The Client.
This UK-based, premium flavoured sparkling water brand was supplying predominantly hospitality and traditional retail channels.
With bars and restaurants shutting down during the COVID-19 crisis, they needed to pivot to a direct-to-consumer (DTC) strategy.
While the founders knew that DTC would always be part of their revenue mix, they decided to make it one of their main revenue streams and be more business to consumer (B2C) focused.
The Challenge.
The client came to us wanting to increase their D2C sales, as 80% of their revenue came from hospitality and traditional retail channels.
They understood the opportunity to sell direct to the consumer, increase their margins, and diversify their sales channel.
Their existing online strategy was heavily focused on brand awareness through influencer partnerships to support hospitality and retail sales.
The challenge was their lack of knowledge and strategy required to be able to develop their DTC channel through their online store.
The Strategy.
We began by building the foundations, using a combination of Facebook, Instagram and Google Adwords advertising to generate traffic to their online store.
Although focused on consumer acquisition, we equally had to build and implement a customer retention strategy.
These are some of the specific strategies we implemented:
Discount Level
Testing
Increasing Customer LTV Using A Customer Retention Funnel
Persona & Messaging
Deep Dive
Creative Audit & Recommendations
The Results.
We used a combination of Facebook, Instagram and Google Adwords (PPC) advertising to generate traffic to their online store.
We revamped the strategy to focus on conversion (sales) rather than brand awareness.
- ROAS more than doubled from 2 to 4.86 ROAS
- Online store conversion rate increased from 3.1% to 5.5%
- Total number of orders increased by 1900%
- Online revenue increased by 2051%
- Average order value (AOV) increased from £25 to £37
- Cost per acquisition (CPA) decreased from £18 to £8.50
- Increase in subscription signups. Going from £0 to £325k within 12-month, which represented 32% of overall revenue, increasing customer lifetime value.
