The True Cost of Crap Content

Too often we encounter a situation where a client wants to post something on social media but their last thought is the actual post creative. By post creative, we’re referring to the image or video in the post itself.


We get it. You have something that you want to achieve, and you’ve decided that social media can help. So you think about which products on your website you’d like to direct consumers to, you’ve written some promotional copy to entice those users and then you get caught up thinking about post placements, targeting, the budget, the length of the campaign and maybe even offering a discount. Finally, we get to thinking about the post creative.



Here’s why every social media post should start with the creative. It’s the one thing standing between your potential customer scrolling right past you in a newsfeed and clicking through to shop online.


Let’s analyse four different posts with varying creative and assume that the more each post cost to create (i.e. the cost of the content), the better the results. We’ll also assume the following:

  1. Media Spend (cost to promote the post): $1000

  2. Website conversion rate: 3%

  3. Average order value: $100

The key performance metrics impacted by posts with better creative are CPM, CTR and ultimately in an e-commerce context, purchases. A better Cost-Per-Thousand Impressions (CPM) leads to your post reaching more people and a better Click-Through-Rate (CTR) means more people will click-through to your website. Both of which will lead to more conversions on your website which will ultimately grow revenue.


Despite the $600 difference in cost between a D-rated post (poor creative) and an A-rated post (great creative), the return on ad spend is significant. As shown in the table below, with a Return on Ad Spend (ROAS) of 2500%, with these metrics combined, the superior content delivers an incremental $36,000.



TOTAL COST VS RETURN ON AD SPEND (ROAS)


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