Offer Bandit: Stop Guessing Which Offer Converts, Start Testing
AI tests pricing, promotions, and ad offers across Google, Facebook, and your site—then auto-shifts budget to the offers that book at the best margin. Multi-armed bandit algorithm meets local services.
The Problem: You're Spending on Offers That Don't Book
Same Offer, Different Results
"$50 off first service" crushes it in Phoenix. Bombs in Scottsdale. "$99 diagnostic" converts great in summer, dies in winter. You're running the same offer everywhere, all the time.
Low-Quality Leads at High Cost
"Free estimates" gets 200 clicks at $12 each. 180 are tire-kickers. "$99 service call" gets 40 clicks at $18 each. 35 book immediately.
You're Not Testing, You're Guessing
You change offers every quarter based on gut feel or what a competitor is running. No controlled tests. No data on what actually drives bookings at profitable margins.
How Offer Bandit Works
Test offers → Track bookings & margin → Shift budget → Maximize profit
Define Test Offers
You provide 3–5 offers to test (e.g., "$50 off," "$99 diagnostic," "Free estimates," "10% off," "Senior discount"). AI creates ad variants and landing page versions for each.
Allocate Initial Budget
AI splits your ad spend evenly across all offers (exploration phase). Each offer gets enough budget to gather statistically significant data.
Track Full-Funnel Metrics
AI tracks: impressions, clicks, CPC, leads, booked jobs, avg job value, margin per job. Calculates cost-per-booked-job (CPBJ) and return on ad spend (ROAS) per offer.
Multi-Armed Bandit Optimization
As data comes in, AI gradually shifts more budget to winning offers (high ROAS, low CPBJ) while still testing losers (exploration vs. exploitation balance).
Auto-Budget Reallocation
After 21 days, AI shifts 70%+ of budget to top 2 offers (clear winners), 20% to middle performers (possible seasonality), 10% to new tests (continuous learning).
Market & Seasonal Adaptation
AI detects when an offer's performance changes (seasonality, competition, market saturation). Automatically tests new variants or revives old winners.
What You Get With Offer Bandit
Multi-Armed Bandit Testing
Not simple A/B testing—AI continuously learns and shifts budget to winners while exploring new variants. Never "locks in" to local optimum.
Full-Funnel Tracking
Track beyond clicks: leads, booked jobs, avg job value, margin per job. Optimize for revenue and profit, not just vanity metrics.
Auto-Budget Reallocation
AI shifts ad spend from losers to winners automatically. You approve strategy, AI executes daily optimizations.
Market-Specific Optimization
Different offers for different cities. "$50 off" wins in Phoenix? "$99 diagnostic" wins in Scottsdale? AI adapts per market.
Seasonal Adaptation
Detects seasonal shifts (HVAC in summer vs. winter, moving in summer, plumbing in freeze season) and tests seasonally relevant offers.
Margin-Aware Optimization
Not all bookings are equal. AI factors in job value and margin. Would rather book 10 jobs at $500 margin than 20 jobs at $100 margin.
Cross-Channel Testing
Tests offers across Google LSA, Google Ads, Facebook Ads, site banners, and email. Finds where each offer performs best.
ROAS Tracking by Offer
See exactly what you're getting back for every dollar spent on each offer. "Free estimate": 2.1x ROAS. "$99 diagnostic": 4.7x ROAS.
Competitor Offer Intelligence
AI monitors competitor offers via ad scraping and suggests tests inspired by what's working for them (legally and ethically).
Slack/Email Alerts
Get notified when offers hit profitability thresholds, when losers are detected, or when budget shifts happen.
Offer Library & Templates
Build a library of proven offers. Clone winning offers to new markets. Share templates across franchise locations.
Budget Safety Limits
Set max spend per offer, max CPBJ before pause, min ROAS thresholds. AI won't blow your budget on a loser.
Real Example: Phoenix Plumbing Company ($8K/mo Ad Spend)
Test: 5 Offers Across Google & Facebook (30 Days)
| Offer | Budget | Leads | Booked | Avg Job $ | Revenue | ROAS | CPBJ |
|---|---|---|---|---|---|---|---|
| $99 Diagnostic (Waived if booked) | $2,800 | 127 | 89 | $420 | $37,380 | 13.4x | $31 |
| $50 Off First Service | $2,400 | 156 | 78 | $320 | $24,960 | 10.4x | $31 |
| 10% Off (up to $100) | $1,600 | 92 | 41 | $380 | $15,580 | 9.7x | $39 |
| Free Estimates | $800 | 201 | 23 | $290 | $6,670 | 8.3x | $35 |
| Senior/Military 15% Off | $400 | 38 | 8 | $260 | $2,080 | 5.2x | $50 |
What Offer Bandit Did
- Week 1: Split budget evenly ($1,600 each) for exploration
- Week 2: Detected "$99 diagnostic" and "$50 off" as clear winners, shifted 60% of budget to them
- Week 3: Reduced "free estimates" and "senior discount" to 10% budget (losers), kept testing
- Week 4: Final allocation: 35% to "$99 diagnostic," 30% to "$50 off," 20% to "10% off," 10% to new tests, 5% to losers
Results vs. Running All Offers Equally
| Metric | Equal Budget (before) | Bandit Optimized (after) | Improvement |
|---|---|---|---|
| Total Revenue | $72,000 | $86,670 | +$14,670 (+20%) |
| Avg ROAS | 9.0x | 10.8x | +20% |
| Cost Per Booked Job | $33 | $28 | -$5 (-15%) |
| Total Booked Jobs | 239 | 287 | +48 jobs (+20%) |
Same $8K ad budget → 20% more revenue by shifting spend to winners.
Pricing
Monthly platform fee + % of ad spend managed
- Manage up to $10K/mo ad spend
- 5 offers tested at a time
- Google Ads + Facebook integration
- CRM integration (1 platform)
- Auto-budget reallocation (weekly)
- Email alerts
- Manage up to $50K/mo ad spend
- 10 offers tested at a time
- Google LSA, Google Ads, Facebook, site banners
- Multi-CRM integration
- Auto-budget reallocation (daily)
- Market-specific optimization
- Competitor offer intelligence
- Slack + email alerts
- Unlimited ad spend managed
- Unlimited offers tested
- Multi-brand/multi-location campaigns
- Custom margin optimization logic
- API access for custom integrations
- Dedicated growth strategist
- White-label reporting
Setup: One-time $1,500–$3,000 setup fee includes: ad account audit, initial offer strategy, tracking pixel installation, CRM integration, landing page variants, and 2 weeks of test monitoring.
Add-Ons: Creative design for ad variants (+$400/mo), landing page design (+$800 one-time), call tracking integration (+$200/mo).
Who Offer Bandit Is Best For
Perfect If You:
- Spend $3K+/month on paid ads (Google, Facebook, etc.)
- Run multiple offers but don't know which actually converts best
- Serve multiple markets with different economics
- Want to maximize ROAS, not just clicks or leads
- Have CRM tracking so you can measure booked jobs and revenue
- Want data-driven optimization, not "set and pray"
Not Right If:
- You spend less than $2K/month on ads (not enough data for tests)
- You only run one offer and never plan to test others
- You don't track bookings or revenue (can't measure success)
- You're happy with current ROAS and don't want to optimize further
Maximize Paid Ad Performance
Lower Customer Acquisition Cost
Offer Bandit is part of our complete CAC optimization strategy. See how we reduce cost-per-lead while improving lead quality.
View StrategyLocksmith: $340 → $127 CPA
Multi-armed bandit testing + landing page optimization reduced cost-per-acquisition by 63% while scaling from $89K to $340K monthly revenue.
Read Case StudySEO Meta Optimizer
Offer Bandit optimizes paid ads. SEO Meta Optimizer does the same for organic search results, improving CTR on free traffic.
Learn MoreStop Wasting Ad Spend on Offers That Don't Book
Let's set up Offer Bandit and start shifting your budget to winners.
Offer Bandit Success Stories & Industries
Revenue optimization across industries
Proven Results
E-commerce Revenue Growth
$2M → $8.8M annual revenue through strategic optimization. 340% revenue growth.
View Case Study