Facebook launched cross-sell and upsell campaigns for dynamic product ads a few months ago. They’re great ways to increase your customer lifetime value by leveraging Facebook’s behavioral data. We’ll cover some innovative and advanced ways of using this feature and optimizing performance. Let’s check out a few examples first:
Visitor viewed hotels from Helsinki → upsell hotels in Helsinki with great reviews:
- What if you have 500+ cities where you want to do this upselling? We can split different cities into different ad sets with just two clicks.
- On top of splitting your list by cities, you can split hotels by price ranges in a particular city, to match customer preferences even better.
Visitor bought a camera → cross-sell new lenses for that camera:
- We can split the lenses & cameras per brand to get more precise recommendations.
Visitor viewed shoes, but didn't buy → upsell higher margin shoes:
- If all products have a margin category in the feed, this is a good way to do more profit.
Visitor viewed apartments for sale in Stockholm → upsell recently added apartments in Stockholm:
- In market places products are more frequently sold out, so upselling is needed!
- To do this, each apartment needs only a value in the feed indicating whether it’s been added recently or not.
Visitor viewed open jobs in San Francisco → upsell the recently added open jobs in San Francisco:
- What if you have 100+ different job categories? Again, we can split the categories into different ad sets with two clicks.
How to optimize the DPA campaigns?
How does Facebook choose what products to show when cross-selling and upselling?
Based on tracking pixel data, Facebook algorithms start to learn what products were viewed, added to a cart or purchased together. You can limit Facebook’s recommendations by dividing different kind of products to separate ad sets with product sets. By creating a DPA campaign with just one product set, you give Facebook free hands to choose what products to show. However, you know more about your own business than that, so grouping products to different product sets is highly recommended. So use your BI data to find correct product pairs and understand what has worked in upsell and cross-selling earlier.
How do I split different categories / margin groups / destinations into different ad sets at scale?
This happens by splitting your entire product catalog to smaller product sets. A product set can consist of products belonging to a single category or all products matching certain conditions across all categories. In the DPA campaign, you can define for each ad set:
- Who you target and
- What products you show to this target audience
As an example, you can choose to:
- Target people who viewed any products in this category and
- Show only higher margin products to them
In this example Facebook will upsell the higher margin products that are purchased or viewed the most with the products the visitor had checked.
How do I optimize the creatives in DPA campaigns?
The most important thing in DPA is your creative. Make them good. Badly cropped product images is something that will definitely lower your performance. You can test if adding the logo, price or discount will improve the ad’s CTR. Product images can also be combined with an overlay or background image to highlight your offer in the right context. For inspiration, check what kind of background photos JUNIQE uses for their posters.
How long should I target website visitors?
We suggest running a few tests with different retention times and testing whether it’s good to retarget, upsell or cross-sell more than 3 / 7 / 14 / 30 days. Please check the question below for tips on bidding. Too many splits can make the audiences too narrow and ruin the performance if you don’t get enough conversions per ad set. In that case the test results are not anymore about targeting, rather about wrong bidding. Your retargeting, cross-sell and upsell ad sets retention times can overlap. If you use the same bidding in different overlapping audiences then you let Facebook to choose what retargeting type is more relevant for the user.
What bidding should I use with cross-sell and upsell?
It's recommended to start with the same bidding as you use with regular retargeting ads. After all, upsell and cross-sell are retargeting where merely the products shown to people are different than what they have looked at or bought. If you have more than 15 conversions per day in an ad set Facebook recommends to use Product Catalog Sales as the optimisation goal. If you don’t get that volume, bid towards link clicks. If you cannot get 20 link clicks per day per ad set, optimise towards reach. Be brave with the bid amount: CPM is higher in retargeting audiences, but so is ROI. So don’t miss your sales by bidding too low.