Flashback to the early Medieval Era. King Arthur and his four knights are on a quest in the 1975 cult classic, “Monty Python and the Holy Grail”.
The group finds themselves at the Bridge of Death where they need to answer the keeper’s three questions in order to pass. Sir Lancelot steps up first and is granted access to cross the bridge after providing his own name, the purpose of his quest, and his favorite color. Sir Robin, on the other hand, is given a different set of more difficult questions and is launched a hundred feet into the air and dropped into the unexplored depths below the Bridge of Death after incorrectly answering one of them. Your business should take a similar approach in your segmentation strategy.
Okay, let me explain myself a little bit more…
Every business needs a “bridgekeeper” placed where its traffic is being directed. Although our visitors’ favorite color is typically of minimal importance to us, the first two questions that the bridgekeeper in Monty Python asked are no different than the ones you should be asking your site’s visitors. Said in a more modern way: “Who are you and what are you looking for?”. Acquiring this information from visitors upfront is extremely valuable in determining the approach you should take for following up with them in the future. By understanding who they are and what they need, you can classify them into segments, serve them relevant content, and drive sales in the future. But, unlike King Arthur and his knights, not all of your visitors are looking for the same thing.
In this week’s case study, we are going to breakdown our 30-day approach that drove 6,086 new segmented leads to one of our clients using only $2,996 in ad spend or $0.49/segmented lead.
Our client, Dr. Tami, is an expert in providing solutions to women experiencing hormonal deficiencies. Dr. Tami is on a mission to help women feel better, look better, and live better through hormonal balance. She is a double board certified MD in Cosmetic and Integrative Medicine, with a very successful practice. She reached out to us with hopes of strengthening her positioning in the digital marketing realm.
Dr. Tami came to us with hopes of growing her contact list and creating a profitable online sales model. Her end goal was to create a much larger platform for communicating her hormone advice and ultimately impact the lives of women everywhere suffering from hormone imbalances.
Based off of Dr. Tami’s requests, we found two primary areas to intervene and optimize. These included her business’s ad and segmentation strategy.
Let’s dive right in.
We started off by narrowing down our ad strategy to three particular areas of interest that would serve as individual campaigns:
A huge part of our ad strategy was targeting the right interest groups. We did this by developing buyer personas for Dr. Tami’s leads and then doing research into different groups or public figures they might have as Facebook interests. For instance, we found women that really cared about improving their health following experts like Dr. Daniel Amen, Dr. Mark Hyman or JJ Virgin.
We then implemented a Facebook ad strategy that used each of the previously listed areas of interest as a different campaign. This, combined with our interest group research, enabled us to begin targeting thousands of people to take the assessment and obtain their contact information. With this contact information came permission to follow up with them regarding other personal information they provided us through the free hormone quiz.
Here are some of the ads we used:
The results were incredible. Despite desktop newsfeed ad click-through rates today falling in the horrific .05-2% range and mobile ads falling between 3-6%, some of our desktop ads were getting CTRs over 5% and our mobile ads up to 7%! We believe this was primarily a result of our highly targeted interest groups, attention grabbing images and relevant ad copy.
The click-through rate on our start page was 63.60%, so we didn’t spend much more time optimizing this page.
Our next step is where the Monty Python reference comes back into play, which was to implement a solution for handling Dr. Tami’s influx of traffic. Our client needed a system for segmenting her Facebook traffic according to what her visitors were specifically looking for (i.e., weight loss, improved energy, increased sex drive). Hormone deficiency affects people in different ways, so her visitors all had a different “holy grail” in mind. Our goal was to gather enough information from her visitors that we could establish segments according to their different “holy grails” and then provide a more personalized and intimate nurture campaign for them in the future.
We did this by implementing a free 16-question hormone assessment that was intended to diagnose users filling out the survey from the comfort of their computer. These users were diagnosed with up to five possible deficiencies, including: testosterone, estrogen, adrenal, thyroid, and progesterone. Below are the questions we used in this quiz.
After completing the quiz, users were required to enter their name and email address in order to access their results.
Out of the 7,772 total people who clicked on either variation’s call-to-action button and landed on the quiz page, 6,086 people completed the quiz and entered in their contact information.
6086 / 7772 = 81.9% quiz completion rate
After they entered in their contact information, they were directed to a results page with a video overlay from Dr. Tami that thanked them for taking the quiz and explained that they could access their results after closing the video, in addition to receiving an email shortly with detailed secrets on how to improve each hormone deficiency they had been diagnosed with through proper nutrition, exercise, and supplements.
With this strategy in place, we were not only able to educate Dr. Tami’s leads, obtain their contact information, and introduce them to our client’s products, but we were most importantly able to begin segmenting leads and providing them with more relevant content that would help increase our sales conversion rate. Based off of their answers to the hormone assessment, we knew enough about our client’s leads to begin targeting them with more relevant information, which can drive 18x more revenue than broadcast emails.This gave us leeway to start creating a more personalized experience for Dr. Tami’s leads and continue building long-term relationships with them that would send them further down our sales funnel.
Lead Generation Results (10/7/14-11/7/14)
In just 30 days, we were able to reach 264,686 people, bring in 6,086 segmented leads using only $2,996.00 in ad spend (~$100 per day).
Cost per lead = (total ad spend/#of generated leads)
Cost per lead = ($2,996/6086) = $0.49
=$0.49 per segmented lead
Aside from the quantitative results that our calculations above reflect, we yielded results for our client that cannot be described in numbers. What we delivered to Dr. Tami was a very strong foundation for developing a long-term plan moving forward. The 16-question assessment alone brought in a surplus of information that she can use to continue narrowing down her different market segments and continue delivering even more personalized content in the future.
Dr. Tami is rapidly establishing herself as an educational leader in her industry. With the 6,086 segmented leads that we were able to generate for her in just 30 days, she was able to begin building intimate experiences for her leads on a much larger scale than she started with before working with us. And it does not stop there. More and more information is pouring in for Dr. Tami to work with everyday as people continue completing her hormone quiz. As of today, 34,657 people have completed the hormone quiz.
Without completely ruining the ending of Monty Python for those of you yet to see it–in the search for the Holy Grail its : Dr. Tami – 34,657, King Arthur – 0.
Here’s What We Would Do Next
For those of you reading this article and thinking about applying these strategies to your business, this is what we would recommend doing after you create your traffic strategy and effectively segment your new leads.
1. Create an extremely compelling lower priced offer to sell.
This product should have an extremely high value proposition compared to the price. Even if this product is breakeven for you, it allows you to build trust with your customer and dramatically increases your ability to sell to them again. Statistically speaking, it’s easier to sell to an existing customer versus a new customer. More specifically, an existing customer is 60-70% more likely to buy than a new prospect. For this reason, it’s important to offer a lower priced product or service to make it easier for your customers to make their first purchases and for you to continue to sell to them. This product must also be a natural progression from your assessment to your core offer.
2. Create a higher priced/higher margin or continuity offer to sell them.
Once you’re able to sell someone and build trust with them, you have the opportunity to sell them on a higher priced product, especially being you know exactly what they want because of your segmentation. You can read more about this process in our previous article, “Yazamo Client Lifecycle Marketing Process”, where we go more in-depth with the process for up-selling your business’s core products to customers.
In Dr. Tami’s case, she could sell customers on recurring supplements, coaching programs, and other products with higher prices and commitments than her initial lead magnets.