Wellness 2021 A P LAY B OO K FOR I NNOVATORS March 2021 Wellness 2021 CO NT E NTS 2 1 - Why this Playbook? 2 - State of the Wellness Market 05 A Global Revolution 07 Summary 3 - Consumer Trends: Holistic Wellness 09 People are taking control of their mental and physical well-being 10 How can Wellness Companies adapt to new consumer trends? 13 Summary 4 - Creative Considerations 15 Importance of Creatives for Performance 16 Brand DR best practices 17 Outline Campaign specs 18 Techniques to use 5 - Upgrading your Media Strategy 20 Signals 20 Web signals 23 Media strategy: strategies for web 24 Media strategy: strategies for apps 6 - Measuring Impact 33 Why is it important 34 How to measure 35 What to measure 7 - Third-Party Partnerships © Facebook company Wellness 2021 3 01 Why This Playbook? The journey that resulted in this Playbook started in the year that became a true game changer for the global Wellness industry. Though 2020 started with optimistic expectations for further industry growth, the picture was soon upended by the rapid spread of COVID-19. In the face of the pandemic and recurring lockdowns, consumers across the world started to rethink their Wellness habits and routines. Both online and traditional companies saw how changing consumer behaviour increasingly impacted their businesses, as overall consumer demand grew and interest in additional products and services soared. “2020 was the year when consumers really took Wellness into their own hands” Edward Dendievel, Wellness lead, Facebook CEE © Facebook company In December 2020, we had the opportunity to discuss some of these emerging trends during our first (virtual) EMEA Wellness Summit. This Playbook is intended as both an attempt to capture some of the key insights discussed during the event, and a starting point for further conversations in 2021. We hope that it helps you learn more about key industry trends, and that it can offer some concrete tips to improve your media strategy, build compelling creative, measure impact and engage with specialised partners in this exciting and fast-growing industry. Last but not least, we look forward to hearing from you. Whether during a future event or in a 1:1 setting, we are always eager to learn from you and exchange views. Do check out our ‘staying in toch’ section if you would like to connect with the team. We hope you enjoy this Playbook! Wellness 2021 02 State of the Wellness Market © Facebook company 4 Wellness 2021 5 State of the Wellness Market A GLO BAL R E VOLU TI ON Throughout 2020, increased health consciousness has fuelled the wellness industry. Since the outbreak of the COVID-19 pandemic, we’ve seen a growing demand for wellness products and services that people can use from home, and many companies are positioning themselves to meet this demand. “This unforseen pandemic has taken us in a leapfrog in terms of mindset... and I don’t think anyone can go back” Lihi Segal, CEO & Founder, DayTwo Worldwide installs of mobile wellness apps exceeded 200 million for the first time ever in April 2020. Installs passed 100 million in March and remained above that mark through September. October numbers were still 11 percent above January, when installs for these apps typically reach their zenith. Consumers spent over $1.1 billion in mobile wellness apps in 2020, a global record. App subscription revenue followed suit, showing a whopping 90% YoY growth. The Growth of At-Home Demand The industry has pivoted to meet consumers’ growing at-home demands which has become mainstream behaviour for many people. “Within the Mobile Wellness Market, at-home workout apps captured the largest share of first-time installs and consumer spending in 2020, representing more than 30% of the total” Randy Nelson, Head of Mobile Insights, Sensor Tower In response, the Wellness industry has reinvented itself, and the growing number of at-home Wellness applications follow what companies like Netflix and Hulu did for entertainment. On the consumer side, on-demand Wellness offers like fitness classes, personal workouts, nutrition plans & meditation are now more popular than ever. Sensor Tower forecasts estimated consumer spending of close to $1.6 billion in this space during 2021, an increase of about 15 percent from approximately $1.4 billion this year2. Nutrition Nutrition, too, is a fundamental part of wellness and healthy living. More than ever, mainstream consumers are looking at nutrition as a key factor in increasing their health and fitness. 1. Pavel Marceux; Coronavirus Outbreak to Accelerate Household Wellness Trends, Euromonitor International; November 2020, https://blog.euromonitor.com/coronavirus-outbreak-to-accelerate-household-wellness-trends 2. Randy Nelson; Sensor Tower presentation at Facebook Wellness Summit, Wellness app share by subcategory in 2020 on the App Store and Google Play; December 9th 2020 © Facebook company Wellness 2021 6 State of the Wellness Market Nutrition has become a major factor for many consumers as their concerns about obesity and other health-related issues increased during the pandemic. 17 of the top 20 products sold in the vitamin category were related to supporting immunity. With more people taking up at-home fitness and healthier lifestyles to maintain a healthy immune system and support immunity, personal nutrition demands have increased for both the pre- and post- workout phases. Consumers have also shown to be sensitive to the fulfilment of personal dietary preferences such as vegetarianism and veganism, and to a desire to consume trendy superfoods like turmeric, kefir and kale. The Connected User Connected fitness equipment is becoming increasingly popular with consumers. In 2015, the category accounted for 2.9% of overall revenue in the fitness equipment category. In 2020, that figure rose to more than 7.5%. The home fitness equipment market is projected to hit nearly $4.3B in value by 2021. With older consumers particularly vulnerable to the impact of COVID-19 and many too afraid of infection to visit a hospital for treatment of other ailments, telehealth (remote healthcare at home) will be instrumental in reimagining healthcare. An increasing number of sites, apps and wearables are enabling users to gain access health and dietary information from their sofa. This market is expected to grow exponentially in the coming years, driven in part by ageing populations in North America and Western Europe. What businesses can do 1. Offer pricing that’s affordable and competitive for mainstream users as they continue to shift to a holistic approach to Wellness. 2. As the subscription model is dominating the way people want to consume wellness app services, businesses are well advised to strengthen their marketing signals along the customer journey to make more informed decisions by acquiring new subs and also maximizing profitability by retaining and engaging their existing subscriber base. 3. The digital Wellness space will become more crowded as more and more companies respond to the growing demand for Wellness products and services. More than before, brands will need an offering that makes them stand out from the competition. 1. Benjamin Cole; AppsFlyer presentation at Facebook Wellness Summit, Wellness app share YoY by subcategory Jan-Oct 2020 on the App Store and Google Play; 9 December 2020 2. CB Insights; Fitness In The Post-Covid World: How Technology Is Changing The Way We Work Out; December 2020; https:// www.cbinsights.com/research/report/fitness-post-covid/ © Facebook company Wellness 2021 7 KE Y PO IN TS The combination of natural consumer growth and hypergrowth due to COVID-19 and the resulting lockdown measures made 2020 an inflection point for the Wellness industry, with consumers taking Wellness into their own hands. Increased consumer spending has materialized across spend categories, including growing niches such as nutrition and mental health. This trend is expected to persist throughout 2021 and into 2022. 2021 is expected to see further industry growth as existing consumers maintain and deepen their Wellness routines, and new users respond to both persisting pandemic conditions and the increasing availability of Wellness products and services services. Overall, we expect Wellness to remain top of mind for consumers globally. © Facebook company Wellness 2021 03 Consumer Trends: Holistic Wellness © Facebook company 8 Wellness 2021 9 Consumer Trends: Holistic Wellness PEO P LE AR E TA KI NG CONTROL OF TH E I R M EN TAL AN D PHYSI CAL WELL-BEI N G COVID-19 is changing the ways people work, socialize and unwind. As a result, consumers are adopting new behaviours to adapt to unprecedented circumstances. One of these key behavioural shifts is holistic wellness. This macro shift highlights how people’s attitudes to selfcare have changed—from treating themselves to small indulgences, to making time to plan for the future. This new approach to well-being is likely to impact health and wellness as people continue to adapt to prevailing conditions. The COVID-19 pandemic has placed a strain on people’s mental health, with many facing feelings of fear, stress and loneliness. To cope, people are finding hope in the small areas of their lives they can control; they’re shifting their focus away from the big picture and adopting new habits and routines that bring moments of calm to their day-to-day lives. This self-care has “Holistic means solutions taken many different for the whole person, that forms. Some people touch and aim to improve as have turned to yoga, many aspects of ones life as meditation and home possible, mental, physical exercise, while others and emotional, in order have been embracing to prevent disease and beauty rituals, video complement, rather than games and arts and replace, traditional medicine” crafts. At a time when mass working-fromHadas Spektor home arrangements have Wellness lead, Facebook Israel blurred the boundaries between work and leisure, these new wellness routines are helping people carve out “me time” in their daily schedules. And these self-care habits and hobbies could well be set to last: Almost three in five (58%) US consumers who have worked on a craft or DIY project for the first time as a result of the COVID-19 pandemic say this is an activity they could see themselves continuing to do for years to come. © Facebook company Branded Offer name 43% Among people surveyed globally, 43% say they think they’ll excercise at home more frequently after the outbreak is over. S TAYI N G MI N D FU L LY E N GAG E D Activities people say they’ve been doing more of due to the pandemic. 43% Cooking 35% Hobbies 34% Reading/ listening to books 31% Online learning Wellness 2021 10 Consumer Trends: Holistic Wellness HOW CAN WE LLNESS COM PA NI ES ADAPT TO N E W C O N S UME R TRE N D S ? Trend 1 – The WE in Wellness Wellness goes beyond “I”. Social connectedness was found to be the single largest driver of wellness. Well-being, a concept that was born out of a focus on individual health is now evolving to become a collective affair. From Environmental concerns to physical fitness, expert voices are giving room to community back and forth conversations. Different tribes are born from this trend and their definition of Wellness is based on different passion points. What businesses can do • How could you extend the vision of your consumer to include their family, their friends & colleagues, their neighborhood or even the entire planet? • What different groups of people united by shared vision of wellness or common wellness goal could your brand or product bring together? • What voice can you give your consumers to inform the way your product is used and talked about? E XA MP LE : W EE K LY W E LLNESS An IGTV content series co-hosted by a different wellness expert and brand every week. Each 3 minute episode shares expert wellness tips and product news. 1. Source: Stanford Medicine - https://stanmed. stanford.edu/2016summer/well-now.html © Facebook company Wellness 2021 11 Consumer Trends: Holistic Wellness HOW CAN W E LLNESS COM PA NI ES ADAPT TO N E W C O N S UME R TRE N D S ? Trend 2 – You are in control Innovation and personalization increases our inherent desire for control. 37% of US consumers agree that they would spend a lot of money on wearable technology that detects potential health issues As we become surrounded by smart devices that can track everything from our heart-rate to our food consumption to the air quality in our homes, and as technology enables increased personalization, a deeper desire for control emerges. Consumers are now hooked on personalized precision. What businesses can do • What ways could your brand dramatize the control the consumer has over your product, the experience of using it or the results? • What big or small moments of customization, validation or quantification can you feature? • Is there a way to more precisely use your product that the consumer does not know about? “The next generation will be companies that can incorporate various measures to make the experience much more personalized” Miri Polacheck, CEO of Joy Ventures Source: Wearable Technology - Mintel 2020 © Facebook company Wellness 2021 12 Consumer Trends: Holistic Wellness HOW CAN WE LLNESS COM PA NI ES ADAPT TO N E W C O N S UME R TRE N D S ? Trend 3 – Quality experiences According to research by PWC, 32% of all customers would stop doing business with a brand they loved after one bad experience This extreme distaste for negative experiences connects to the growing trend of low customer loyalty, which, according to AppsFlyer data, is much stronger in the wellness space. Specifically, when comparing health & fitness app retention to median app retention, it’s clear that health and fitness apps retain significantly less users than the average app during the first 4, habit forming, weeks after download. What businesses can do Improve on the main things that make up a quality experience for consumers - price, product quality, and customer service. • Are you continuously testing different pricing models and product features? • Is you’re customer service fully automated or is it a hybrid experience? • Can you communicate several moments of pleasure or achievement along the product usage path or the consumer’s life? E XA MP LE : 2 1 DAY CHALLENGE Experts say 21 days of anything creates a routine. Brand X + influencer launch a 21-day Wellness program. Daily motivations are served through an accountability bot helping their audience on the road to better health. A sticker pack allows people to add a personal touch to their experience when sharing their accomplishments. https://www.pwc.com/us/en/services/consulting/library/consumerintelligence-series/future-of-customer-experience.html ; AppsFlyer data for Jan to Nov 2020 © Facebook company Wellness 2021 13 Consumer Trends: Holistic Wellness SU M MARY As consumers seek safety, many are looking for brands that can help. With individual experiences so varied, it’s key to not take a one-size-fits-all approach. Marketers can strengthen connections by understanding the unique challenges people are facing and by delivering empathetic communication and experiences. Explore creative and messaging that encourages, inspires and speaks to people in their wellness journeys Innovate around offerings that address people’s evolving needs and habits Experiment with new channels and virtual mediums to deliver engaging experiences to your customers, wherever they may be spending time Revisit your segmentation to capture and loyalize new customers © Facebook company Wellness 2021 04 Creative Considerations © Facebook company 14 Wellness 2021 15 Creative Considerations T HE I MP O R TANCE OF CREATI VES FO R PE RFO RMAN C E Creatives are one of the most important elements of your advertising campaign, as through them the audience will learn about your product. They have a significant impact on the performance of your campaign and, more often than not, they are the distinguishing factor between ultimate success and failure. We know it can be challenging to come up with a great creative idea, and hope the best practices for creatives on Facebook in this section will help you formulate your own. TO DAY ’S USE R The average user spends 3 hours on their mobile every day, checking their device over 80 times and swiping, opening or closing different windows and interfaces over 2800 times. This evolution in consumer behaviour has blurred the line between brand and direct response (DR) advertising. Every ad now competes with every other ad. Every day. All the time. Mobile is the front door to ideas and moments that matter. It’s the place we turn to see, hear, and feel what’s happening in the world around us. In a native, newsfeed environment, 3 seconds can be more valuable than 3 seconds elsewhere. W H AT C AN BUS I N E S S E S D O ? To capture attention those 3 hours we spend on mobile every day, are not spent with the same mindset or in the same environment. Creatives need to be adapted to this new reality: mobilefirst, and people-first. Make sure to: • Capture attention quickly: pass the 3 second audition and they will keep watching • Design for sound off: the audience should get the main idea without the sound • Choose the right format for your visual story: square (1:1) or better yet vertical (9:16, 4:5) Young people consume content much faster. According to our data, people under 20 consume content up to 1.4x faster than people in their 30s; up to 1.6x faster than people in their 40s and 2x faster than people in their 50s. © Facebook company Wellness 2021 16 Creative Considerations BR A N D DR B E S T PRAC TI CES The human brain needs less than 0.5 seconds to engage with mobile advertising and trigger a reaction. So what matters most in identifying a brand is not just its identity, but its visual identity. This includes recurring colour schemes, fonts, logo, tone and look/ feel that represent a brand. All of these elements together make up who you are, and how people identify you in the digital space. We know visual identity drives recognition, differentiation and trust. Trust is a vital ingredient in our purchase decisions. A 2019 report revealed that brand trust is a deal breaker for 81% of consumers when they consider a purchase. As part of a number of creative tests on our platforms, we did a deep dive into the type of visual ID used and found that how it’s incorporated can also affect Conversion Lift. Based on our initial pilots, we were able to split the creative into two buckets: Majority of visual ID in the title card, and majority of visual ID shown throughout the creative. What we found was that visual identity throughout an ad drove ROAS. It’s not just the integration of visual identity, but also the thoughtful integration of the story of the brand throughout a creative that drives impact. © Facebook company “A s we become surrounded by smart devices that can track everything from our heart-rate to our food consumption to the air quality in our homes, and as technology enables increased personalization, a deeper desire for control emerges. Consumers are now hooked on personalized precision”. Hadas Spektor Wellness lead, Facebook Israel Wellness 2021 17 Creative Considerations W H AT CAN BUS I NESSES DO? Integrating visual identity drives ROI because it enables people to identify you. Make sure to build your creatives accordingly: • Define your Goal. Example: To make [fashionable product xyz] affordable to all • Define the goal of this campaign. Example: attract new users or reactivate old ones. (following the model of other points) • Define your key benefits/ top selling propositions. Please list all relevant benefits with as much precision as possible. Try to keep statements 7 words or less. Examples: • Price - “only $x.xx” , “lowest price guaranteed” O UTL I N E C AMPAI G N S PEC S : Logos / graphics / artwork - for example: • All versions of Brand Logos (.psd/.ai) • 5-10 still image ads (.psd/.ai - layered files) • Animated Artwork files, if any (in alpha channels + layered) Language - for example: • Subtitles in English (if original asset is in another language) • Translated Copy (if deliverables are intended to be in a language other than English) Typeface - for example: • Variety - “best selection” • Actual Font Pack for Supers • Promotion - “buy 2 get 1 free”, “free delivery” • Type-set Supers Artwork (.psd/.ai/.png) © Facebook company Wellness 2021 18 Creative Considerations T EC H N IQ UE S TO USE LO GO Drive recognition by consistently using your logo as an opener or dispersed throughout. MN E MO N I C Make yourself memorable by relying on a brand mnemonic to tell the story. Frame it up Use your logomark as a border. Use a character As a hero. What’s in a logo? Your logo is your emblem - A symbol, name or mark of your brand. What is it? A recognizable brand element like a character, spokesperson, jingle, slogan, a product or other visual device. T Y PE Thoughtfully weave in a signature typeface to express visual identity via key messages in a bold, own-able way. C O LO R Differentiate yourself quickly in newsfeed by featuring signature brand colors as an accent or a hero across executions. Kinetic Copy Create interaction with other visual elements. Power Palette Capture attention with colorful copy. Type vs. Font A typeface refers to a family of fonts (e.g. Times New Roman), while font designates the weights, widths, and styles that constitute a typeface (ex: Italic, Bold, etc.). But what does it mean? Common associations with color: TYPE: Times New Roman Arial Helvetica © Facebook company FONT: Times New Roman Regular Times New Roman Italic Times New Roman Bold Wellness 2021 05 Upgrading your Media Strategy © Facebook company 19 Wellness 2021 20 Upgrading your Media Strategy SIGN ALS Signals refers to the actions users take when engaging with your business online or offline. When people visit your website or mobile app and take an action, they are expressing an explicit interest in your products. By combining those intent signals with user signals generated on Facebook each day (such as watching videos, engaging with ads, interacting with groups), you can leverage a variety of solutions to serve people ads with products they’ve either expressed explicit interest in or products or categories they are more likely to be interested in. Facebook offers signals solutions for online, offline, and in-app to help you understand the ways that people are interacting with your business across channels. By leveraging actions taken off and on Facebook to deliver the right content to people, we can increase the value of customer experience while driving better business results for your business. W EB SIGN ALS: PI XEL & CAPI Web signals, or signals coming from your website, can help you track conversions on your Facebook ads, optimize your ads for people most likely to convert and generate audiences to better target your ads. Web signals can be enabled via the Facebook Pixel manually or through partner integrations. © Facebook company Pixel Manual setup You or your web developer can implement the pixel directly on your website. When you implement the pixel, it can describe the actions people are taking on your website to help you accurately track the right events Learn more about manual setup. Pixel Partner Integration Should you work with one of our e-commerce partners, such as Shopify or WooCommerce, you can track events without having to do any coding on your own. Learn more about partner integrations. What can businesses do? Whether you use manual setup or partner integrations, take the following steps to properly plan your site-wide tagging: 1. Determine your business goals. 2. Consider the customer journey on your website to accomplish these goals. 3. Determine the events on your website that correspond to this path. 4. Select corresponding events that can be used for targeting, optimization, measurement and insights. Wellness 2021 21 Upgrading your Media Strategy S I GN ALS We recommend layering your Facebook Pixel signals with the Conversions API to strengthen how you share data with Facebook. There are advantages to adopting Conversions API as it can help make your data sharing more reliable while opening up the capability to share events that are closer to your true business outcomes: Data control: Control the data you share and when you share it - you can choose to append insights, such as product margins. Reliable data sharing: Data sharing through the Conversions API is more reliable than browser-based methods as the Conversions API is designed to be less susceptible to issues like a browser crash or connectivity issues. Full funnel visibility: You can use a wider array of data to inform your advertising than is currently captured by Pixel, like CRM data, lower funnel events including qualified leads, or multi-site conversion paths. BE S T PRAC TI C E S Select events accross the funnel UPPE R- F UN N E L S I G N ALS Search, View content. MI D - F UN N E L S I G N ALS Add to Wishlist, Complete Tutorial, Contact, Customise Product, Find location, Lead, Subscribe. LOW- F UN N E L S I G N ALS Achieve Level, Add Payment Info, Add to Cart, Complete Registration, Donate, Initiate Checkout, Purchase, Rate, Schedule, Spend Credits, Start Trial, Submit Application, Unlock Achievement. YO U OR YOUR DEVELOPER CA N SET UP C O N V E RS I O N S API I N T WO WAYS : 1. Conversions API Manual Setup Manually set up the API. Learn how to use the guided setup in Events Manager. © Facebook company 2. Conversions API Partner Integration Use a partner integration. To connect Conversions API using a partner integration, visit Events Manager, select your pixel, select the Settings tab, find the Conversions API section and click Choose a partner. Learn more about partner integrations for web. Wellness 2021 Upgrading your Media Strategy A P P SIGN ALS People are spending more time consuming content in mobile apps than ever before. In-App signals are essentials and setting up an efficient infrastructure to capture signals is crucial to unlock our most powerful ad targeting, optimization and measurement solutions. They also provide valuable insights into people’s behavior, and can help surface opportunities for business growth. App Events can be set up and accessed by either the Facebook SDK, via our codeless app event setup, or via partner integrations. B E S T P R AC TIC E FOR A PP SI GNA LS : The events you capture need to match your business outcomes. In order to determine which evens to track: • Determine your business goals. • Consider the path that your customer would take within your app to accomplish these goals. • Determine the events in your app that correspond to this path. • Select corresponding standard events that can be used for targeting, optimisation, measurement and insights. If you wish to measure across app, web and offline, try to be consistent with the events selected. There additional events your business can leverage. © Facebook company 22 Wellness 2021 23 Upgrading your Media Strategy M ED IA STR ATEGY: STRATEGI ES FO R W E B You can leverage Facebook’s solutions to achieve a variety of business goals and to interact with your customers throughout their customer journey: 1 2 3 on Awareness and Brand Building to inspire discovery. During the Consideration phase, capture intent through retargeting and immersive ad formats. At the bottom of the funnel, support Retention through more sophisticated audience selection. Objectives Objectives Objectives • • At the top of the funnel, focus • Reach, Video views and Conversions and Video Views Brand awareness objective • Consider your past successes and best fit for your creative assets Frequency • • A broad yet qualified audience of all potential customers Reach • • • Frequency successes and best fit for your creative assets • 1-2 per week for the Upper-funnel retargeting, site retargeting, relevant interests and lookalikes • Focus on action-based optimizations Facebook and lnstagram Placement Feed Stories-placement optimized • © Facebook company Feeds, Stories, In-Stream 1-2 per week for the duration of the campaign Audience • CRM list, website retargeting, lead retargeting • Focus on sufficient reach of your defined audiences, as these are typically some of your most qualified users Optimization Placement • successes and best fit for your creative assets Audience • Consider your past Consider your past duration of the campaign Focus on sufficient absolute reach and a high % reached of your defined audience • Short-to-medium video Frequency • Website Conversions, Traffic and Lead Gen with interactivity + CTA 1-2 per week for the duration of the campaign Audience Website traffic, Optimization • Facebook and lnstagram Feed, Stories-placement optimized Wellness 2021 24 Upgrading your Media Strategy M E D I A STR ATEGY: STRATEGI ES FO R APPS Facebook offers multiple types of solutions you can leverage to promote your business. We suggest choosing your strategy depending on your product life cycle and your main business goal (Launch New Product, Acquire New Customers, Reduce Churn or Improve Retention). To sustain and grow your app over time you can consider to adopt an optimization diversification strategy by leveraging a mix of mutually exclusive audiences across optimizations, including lookalikes and broad audiences. LAU NCH CYCLE: O PT I MISAT ION A ND TARGETI NG Initial Launch In the first 3 weeks, an app advertiser wants to scale the app and get a better understanding of users. The best way to do so is to optimize for app installs and collect the needed data. Mid Launch After the campaign has accumulated sufficient volumes of users and the advertiser has gained a better understanding of the target audience, it’s time to shift from volume towards ROAS. This is where an advertiser should start optimizing for app events and initial value optimization. Late Launch In the late launch phase, we typically see multiple opportunities for optimization, in that advertisers can focus on further broadening their user base, optimize for events and focus on high-value paying users. © Facebook company Share of budget 100 Value Optimisation Value Optimisation 75 App Event Optimisation 50 App Install Optimisation 25 App Event Optimisation App Install Optimisation App Install Optimisation 0 Initial Launch Mid Launch Late Launch Wellness 2021 25 Upgrading your Media Strategy M O BILE AP P INSTALL (MAI ) Mobile app ads help you get more people to install and engage with your app. Objective: Increase volume of installs Share of budget 100 Broad Broad 75 KPIs: Installs, CPI Interest When to run Mobile App Ads: Usually recommended during all phases (initial, mid and late launch) as an always-on strategy with different % of budget allocation. In the first 3 weeks an app advertiser wants to scale the app and get a better understanding of users. The best way to do so is to optimize for app installs and start collecting data. 50 Targeting Best Practice: For app install optimization, we see a pretty even mix of lookalike and interest targeting at the start of a launch. Over time, lookalike targeting goes down as it tends to perform with more value-based optimization. However, we typically see more broad targeting and interest targeting in this phase, as advertisers want to maintain or expand their volumes of users. 0 © Facebook company Interest 25 Lookalike Initial Launch Lookalike Late Launch Wellness 2021 26 Upgrading your Media Strategy M O B ILE AP P E VENTS OPTI MI ZATI O N ( AEO ) AEO gives you the ability to display mobile app install ads to people likely to take a specific action in your app. The value of using app event optimization is that, beyond new installations for your app, you will also acquire people who are likely to take a specific action that is of value to your app or business. Objective: Increase conversions (ex: free trial) Share of budget 100 Broad Broad 75 Interest 50 Interest KPI: CPA (ex: cost per free trial) When to run Mobile App Events Optimization (AEO): Initial Launch and Late Launch. Targeting Best Practice: For app event optimization, the targeting strategies are heavily weighted to lookalike targeting with an increasing proportion of interest and lookalike-based targeting as audience sizes increase. This comes at the expense of other types of targeting. This mix of targeting is consistent from initial to mid launch but at late launch, we see a dip in lookalike and Interest targeting in favor for broad. © Facebook company 25 Lookalike Lookalike 0 Initial Launch Late Launch Wellness 2021 27 Upgrading your Media Strategy VA LUE OP T IMI ZATI ON You can choose to optimize your campaign to reach people who are more likely to generate the most revenue given period after making a purchase. For value optimization, we see a similar breakdown of targeting methods as we did for App Installs and App Event Optimization. Objective: Acquire the most valuable users Share of budget 100 Broad Broad Interest 75 Interest 50 Lookalike KPI: LTV When to run value optimization ads (VO): Initial - late launch. Targeting Best Practice: For value optimization, we see a similar breakdown of targeting as we did for App Installs and App Event Optimization at initial launch. In mid to late launch, we see a drop off of both interests and broad in favor of lookalikes. © Facebook company 25 Lookalike 0 Initial Launch Late Launch Wellness 2021 28 Upgrading your Media Strategy AU TOMAT E D APP A D S Automated App Ads (AAA) were released globally in September 2020. They enable advertisers to effortlessly achieve the best performance from their app install ads. Driven by powerful machine learning, this solution delivers the highest performing creative to the most relevant audience on the most efficient placements. Setup: Setting up Automated App Ads requires inputting your target app store, country, and optimization goal. Facebook’s machine learning will help reach more people the advertiser values. Structure: AAA allows for one campaign, one ad set and one ad. This prevents audience overlap and reduce the number of campaigns to get results. Creatives: The advertiser can provide up to 50 different images and videos with up to 5 headlines and 5 descriptions. The system will automatically test creative combinations and deliver the highest-performing ads. A LIGN MUTUAL LY EXCLU SI VE AU D I E N C E S W I TH O PT I MIZ ATION STRATEGI ES TO MAX I MI S E S C AL E TARGE T IN G Broad Broad & (VB)LAL VO AEO (VB)LAL MAI O PTI MI S ATI O N Value © Facebook company Volume Wellness 2021 29 Upgrading your Media Strategy C H O OSIN G CORREC T OPTI MI ZATI O N BAS E D O N BAU C AMPAI G N S Current optimization and targeting Primary KPI Primary Monetization Optimization for AAA Mobile app install + Broad Targeting (or interest targeting with relaxation) Cost per install only ln-app purchases ln-app ads Subscription App Installs Mobile app install + Lookalikes or interest targeting (no relaxation) A balance of cost per install and cost per event/ROAS ln-app purchases ln-app ads Subscription App Installs with App Events App event optimization + any targeting type Cost per event/ ROAS only ln-app purchases Subscription App Events Value optimization+ any targeting type ROAS only ln-app purchases Value optimization* AU D IE N CE S Core Audiences Core Audiences form the foundation of your audience strategy. They enable advertisers to target users in a given location, users with certain demographic characteristics, interests and behaviours. This allows the audience range to be expanded if this could improve performance. Lookalike Audiences Reach new people who share similar characteristics with people who have already expressed an interest in your business, or who have already interacted with it. © Facebook company Custom Audiences Connect with your most valuable audiences. This is a key targeting capability to reach your existing customers and prospects. “Suprisingly, the [wellness] industry hasn’t really adopted remarketing... only 35% of apps actually use remarketing in this industry, which is low compared to other industries” Ben Cole, Director of Global Partnership Development, AppsFlyer Wellness 2021 30 Upgrading your Media Strategy PLACE ME N T S The Facebook auction is designed to deliver the most results within audience constraints. Selecting Automatic Placements delivers ad content in the placement most likely to drive campaign results at the lowest possible cost at any given time. Automatic placements allow advertisers to reach their target audiences and optimize performance in real time in more than one position on a single platform or across Facebook, Instagram, Messenger, and the Audience Network. With more ad positions available, Facebook’s delivery system has the fluidity it needs to optimize for the most efficient placement at any given time. Running ads in multiple placements in a single app or across the entire Facebook family of apps will deliver the best return on ad spend. Cost per outcome W HY DO AUTO MATI C PLACEM ENTS WO RK? Average cost per outcome: Instagram only Average cost per outcome: Facebook, Messenger and Audience Network Average cost per outcome: combined Time Elapsed The Facebook ads system is designed to deliver the most value with every impression based on the objective an advertiser chooses. Running ads allows advertisers to get more reach and improve performance. Facebook’s system of Discount Bidding attempts to find the lowest cost results (based on campaign objective) within your audience constraints. If we widen the delivery pool by including additional placements Facebook is more likely to find lower cost results and deliver more results for the same budget. © Facebook company Wellness 2021 31 Upgrading your Media Strategy PLACE ME N T ASSET CU STOMI ZATI O N Placement Asset Customization is an easy and efficient way to ensure your ad is optimized for the best creative practices of each placement. Customizing creative by placement ensures that the ad will best match the viewing behavior for that placement, while taking advantage of the efficiencies of multiple placements for your campaign. Placement Asset Customization is available to all advertisers using Single Image or Video with the supported campaign objectives. Once placements have been selected (either through Automatic Placements or Edit Placements) and the format has been chosen (Single Image or Video) the option will become available to customize your ad by placement. © Facebook company US I N G PL AC E ME N T AS S E T C US TO MI Z ATI O N YO U C AN : • Use templates to turn non 9:16 images into stories optimized creative • Select a different image or video for each placement • Crop your image or video to the best ratio for the placement you have chosen • Customize the text for each placement • Change the background colour for Facebook and Instagram Stories placements (if you do not have a 9:16 image or video to use) • Select the thumbnail that is used to represent your video on each placement Wellness 2021 06 Measuring impact © Facebook company 32 Wellness 2021 33 Measuring Impact W H Y IS IT IMP ORTA NT “If you’re unsure which marketing strategies yield the best results, our solutions on testing and experimentation will help you make a reliable comparison and determine the ultimate impact of each strategy on your business goals.” Learn what works best for your business and improve your advertising strategies Edward Dendievel, Wellness Lead, Facebook CEE H OW TO ME ASU RE - THE STEPS 1. Select a business question 2. Meet the requirements and complete test setup Use the insights from your test to improve your marketing strategy 3. Review best practices and apply them to your test 4. Run the test and learn from the results Q U E S TION TEST • • Choose a business question © Facebook company Set up and run a test LEARN • Learn what works and act upon these insights to improve your advertising Wellness 2021 34 Measuring Impact HOW TO ME ASU RE - THE TOOLS 1. Lift For big strategic decisions 2. A/B Testing For day-to-day decisions Causation Correlation CO M MO N USE CASES FOR EACH TO O L Subject Conversion Lift Understand Facebook incremental contribution when operating with multiple channels X Building a new account structure and budget allocations across activities (Acquisition, Retargeting, Remarketing) X A/B Test X Day to day optimization X New creative/ new Audience X Trying FB solutions (bidding strategies, new products, etc.) X © Facebook company Wellness 2021 35 Measuring Impact W HAT TO ME ASURE - COM MON TES TS FO R E AR LY STAGE STARTUPS P RO DUC T MARKET FI T What is product market fit? According to entrepreneur and investor Marc Andreesen, who is often credited with developing the concept, product-market fit means finding a good market with a product capable of satisfying that market. What is your KPI for success? Quality - Quantity trade-off • KPI which is most correlated to retention • KPI with a large enough sample size to allow fast, statistically significant, results Optional proxy [for example]: • Bounce Rate • # of visits • Time on site • Pages per visit • % returning visitors • Daily active users • Conversation Rate “The biggest challenge for every B2C company is retention and engagement; it is the indicator of product value prop ... it’s challengng for wellness ... you’re fighitng the habits of people and so you need to not only create your app as engaging as possible, but also habit forming” Sergey Gribov, Flint Capital © Facebook company Wellness 2021 36 Measuring Impact W HAT TO ME ASURE - COM MON TES TS FO R E ARLY S TAG E S TARTUPS P RO DUC T MARKET FI T TESTI NG Using the Test & Learn framework to measure Product market fit 1. Formulate your hypothesis based on data evidence 5. Keep only the winning variant 2. Fast prototype 4. Winner variant will be declared based on your proxy 3. Test old variant vs. new variant Which measurement tool to use? • Conversion lift preferred © Facebook company Wellness 2021 37 Measuring Impact W HAT TO ME ASURE - 4 COMMON TE S TS FO R G ROW TH S TAG E S TARTUPS TEST 1: CAMPA I GN EFFI CI ENCY TE S T 2: O PTI MAL MARK E TI N G MI X “Which campaign causes the lowest cost conversions to occur?” “How much impact do my Facebook ads have on my business?” Which measurement tool to use? Which measurement tool to use? Conversion Lift Conversion Lift TEST 3: BRAND PERCEPTI ON “How much impact does my campaign have on brand perception” Which measurement tool to use? Brand Lift TE S T 4 : C AMPAI G N O PTI MI Z ATI O N “Will setting a campaign budget / changing my bidding strategy / changing my optimization event improve performance?” Which measurement tool to use? Split testing © Facebook company Wellness 2021 38 07 Third Party Partners PA R T N E R S F E ATURED I N OUR 20 20 W E L L N E S S S UMMI T CA M PAIGN M A N AGE ME N T CREAT I V E PRO D UC T D E S I G N Bidalgo Bidalgo is a marketing intelligence platform that extracts insights from ad creative and provides powerful creative-centric analysis, decision-making and campaign management workflows to drive growth and optimize spend. VidMob VidMob, the world’s leading Intelligent Creative platform, combines real-time data and artfully crafted design to produce measurably better digital ads at scale. Prime We design technology. We craft unique experiences, develop disruptive design concepts and challenge existing conventions to realize client innovation. vidmob.com prime-do.com bidalgo.com Search for additional solutions at our partner center: https://www.facebook.com/business/marketing-partners © Facebook company Wellness 2021 39 Third party partners M A R KE TIN G ANALYTI CS AND MEAS URE ME N T AppsFlyer Accurate data, a customer-centric approach, and privacy by design make AppsFlyer the attribution platform of choice for the world’s leading brands. Sensor Tower Sensor Tower is the leading, trusted source of enterprise-grade market intelligence and performance metrics in the mobile app ecosystem. sensortower.com appsflyer.com V E NT UR E CAP I TA L Joy Ventures We are on a singular mission – to build and support companies developing sciencebacked consumer products that help people experience moments of everyday joy and improve their wellbeing. Flint Capital Since 2013 we invest early-stage in promising entrepreneurs and technology ventures with global ambitions. flintcap.com joyventures.com Search for additional solutions at our partner center: https://www.facebook.com/business/marketing-partners © Facebook company STAYIN G IN TOUCH This Playbook is part of our outreach efforts towards the Wellness industry. Our aim is to help innovators shape the future of the industry by sharing some of the latest insights on Wellness and by building a community of stakeholders around this exciting industry. As we are continuously working on further initiatives, we would love to hear your ideas. If you have any suggestions on how we can build the future of Wellness together, please don’t hesitate to reach out to us. If you have questions on this report, please contact: [email protected] © Facebook 2021 Wellness 2021 41 The Team Edward Dendievel Hadas Spektor Client solutions Wellness lead CEE Client solutions Wellness lead Israel Rico Hunger Maria Popova Client solutions Germany Account manager CEE Anna Gourinovitch Flavia Ricci Account manager CEE Client solutions Italy Adam Gasior Marketing Manager CEE © Facebook company
