Before you analyze your marketing data, you'll want to gather a few data points to ensure you're making the right Scale/Kill/Chill decisions.
The pre-optimization checklist is the first step in doing proper marketing analysis. There are 2 main items we will be collecting in this process.- Forecasted Campaign Evaluation Time
- Future Customer LTV Impact
1. First, we will get your Forecasted Campaign Evaluation Time
We have mined your data to figure out how long (on average) it takes your prospects to make their first purchase.
This can be found on the Predictive Behaviors report and based on your specific Forecasted Campaign Evaluation Time, we recommend allowing campaigns to run at least this long before deciding if they are performing or not.
2. Navigate to the New Customer Cohort Report
We want to understand the Future Customer LTV impact.
3. Select One year worth of data and click Apply
4. Compare Customer Value Day 0 to the LTV of a month that seems relevant to your business.
We want to understand how much LTV lift your customers have after 1 month or 3 months to understand how much impact their Future LTV has on your analysis.
Pick a time window that seems relevant to your business (i.e. Month 1 to Month 3) and compare the LTV in that month to Customer Value Day 0.
Example: (Month 3 LTV - Day 0 LTV) / Day 0 LTV
Does LTV go up by less than 25%? If so, the Future LTV impact is Low
Does LTV go up by 25% - 50%? If so, the Future LTV impact is Moderate
Does LTV go up by over 50%? If so, the Future LTV impact is High
Takeaway: If impact is Moderate or High, it can affect your ad buying optimizations and this information will be used in upcoming analysis.
