Get a Better Return on Your Social Name Acquisition Campaign
Each year, Stripes spends millions of dollars on lead/name generation campaigns. One thing we’ve noticed—whether we’re working with Fortune 500 companies or nonprofits—is that too many organizations focus on bringing in names for the lowest cost, rather than leads that convert.
The Stripes media team and I wanted to test whether leads that immediately become donors results in an overall lower net cost per acquisition. What we found was that low cost per name often correlates with low lifetime value.
Let’s look at nonprofits, for example. Nonprofit organizations will often build their email file with the long-term goal of converting those email addresses to donors.
The Stripes’ Solution: One common strategy you’ll see leveraged in nonprofit name acquisition campaigns is redirecting to a donation page after a name is submitted. Over the last several years, we’ve tested how setting the optimization event in the platform toward a donation impacts results.
It works, as highlighted by the results…
In a recent 20-day, $2,500 test, we found that optimizing for donations resulted in a 120% drop in cost per acquired name. See for yourself:
By leveraging this tactic, we found that over the course of 2018, our name acquisition as a whole was net positive.