Correlation vs Causation
Hello, readers and fellow Praxians! How do you know for certain that your efforts are what made a difference? People often mistake correlation for causation.
Meta Ad - Results
A few weeks ago, I published the Beginner's Guide to Meta Ads, which detailed my process of creating a Meta-ad for Root 58 Greenhouse. The goal was to increase their social media following, so I optimized for traffic and sent users to their profile pages. The results?
14,510 impressions/views
6,316 accounts reached
861 profile visits
Before publishing the ad, their Facebook page had 1.4k followers, and their Instagram had 207 followers. When the ad finished running:
Facebook: 1.9k followers (35% increase)
Instagram: 305 followers (47% increase)
While some of the increase may be credited to the Meta ad, the rest may simply be a correlation. Since they're a greenhouse, they may experience seasonal growth in activity and followers. Ideally, if the accounts weren’t created just a few months ago, I would review historical data for trends or patterns to better understand the source of growth.
Market Research - Competitor Analysis
One of my first projects at OpenEd was to create a competitor analysis for one of the new states we’re entering. Whenever you’re entering a market, it’s important to have a comprehensive picture of the landscape. Part of creating that picture is understanding who your competition is. Elements of a competitive analysis include:
Identifying competition: Find others in your industry who offer similar products or services.
Overview: Understand how they operate, how they market, who they partner with, and what their customers say.
Comparison: Identify areas where they overlap or differ from your company.
Opportunities: Since they’re already in the market you’re entering, this is the most important part. Where do you have a competitive edge? What can you do better that gives you an advantage when marketing to the same audience?
Without understanding the landscape you’re entering, you can’t accurately assess the risks. Conducting market research helps you evaluate your chances of success.
