Dan Murphy’s use Display advertising to increase conversion rate by 11% amongst cart abandoners
Dan Murphy’s, an Australian liquor retailer, was looking for a solution to reach people who had added items to their cart but not purchased. The primary KPI for this campaign was a Return on Ad Spend (ROAS). Lookback windows were decided on by reviewing and defining the average conversion lag. Dan Murphy’s challenge for this campaign was that having such a large number of products meant varied product image sizes and loading speeds. To compensate for this, they utilised Flashtalking for their dynamic creative optimisation capabilities in order to generate the ads based on a series of flexible creative templates.
Dynamic Display was Dan Murphy’s channel of choice and standard banners were run across the open exchange with a premium site list overlaid. In order to determine the impact of this activity on exposed users, Dan Murphy’s set up a conversion lift test using MediaMath’s on-site tag and Audience Segmentation capabilities. They assigned a random number variable (0-9) to each user that added to their cart but didn’t purchase and, using standard segments, allocated any 1s to a holdout group. Dan Murphy’s then analysed the exposed group and holdout group to determine the effect of the activity on purchase behaviour. If the test group exhibited a higher conversion rate than the control group, this would prove if the activity drove incremental revenue.
Conversion rate amongst those exposed to the cart abandonment advertising was 11% higher than those who were in the holdout group. Applying Dan Murphy’s AOV to this, it was determined that the exposed group had a 59% increase in incremental revenue compared to the holdout group.