My head-scratcher this week is about…

How eCommerce people tackle the new challenge they face with ios15 and cookie deprecation.

Since launching Omniconvert Reveal, I have been in ±300 calls with eCommerce people to understand what they are struggling with.

That allowed me to see how diverse the approach is in the eCommerce landscape when it comes to growth strategies. 

Some are over-reliant on SEO, building tons of links, and crafting content pages.
Some are tackling growth by building a community around the problem they solve.
Some are heavily pushing the pedal on PPC, putting all their eggs in the same basket. 

The ones that really cut it are the ones that are: 

  • using data to constantly test new things
  • are not doing the same things over and over again
  • are diversifying their traffic sources 
  • use a balanced approach on paid media

If a channel represents more than 40% of your traffic, and that’s not direct, that’s not a steady foundation for your eCommerce. 

Now that CPAs on Facebook are off the rails, eCommerce leaders are now considering their options:

  • Change the agency
  • Invest more / invest less (with the same offer & targeting:)
  • Invest in PR campaigns
  • Run TikTok / Pinterest/ Quora/ Twitter ads / etc ads
  • Understand & address their customers better

If the last option attracts you, you’re right! 

Read on:

Here’s how to increase ROAS on Facebook in a cookieless world:

1. RFM Segmentation

You first need to find who your best customers are using RFM segmentation – the Soulmates & the Lovers.

These are customers that rate the highest on a scale that measures how frequently and recently they bought and how high their CLV is. 

You can find more about RFM segmentation in our guide

2. Jobs to be done interviews 

Then, you find out why they hire your products for – what’s the job to be done by your product.


“People don’t buy products. They hire them to make progress in their lives.” 

– Bob Moesta 

(one of the smartest people I met. He changed my understanding about marketing using cold showers made by my own customers:)

So, you interview 7-10 of the Soulmates using the Jobs-to-be-done method with in-depth questions to find their struggling moment. 

What’s itching them so much that they decided to buy from you?

You will have to understand the context they were in when the first thought occurred. People want to get from a struggle to the desired outcome.
Then, you’ll have to address their first thought, that was created by their struggle: this is the trigger that makes them look for a solution.

I have applied the Jobs method to a few eCommerce companies and we had a lot of moments like this:

For example, a company that sold weighted blankets has thought that they are selling the “hugging feeling” for people that are interested to optimize their sleep.

After JTBD, they realized that the main job of their product was to help people having serious medical problems with insomnia and anxiety.
And that they fired sleeping pills to hire their weighted blanket. 

3. Quantitative research

After you found out the jobs to be done, you have to validate the findings with quant data. 

That means you run customer surveys making sure you have a statistically significant number of respondents, for both visitors and customers. 

The trick here is to be able to understand the distribution between the different jobs to be done by different RFM customer segments. 

You need to have data to support the decision-making process.

For instance, for a company that thought they are selling products for more energy to sportspeople, we found 3 other jobs to be done.

The surprise came after running the quantitative research when we realize that >50% of their recurring revenue was from >55 years old people that were looking for a solution to be able to have a normal life, with serious joints pain.

4. Build a list with enriched zero-party data

Most of the boring, standard and so-called creative eCommerce companies are using data just to push silly popups that bribe people with a 10% discount for their email addresses.

OR

Don’t get me started…

Wheel of fortune popups.  

That’s wrong for so many reasons.

But the biggest of all the reasons is that the company is deliberating insulting their customers’ intelligence.

Context creates meaning. 

So, at this step, once you know the JTBD, you’ll be able to catch not 1, not 2, but 5 rabbits at the same time:

  1. Validate the jobs with data from the current visitors 
  2. Verify the purchase intention for each of the jobs
  3. Understand the traffic quality from each of the channels
  4. Build a list without bribing customers and ruining your margin
  5.  Collect zero-party data from qualified customers 

PS: Zero-party data will soon be the new black in marketing, as we say RIP to cookies.

5. Personalized journeys

Once you know the main jobs, you need to craft relevant journeys according to the jobs and RFM segments.

For customer acquisition:

Paid campaigns: 

Build ad campaigns + LPs according to each job + remarketing ads according to the job.

For the visitors coming from direct&organic, trigger visitor surveys to collect their email and tag them according to their job. That tag will be used to remarket them differently according to the job. 

For customer onboarding:

Build different onboarding remarketing ads & emails for each of the jobs to be done. At this step, you can go the extra mile and add package inserts at their first order, according to the job to be done:

Making Customers Better Makes Better Customers” 

– M. Schrage

For customer retention:

Prepare reactivation campaigns based on the job to be done & the RFM segments – for instance, if you have soulmates that are starting to slip away, make sure you trigger emails/ SMS / ads that are relevant to their job to be done – this works great for CPGs with a high purchase frequency. 

To be sure you’re doing it the right way, use a metric called ADBT (Average days between transactions) to understand the consumption pattern. 

Recently, we realized by working with a large furniture retailer, that their soulmates are not open to buy for about 1 year after their purchase unless they are being incentivized to buy decorations. 

Nobody wants to buy another sofa every quarter, right?

6. Remarketing campaigns

You run remarketing campaigns to address the visitors that have not converted yet by focusing on their struggling moments via email & Fb ads.

7. Lookalike campaigns 

Once you understand who are your ideal customers and what are their JTBD, build lookalike audiences based on them and target them by addressing their struggle around their first thought. 

Pssst: we have already built this Audience Builder in Reveal – check it out here.

E.G: if you sell weighted blankets and the JTBD is around sleep problems, address the issues you found in the research: 

“Tired of insomnia AND getting knocked out by the sleeping pills?
Try our weighted blanket!” 

This type of acquisition campaign on FB will have a way better ROAS than you expect, as these are based on your most valuable customers: the Soulmates & Lovers. 

It’s like giving that ancient green mask to your Facebook algorithm!

The larger the audience and the more in-depth you do this, the better the algorithm gets, as it learns from the correlations between the current customers and the new ones, making this a virtuous loop for your shop. 

Make sure you follow me on Linkedin if you want to hear more about these strategies, as I am planning to launch an eCommerce school. 

The hidden gem I’ve found for you this week:

Me + 6 other marketing professionals are analyzing the impact that iOS15 will have on email marketing. 

My take on it:

The impact on e-commerce marketing is that it’s going to dramatically increase the need for accurate zero-party and first-party data. 

That is also going to make brands more aware of the treasure they need to keep: customer data. 

(They called it genius, but I know that this is common sense.)