Jet.com finds that a little hand holding is an effective way to get app users to make their first purchase.
The online-only marketplace owned by Wal-Mart Stores Inc. (No. 4 in the Internet Retailer 2016 Top 500 Guide) uses Facebook Inc.’s dynamic ads to market to the more than seven million consumers who have the Jet app and have browsed products but haven’t yet purchased them.
Dynamic ads for apps allows retailers to serve ads to consumers who already have their app. The ads appear on mobile devices in consumers’ Facebook newsfeed in Facebook’s app, Instagram and on Audience Network, which is Facebook’s mobile ad network. Jet.com uses Facebook’s dynamic ads to re-market to consumers who have already viewed a product page in app or added a product to her cart in app but she has not yet purchased it. The ads will feature the product or products that the consumer has previously looked at.
“Our primary goal is to drive new buyers to make their first purchase,” says Lauren Picasso, associate director of marketing at Jet.com. “Dynamic ads allow us to automatically show highly relevant creative to people who have demonstrated intent while using our app.”
Since Jet started using the dynamic Facebook ads, the marketplace’s click through rate increased 63% compared to its typical Facebook ads between January and September, Picasso says. Plus, the ads decreased Jet’s cost per acquiring a new customer by 56% in its Facebook app campaigns, she says.
While Jet.com offers a variety of more than 12 million SKUs (according to Wal-Mart), the marketplace focuses the dynamics ads on consumable products, such as household, grocery and personal care, Picasso says.
Jet also uses non-dynamic Facebook ads to drive traffic to its website, she says. Jet.com has an average of 28.97 million U.S. visits per month to its site, on average between July and September, according to data from digital analytics firm SimilarWeb. 4.07% of its desktop traffic arrived to the site via social media, according to SimilarWeb.Favorite