Test campaigns can keep you from suffering huge losses of mass marketing a bad ad. Here’s some ways to run a cost effective test campaign that brings back meaningful results…
Every new ad needs a good test campaign, no matter how good your new ad might look or “feel”. Consider some easy mistakes that could be avoided for even email test campaigns.
Here’s more tips to make sure your test campaign (online or offline) goes well.
1) Use a good sample size
In statistics a good sample size is at least 30 units. You should probably send out more than that.
How many more? Well at what precision level do you want your sample to show?
The hundredth’s place (like .03 or 3%)? Then send out at least 100 test ads.
The thousandth’s place (like .035 or 3.5%)? Then sound out at least 1000 test ads.
The ten-thousandth’s place (like .0311 or 3.11%)? Well, you get the idea.
The level of precision you want in your response rate will tell you the least amount of ads you should send out. Keep in mind, the more precise, the more expensive, but also the more significant your results.
2) Distribute your test ads randomly within your target customer group
Ignore this step if you’re trying to target a whole new demographic with this ad. If not, then try to make it as random as possible to your target group. Don’t distribute based on any distinctions within your target group whatsoever!
If your target market is usually people over 70, don’t run a test to only women over 70. Keep your test ads randomly distributed for everyone over 70. The randomness will better show you which demographics within your group appeal to this new ad.
3) Account for seasonal markets and other market conditions
If you have a sunscreen business, don’t lament if a test campaign brought back lower response rates if you tested in the winter or right when repeated news reports come saying sunscreen causes cancer. If you other ads would receive lower response rates because of some incident or seasonal change like that, expect your new ad to mold to it the same way.
If time is urgent measure the new ad’s response rate in proportion to your normal ad’s response rate in such conditions.
4) Measure the response rate and the conversion rate from your test campaign
Both measures are important. If the new ad returns a significantly higher response rate than your other ads, but its conversion rate is the same as your other ads, then is the new ad a success?
Or what if the new ad gets a lower response rate, but a much higher conversion rate than your other ads, is that not a spectacular win? More than an ad with an equally higher conversion rate and higher response rate right?
Higher mis-leads waste time, unless if higher response rates on their own bring more future sales. In that case higher response rates alone are a good thing.
Remember the new ad has to bring in more sales, and preferably less mis-leads. That’s the actual result you should look for.
Take the time to prepare your test campaign under these guidelines. You’ll find get a higher return in less time.