Situation.
Dandelion Chocolate is a luxury chocolate brand that wants to shift their strategy focus from maximizing ROAS in a remarketing-heavy audience mix to increasing new customer acquisition efforts. They want to have a better understanding of customer acquisition costs.
The client wants to evaluate their costs in-depth and utilize third-party software. Dandelion Chocolate and Pennock work together to establish third-party reporting insights for the first time for the brand, so additional insights regarding the customer journey can be acquired.
The former marketing agency focused heavily on remarketing efforts, with an audience mix of 42% remarketing and 58% prospecting (new customers). Within 3-months, we shifted the mix by 5% toward prospecting while establishing a new customer cost per result.
In addition, they report it is a challenge to “get visitors to their stores” and would like to see improvement in their traffic campaigns that focus on local audiences.
Objectives.
To “achieve a 3.0x ROAS” and segment audiences to learn what is working for each segment. (-Source: Client Onboarding Questionnaire)
Our Approach.
We evaluated past targeting strategies, which focused on a look-a-like audience with a focus on add-to-cart action.
To work toward an accurate CAC (beginning with CPA on Meta), we converted campaigns to an objective of conversions (vs. Adds to Cart)
To work toward the client's goal of obtaining segmented audience behavior and results, we developed a complete funnel approach with live-time list synching to ensure no audience overlap, and therefore minimize cost.
To shift focus from the current remarketing-heavy strategy to a heavier prospecting funnel approach, we tested broad audiences using both interest-targeting and Advantage+ Shopping Campaign tools.
In order to test brand-new creatives developed by our team, we leverage the strengths of the A+SC tool in machine learning with many creatives to gather initial creative insights.
Finally, as a strategy to increase store traffic, we recommended boosting organic content on Meta we predicted would have a positive impact on traffic to two different store locations, and implemented the strategy.
Services Provided.
Paid media management of both traffic and conversion-style campaigns on Meta
Organic paid media boosting strategy and execution
Creative development and reporting
Graphic Design Services
Real-Time Dashboard Management
Third-Party Software Reporting (established by the Client)
Key Results.
When comparing the 3-month prior to service with PNK to the 3-months into service with PNK, here is what we found
+101.4%
in conversion rate (purchases / link clicks)
+227.48%
in Meta eCommerce conversion rate
-22.77%
in average cost per result on traffic campaigns ($0.59 CPC)
🡱+97.99%
in Instagram eCommerce conversion rate
Result & Positive Impact
By taking both detailed technical steps and implementing trending Meta strategies at a broad level, we were able to pave initial insights for the client to establish desired outcomes of identifying a clear customer path.
We have established a true, third-party cost per acquisition for existing and engaged customers. We have also established the same metric specific to new customers. These two metrics help establish the CAC in audiences at different stages in the marketing funnel.
Improved initial NC CPA (reported by third part) by 72.28% MoM from June to July
Improved initial CPA (reported by third party) by 78.4% MoM from June to July