In 90 days, 2.3 million € ad spend at 6.5x ROAS
The challenge
Scale and maintain large advertising budgets while fighting ad fatigue
Develop brand positioning for increased customer response
Market and scale internationally
The result
Sales increase of 527% compared to the previous year
Customer return rate increased to 21%
Reaching a 24-hour sales record of €364,000
What you'll learn from this case study...
Why branding is essential for the next level of growth
How to take advantage of new opportunities when they arise.
How to expand your market internationally.
How to structure FB advertising accounts for rapid scaling
initiation
When we worked with this brand for the first time, we first conducted a prescriptive analysis (PA). PA allows us to have a full understanding of which marketing techniques were previously used to scale the business to a respectable monthly revenue of just over €1 million.
In addition, our research showed us exactly where our focus needed to be in order to increase advertising spending with a profitable return. In the end, this led to our decision-making process, which increased sales by five times.
branding
A big focus for this brand, just before we started increasing spending, was making the branding perfect. A store can make you a million, but a brand a billion. At Ney Marketing, we firmly believe that your customer lifetime value (LTV) metrics depend heavily on the message your brand is conveying.
This brand sells clothing and accessories for the working class target group, so we wanted to ensure that our message was authentic to the everyday life of the worker market. We conducted several branding days with the company to precisely define the company's mission statement. Once the mission statement was set, we were able to ensure that our marketing across all platforms was consistent with that statement. That was when the results went through the roof.
International scaling
During our analysis phase, we discovered an untapped market in Mexico. The product and brand were a perfect match, so we decided to launch ads and email campaigns by translating the language into Spanish. For our ads, we chose to keep the targeting completely open, and the Facebook algorithm rewarded us for it.
8-digit advertising account
In recent years, we've been testing new Facebook ad account structures to scale as aggressively as possible. One of our most effective strategies, the “bid reduction strategy,” was used in this business and ultimately enabled us to scale spending to new heights.
The bid reduction strategy is structured as follows...
1X subscription campaign per country (for testing)
1X CBO campaign (to scale)
1X minimum ROAS campaign (to maintain)
1X cost cap campaign (for stabilization)
Essentially, this ad account structure means that we can pit campaigns against each other and ensure that they get a minimally profitable ROI. Each advertising campaign uses a different bidding strategy and is therefore responsible for achieving the desired result while we continuously increase the budget.
Of course, ad account structure isn't the only aspect of a successful marketing funnel... An effective and reliable flow of new content is the key to scaling without running into ad fatigue. We are currently writing 7 new ad scripts and texts every week to do tireless testing and maintain massive growth.
Omnichannel expansion
With all of our customers, we are constantly looking for new ways to increase profitability and scale in TOF. TikTok is currently a goldmine of opportunities for brands to establish themselves and can be extremely lucrative with the right guidance.
With our current success on Facebook for this brand, we've decided to turn the video ads into a TikTok-style format. With just a few minor changes, we've turned on another highly profitable TOF source.
Omnichannel marketing is often the end goal for big companies like this. When Facebook and TikTok also went through the roof, we took control of all marketing channels for the company. This includes FB, Instagram, TikTok, Google ads, email marketing, CRO, and editing ad content.
conclusion
There are a variety of techniques that must be implemented to scale brands to 8 digits.
Each marketing platform has certain nuances that require real special skills to achieve good results. Developing each of these specializations must be at the heart of marketing to scale and maintain competitiveness.