investment. The tables below show the results from promotion campaigns before and after campaign optimization:

Results from campaigns before optimization:

Campaigns after optimizing the promotion strategy and “narrowing” the audience:

Findings

Identifying the right growth point

A thorough analysis of all indicators and regular communication with the client allowed us to correctly identify the target audience, choose an effective bidding strategy, and properly adjust the interests of the audience. These growth points have brought good results: a 36% increase in conversions and a 3-fold reduction in the cost per conversion.

Facebook campaigns bring good results and have a high return on investment, so to further develop the project in terms of Facebook advertising, we plan to:

• Gradually scale up active campaigns based on the identified points for further growth.
• Test new product categories. Due to the high return on active campaigns, we have the opportunity to test the effectiveness of all new products from existing categories and test new ones.