When Arrr developed a new creative strategy for its Instagram ads with product tags that was designed to increase attention and discovery for its tagged content, the company not only attracted more high-value customers, but also increased purchase conversions by 12X.
Arrr is a pet lifestyle brand devoted to "a life where pets and owners protect each other.” Since 2017, it has offered products that consider the aesthetic values and preferences of the owners while protecting the safety and comfort of pets. After enjoying steady growth, thanks to popular products such as sweet dream cushions and non-slip stairs that match pets’ eye-level, Arrr is also expanding into the pet-terior (pet + interior) field.
increase in purchase conversions with new creative for ads with product tags, compared to previous ad creative
lower cost per purchase with new creative for ads with product tags, compared to previous ad creative
increased return on ad spend with new creative for ads with product tags, compared to previous ad creative
To increase sales, Arrr came up with a new ad creative strategy that would highlight its product tags and encourage customers to take action. In this way, the company hoped to increase the number of new people visiting its Instagram Shop, and to find high-value customers who were likely to continue their shopping journey to Arrr's online shopping website.
Optimizing ad creative to highlight product tags
Arrr finds many customers through Instagram when they view its ads and visit its Instagram Shop. These customers can easily continue their purchase journey by clicking through to Arrr's website store, resulting in seamless sales conversions. Because Arrr recognised that its Instagram Shop is an important channel to find new customers, it started thinking about how to attract more high-value customers.
First, Arrr developed ad creative that would attract more attention to its ads with product tags. These ads guide people to click on a shopping bag icon or tagged products and be taken to a detail page, from where they can go to the brand's website to purchase a product, or visit the Instagram Shop to browse more products. Arrr collaborated with Meta to plan new creative for its ads with product tags that would encourage customers to click on the tags and visit the shop, and then produced new photos and videos with this strategy in mind.
For example, Arrr made a video in which a puppy said (with speech balloons) “Follow me!” or “Click here!” while running towards a shopping bag icon located in the lower left corner of the screen, and then pointing at it. In this way, the customer's attention was naturally drawn towards the icon and they were encouraged to click on it. Arrr also made ad creative to draw customers' attention by showing a dog eating one of the nutritional supplements from its bowl, and then having a product tag for it appear in the lower left corner.
Arrr then conducted an A/B test to measure how much the new ad creative optimized for ads with product tags affected customer acquisition and sales conversions. Campaign A was set up to add speech bubbles and product tags to the images and videos that Arrr was using in its previous ads, while campaign B was set up to show new ad creative that was optimized for ads product tags by using specially crafted images and videos. Between January 21–February 13, 2022, the test results showed that the new optimized creative for ads with product tags not only drew more customers to the shop, but also increased online sales at a lower cost per purchase and delivered particularly good results on mobile.
- 12X increase in purchase conversions with new creative for ads with product tags, compared to previous ad creative
- 91% lower cost per purchase with new creative for ads with product tags, compared to previous ad creative
- 7X higher return on ad spend with new creative for ads with product tags, compared to previous ad creative