Carrying out an audit for paid social is such an integral part of being able to improve your current performance & strategy.
You need to know where you are on a map, before you can navigate anywhere else.
We’re going to run through all the things that make a successful audit for paid social, so you can find yourself on that map.
1. What is an audit for paid social?
Well, simply put - it’s the process of going through your current and past paid activity to understand if your efforts are working or, your efforts need to be changed.
Once you have completed an audit for paid social, you should be able to pinpoint areas that are working and areas that need improvement.
It’s important to note, try to take things one at a time, rather than changing everything at once. This will allow for granularity and isolation of issues that could be affecting your performance and progress.
2. Goals & KPIs
Ask yourself why you are using paid social, what is the main goal you want to achieve?
Is it more downloads for your mobile app? More customers to your online store? Increasing the LTV (Lifetime Value) of each customer perhaps?
Once you have these reasons written down, you need to start figuring out what are the main KPIs that will allow you to achieve these goals.
For example, if you are looking for more downloads of your mobile app your primary KPI might be CPI (Cost per install).
You can then supplement this main KPI with a few others, in this case they might be Impressions, Engagements, Engagement > Install Conversion Rate.
Ultimately you are focused on one final result, however the secondary KPIs will give you a good understanding of how users are interacting with your paid social activity and provide direction for improvement.
This part is very important, but sometimes you won’t have access to all of the information you need.
The more you understand your industry benchmarks, the more realistic you can be with your expectations.
For example, if you are spending 10 times more than your industry average on acquiring a customer or install, then there might be something wrong.
Alternatively, if you are expecting to pay 10 times less in your forecasts, this can throw a spanner in the works when it comes to budgets and actual spend.
I emphasise the word can, good marketing can allow you to pay 100’s if not 1000’s of times lower than industry averages if you get a good campaign or idea going (ask any seasoned growth hacker and they’ll be able to tell you about companies like Dropbox & Airbnb).