Background: Entering the year-end mega sale season (11.11 & 12.12), competition in the e-commerce market became fierce. The Cost Per Action (CPA) across the industry skyrocketed, making it a difficult challenge to maintain Return on Ad Spend (ROAS). The platform needed a breakthrough strategy to scale the budget while ensuring revenue efficiency.
Implementation Strategy:
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Dynamic Product Ads (DPA) Optimization: Built highly personalized retargeting scenarios based on user behaviors, such as viewing items and adding them to the cart without checking out.
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Audience Segmentation: Applied AI to segment customers by Lifetime Value (LTV) and shopping preferences, thereby allocating budgets to campaigns with the highest conversion rates.
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Continuous A/B Testing: Tested over 50+ creative and copy variations weekly to discover “winning ads” in real-time.
Results: After just 2 months of campaign optimization, the system recorded outstanding metrics:
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Achieved a 162% increase in ROAS (Return on Ad Spend).
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Reduced CPA (Cost Per Action) by 30%.
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Paid Ads channel revenue exceeded the set KPI by 150% during the Mega Sale events.
