we sell specialty roasted packaged coffee and brewing gear in the US makret through our e-commerce site. our average order value on the site hovers around 60 dollars. to bring in new customers, we allocated a 3,000-dollar budget for Instagram ads last month and ran the campaign for two weeks.
at the end of two weeks, we saw a total of just 2 completed orders in the dashboard. so we basically spent 3,000 dollars to make 120 dollars in revenue; customer acquisition cost came out to 1,500 dollars per order. clicks and profile visits in the ad dashboard didnt look terrible, but incoming traffic left the site without buying.
is this kind of result considered normal at this scale and budget? should we kill the ads entirely, or what metrics across target audience AOV, and landing page should we benchmark before deciding to keep going?