The app industry in Malaysia is a massive one, and it’s also growing exponentially ever since the evolution of smartphones. It is no wonder that players like HappyFresh wants a slice of the cake.
HappyFresh is a local brand that specialises in delivering groceries to your doorstep in 1 hour. It’s a solid entrepreneurial idea honestly, taking into account that the grocery market in Malaysia is huge and that traffic jams are a common occurrence in the urban areas.
Their Facebook Page is impressive as well! Started in October 2014, they have garnered to date 165k likes!
However, in the Facebook ads department, we think that they could do better.
Their Facebook Ads
At first glance, their ads seem pretty average. Nothing out of the ordinary that stands out, which is a big waste of their digital marketing budget. In other words, their ads are not working. Their ads easily blend into the “background” of Facebook’s news feed and may be quickly scrolled past down the news feed content. You would then end up watching a funny video or reading an attractive news article.
Besides, one of our single male colleagues saw the ad while scrolling through Facebook. A few questions came out from that scenario, one of it is that the items shown were not relevant to his target market. How may you ask? Well, one of the grocery items shown on his News Feed was baby diapers – a total contrast to the interest of an average male. We guess that they may have only set the targeting based on age group, again, a big waste on not fully utilising Facebook marketing.
He also questioned the objective of the ads. The ads simply display an array of grocery items you can get from the HappyFresh app. Sweet, it shows variety, but how does variety get you to click on an ad? The main mistake here was not using their USP (unique selling points) or benefits to market to their consumers. With a few other competitors selling the same business model, it only makes sense to market your product based on your USPs. In other words, why are we better than them.
How can we improve the ad?
There were 2 main competitors we see for HappyFresh – similar businesses and people going to the supermarkets. By identifying these 2 factors, HappyFresh can use the points below to start their ad creation process.
Firstly, utilise the business’ USP. By tweaking the ad and focusing on HappyFresh’s USP which is their 1-hour delivery, convenience, and the access to many supermarket brands at once. USP stands out not only because they are the core competencies of their business to stay running, but also because they stand out from their competitors, and lastly the reasons why customers should choose them.
Secondly, they can create better ad creatives to evoke customers’ buying intention. A well-thought-out visual goes a long way in provoking the thoughts of regular and new customers. For example on emphasising freshness, the picture can be a man picking fruits from a tree and bringing the fruits to your doorstep.
Thirdly, they can split their marketing budget and test different ads for different target markets. For example, an ad that shows baby products should be targeted at young moms. They can do this efficiently by testing different ads every day to different target audiences and improve on the ones that aren’t performing. What’s even better is that they can identify their core target audiences that are profitable and create specific ads for them.
Which audiences can we target?
There are many methods on how they can do this whether it’s based on age, gender, interest, location and so on. Here we identified a few target audiences HappyFresh can focus on.
1. Interest targeting
The most obvious choice is to target audiences based on interest. Below is a list of what we think the audiences might be interested in HappyFresh.
– Housewife/Stay at home mum(19k potential audience)
– Businessmen who are single (100k potential audience)
– Parents with newborn babies (6200 potential audience)
– People who like supermarkets narrowed to engaged shoppers (490k potential audience)
– Older people 55 and above narrowed to liking supermarkets (150k potential audience)
2. HappyFresh customer list lookalikes
Lookalike audiences are audiences that share similar traits with their customers. This is a good targeting strategy as they are expanding their business to people who are more likely to become their customers.
3. Retargeting of current customers
Aside from looking for new customers, HappyFresh should not forget about their current customers. Making current customers become regular and returning customers will boost business and increase their base.
Suggestions for Different Ad Creatives
With different target audience comes different ad creatives. We selected three different target audiences, and each created an ad creative to suit the audiences. HappyFresh is more than welcome to use this in their future ads.
Ad 1 – Ad creatives for moms with newborn babies
Looking at the ad as a whole already tells you that the ad is for mothers with newborn babies. Visible baby products are carefully curated because young moms need them for the well-being of their child.
The ad is crafted from a scenario that a young mom often don’t have the time to get groceries because of her attention and care towards her newborn child. This is reflected in the copy, and this shows that HappyFresh cares as well as understands their target market. I’m sure you would be more likely to buy from a company that thinks from your perspective.
Further benefits are highlighted in the ad as well. Aside from discounted prices (we understand baby products aren’t cheap), speedy delivery and free first delivery are also guaranteed.
Ad 2 – Ad creatives for gym freaks
Our second target audience would be healthy gym freaks. Fitness is an upcoming trend in Kuala Lumpur with the mushrooms of commercial gyms and healthy eateries.
The scenario here is achieving two birds with one stone. While you spend an hour working out at the gym, just place a grocery order at HappyFresh before you leave and expect the groceries to arrive once you reached home. Not only does this reflects convenience but also helping people achieve more within a short amount of time.
Take note of the word “healthy foods” in the copy; this would increase the promptness of these gym freaks to place an order with HappyFresh.
Ad 3 – Ad creatives for people who like supermarkets
Last but not least, the third target audience selected would be people who like to go to supermarkets. The copy perfectly captures the benefits of saving time by picturing the scenario of an average shopper.
The ad later entices them with a rhetorical question on buying groceries online or through the smartphone.
The last piece of the ad attack is on the play of CTA (call-to-action). The ad asks them to try HappyFresh with a “nothing-to-lose” basis since the first delivery is free.
In conclusion, the teardown is just the tip of the iceberg of what we can do to improve HappyFresh’s Facebook ads. HappyFresh is more than welcome to use these ideas in their future ads, but we can do more together and achieve greater heights if HappyFresh can just give us a chance.
All in all, know that the ad teardown is based on our understanding and opinions, it is only to be taken as a general guideline on how Facebook ads are meant to be. We may be wrong and we gladly accept explanations on why we are so, our only aim is to improve ourselves together to grow as a social media agency.