NESCAFÉ AUSTRALIA
The coffee brand saw a 7% incremental lift in purchases when it ran Advantage+ catalog ads during the 2022 year-end holiday retail season.
Part of the Nestlé group, NESCAFÉ was founded in 1938 in Switzerland. Today, the company specializes in a range of instant coffee products, as well as the Dolce Gusto, a capsule-based beverage system that prepares different types of coffee quickly.
incremental lift in purchases for Advantage+ catalog ads compared to usual manual campaign setup1
incremental lift in initiate checkout events for Advantage+ catalog ads compared to usual manual campaign setup1
incremental lift in add-to-cart events for Advantage+ catalog ads compared to usual manual campaign setup1
lift in ad recall for Advantage+ catalog ads compared to usual manual campaign setup2
The NESCAFÉ team hoped to increase awareness, consideration and online sales for Dolce Gusto coffee machines during the year-end holiday sales season.
THE SOLUTION
Testing Advantage+ catalog ads
Though the NESCAFÉ Dolce Gusto machines were typically sold by distributors, the team wanted to accelerate growth by selling them directly to consumers during the peak retail period around Christmas and the New Year. To do this, the NESCAFÉ team partnered with media agency UM to set up and launch a two-phase campaign testing the performance of Advantage+ catalog ads as well as the efficacy of the Meta Conversions API, which enables advertisers to create a direct and more reliable connection between their marketing data and Meta to optimize its ads.
In the first phase, the team ran a test to compare their usual manual shopping campaign setup to Advantage+ catalog ads. The Advantage+ catalog ads, which automatically show relevant services or offerings to people based on their interests, intent and actions, performed better. Both campaigns included photo ads and video ads along with three variants of ad messaging. However, the manual campaign used a limited number of creative assets, while the Advantage+ catalog ads dynamically pulled imagery from the brand’s catalog of Dolce Gusto machines and products.
In the second phase, the team aimed to learn more about how efficiently Advantage+ catalog ads performed when using the website traffic objective. The team compared the performance of the usual manual campaign of photo ads and video ads to the Advantage+ catalog ads.
All ads encouraged people to visit Australia’s Dolce Gusto website by clicking the Shop now button. The NESCAFÉ team ensured all campaigns ran on Facebook, Messenger and Instagram in the Feed, Stories and Reels placements. These ads were delivered to a broad audience of 18- to 65-year-olds in Australia, as well as to a Custom Audience of existing customers, using first-party data from the Conversions API.
For the duration of the campaign, the team conducted a Meta A/B test, a Meta conversion lift study and a Meta brand lift study. After gathering insights into the performance of Advantage+ catalog campaigns throughout the year-end holiday season in December 2022 and January 2023, the NESCAFÉ team learned that Advantage+ catalog ads delivered higher incremental results than its usual marketing efforts, including the following:
- 7% incremental lift in purchases for Advantage+ catalog ads compared to usual manual campaign setup (conversion lift study)
- 16% incremental lift in initiate checkout events for Advantage+ catalog ads compared to usual manual campaign setup (conversion lift study)
- 38% incremental lift in add-to-cart events for Advantage+ catalog ads compared to usual manual campaign setup (conversion lift study)
- 6-point lift in ad recall for Advantage+ catalog ads compared to usual manual campaign setup (brand lift study)