"B" (undisclosed) emerged as a high-end lighting solutions provider, specializing in chic and sustainable home lighting designs, headquartered in Dallas, Tx. Within their 5-year trajectory, they illuminated countless spaces but had no idea of their customer’s preferences and purchase behaviors. Primarily, their challenges lay in pinpointing the effectiveness of their ad campaigns and nudging customers toward repeat purchases.
Deciphering Ad Traffic Quality
Krakatoa was spending money on Facebook and Instagram ads but was only able to track their effectiveness based on revenue which was hit-and-miss.
They used a standard save 15% off your first order but were seeing low opt-in and it was difficult to track conversion in a meaningful way.
Customers had no reason to come back without further incentivization.
A decrease in organic social reach and rising ad costs required a new approach to understanding who was signing up and what factors were leading to purchase.
We introduced incentive-based sign-ups, instead of trading a single-use discount for an email address.
The visitor was prompted with an offer for a multi-use coupon code and prompted to provide their email address with the requirement to fill out multiple-choice questions to unlock the full coupon.
This provided valuable data about the user’s underwear preferences, what mattered most to them in their underwear, how many pairs they owned, and when they were looking to purchase.
Using the data points collected, we were able to find patterns that showed us the trends leading to purchase.
We were then able to use the top producing revenue data points and look for the ad sets that were producing the highest combination of those answers.
This allowed us to optimize our ad sets and audiences by applying the baseline data.
The ambiguous return on investment from Facebook and
Instagram ad campaigns lacked clarity on lead quality. They wanted to
cut ads altogether to avoid the headache
Transitioned to an incentive-based model, offering exclusive
lighting design “look-book” and a discount in exchange for email
sign-ups and short surveys. This approach unveiled trends in home
décor preferences, purchase triggers, and favorite lighting themes,
honing their ad strategies effectively.
Elevating Email Personalization
Krakatoa was spending money on Facebook and Instagram ads but was only able to track their effectiveness based on revenue which was hit-and-miss.
They used a standard save 15% off your first order but were seeing low opt-in and it was difficult to track conversion in a meaningful way.
Customers had no reason to come back without further incentivization.
A decrease in organic social reach and rising ad costs required a new approach to understanding who was signing up and what factors were leading to purchase.
We introduced incentive-based sign-ups, instead of trading a single-use discount for an email address.
The visitor was prompted with an offer for a multi-use coupon code and prompted to provide their email address with the requirement to fill out multiple-choice questions to unlock the full coupon.
This provided valuable data about the user’s underwear preferences, what mattered most to them in their underwear, how many pairs they owned, and when they were looking to purchase.
Using the data points collected, we were able to find patterns that showed us the trends leading to purchase.
We were then able to use the top producing revenue data points and look for the ad sets that were producing the highest combination of those answers.
This allowed us to optimize our ad sets and audiences by applying the baseline data.
Generic automated email chains failed to resonate with or
captivate their audience's design sentiments.
They garnered rich data points per sign-up, facilitating
laser-focused email segmentation. This redefined approach paved the
way for tailored product recommendations and design tips, enhancing
email engagement and relevance.
Encouraging Repeat Purchases
Krakatoa was spending money on Facebook and Instagram ads but was only able to track their effectiveness based on revenue which was hit-and-miss.
They used a standard save 15% off your first order but were seeing low opt-in and it was difficult to track conversion in a meaningful way.
Customers had no reason to come back without further incentivization.
A decrease in organic social reach and rising ad costs required a new approach to understanding who was signing up and what factors were leading to purchase.
We introduced incentive-based sign-ups, instead of trading a single-use discount for an email address.
The visitor was prompted with an offer for a multi-use coupon code and prompted to provide their email address with the requirement to fill out multiple-choice questions to unlock the full coupon.
This provided valuable data about the user’s underwear preferences, what mattered most to them in their underwear, how many pairs they owned, and when they were looking to purchase.
Using the data points collected, we were able to find patterns that showed us the trends leading to purchase.
We were then able to use the top producing revenue data points and look for the ad sets that were producing the highest combination of those answers.
This allowed us to optimize our ad sets and audiences by applying the baseline data.
No discounts were issued, and no value was given to cold
traffic.
Innovated with a unique multi-use discount scheme, catering to varied lighting collections over a year. This strategic pivot allayed immediate purchase pressures and streamlined purchase tracking and efficient retargeting.
Through meticulous data-driven strategies, M could accentuate its customer
engagement, optimize ad expenditures, and stimulate repeat business.
93% sign-up form completion
8%+ conversion rate
13% customers opting for a second purchase within a month
10% conversion from product views to sales
20% purchase rate from email sign-ups
37% drop in Customer Acquisition Costs in just under two months.
B’s journey epitomizes the potential of harnessing customer data, personalized outreach, and strategic incentives to carve a luminous pathway in the modern lighting industry.
Experience our solutions risk-free for a full month and see how they can revolutionize your customer
engagement strategy.