I went straight to funnel metrics and audience segmentation, which felt right, but I spent too long on the obvious stuff like CPM differences and not enough on the actual merchant journey.
Start by clarifying the goal: acquiring new merchants for Shopify. Then compare Facebook and Instagram across key dimensions like audience, ad formats, targeting, cost, and conversion rates, using a data-driven framework. Conclude with a recommendation on which platform to prioritize based on Shopify's merchant acquisition strategy and suggest testing both with clear metrics.
Pro tip: Emphasize the importance of incrementality testing and attribution modeling to avoid overvaluing one platform due to last-click attribution. Also, consider the role of organic vs. paid and the impact of creative assets tailored to each platform.
Identify key metrics for merchant acquisition, such as CAC, conversion rate, LTV, and payback period. Ensure alignment with Shopify's overall growth objectives.
Compare the demographics, psychographics, and targeting capabilities of Facebook vs. Instagram. Consider which platform better reaches potential merchants (e.g., small business owners, entrepreneurs).
Assess how each platform's ad formats (e.g., Stories, Reels, Feed) and creative styles impact engagement and conversion for merchant acquisition. Consider the need for platform-specific creative.
Compare historical or benchmark data on CPM, CPC, CPA, and ROAS for merchant acquisition campaigns on each platform. Factor in seasonality and competition.
Based on the analysis, recommend which platform to prioritize or how to allocate budget. Propose a structured A/B test or incrementality experiment to validate assumptions.
AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.