In today's world, Big Data reigns supreme. The more data you collect, the more information you'll have to target the right customers and convert leads into sales. However, many companies overlook a major asset when they're developing social ad campaigns.
Specifically: The CRM database.
You already have copious amounts of data about existing and prospective customers. While you likely use CRM data for other purposes, you can also utilize it for improved social ad campaign ROI. Most social networks — including Facebook, Twitter, Instagram, and more — allow you to upload huge data sets via CSV or TXT files.
If you're not sure how to leverage these data sets for paid social, here are a few tips to get you started.
Extend an Offer to Lapsed Customers
Sometimes lapsed purchasers haven't lost interest in your company. They're just busy, distracted, or otherwise engaged.
When you're designing a paid social campaign, your CRM data can help you target those customers and bring them back under your umbrella with a special offer, such as a major discount on the next purchase, a two-for-one deal, free shipping, or anything else you might want to suggest.
You can also test this strategy by targeting them based on the number of lapsed months, such as three, six, nine, 12, and 18 months. Watch the data your paid social campaign generates to better understand how each segment converts based on your offer.
Reinforce Email Campaigns
Maybe your open rates have declined over the years. Your customers just delete your emails unread. Try mimicking the messaging in the subject line with your paid social campaign. Repetition and recognition can become valuable marketing techniques, especially when used to target specific demographics. In this case, you're reaching out to customers who haven't opened your emails or responded to your email offers.
Find Lookalike Audiences Based on High LTV Customers
Your customers with the highest lifetime value offer significant insight for your paid social campaign. Consider using lookalike audiences to target consumers who bear similarities to your highest LTV customers. Leverage your CRM data with this seed audience to better understand how your paid social campaign improves based on ROI.
You can repeat this strategy with other lookalike audiences. For instance, you might want to target your highest spenders. Who among your existing customers spends the most money in a single transaction? Pull that data from your CRM database and create a lookalike audience on social.
Alternatively, shift your focus to repeat purchasers. This is a completely different market segment. They might spend less money per transaction, but they keep coming back for more. Using your CRM data to target lookalike audiences in this segment can help you reach the ideal target audience.
Improving CRM Data
If you're thinking of using CRM data for paid social, you can upload either CSV or TXT files. Fill out as many form fields as possible before export because your match rate will get stronger with every data point.
Additionally, you don't want to start with a small pool of users. Begin with at least 10,000 users to test your paid social ads. The more users you add, the stronger the matches become, especially when it comes to lookalike audiences.
If you're not sure how to leverage CRM data for your paid social campaign, or you're looking for new ways to make paid social more effective, check out our recent report: Search, display, and social advertising boosts high-end retailer's YOY sales by 70%. You'll learn how we leverage data to improve our customers' sales and ROI in a real-world setting.