The Exact Strategies We Used That Boosted Tab’s Revenue by Over 40%, Doubled ROAS, and Cut CPA in Half Within 60 Day
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Case Study Breakdown
Before (February)
The total expenditure for the campaign amounted to $19.5K, strategically distributed across various marketing channels and activities.
After (April)
The Cost Per Acquisition (CPA) was calculated at $5.73, reflecting the efficiency of the campaign in acquiring new customers at a reasonable cost.
Problem Assessment
Upon analyzing the client's search campaigns, we identified a significant issue: excessive spending due to cannibalization of overlapping traffic. This meant that different campaigns were competing against each other, leading to inefficient resource allocation and decreased profitability.
Streamlining the Campaign Structure
To address the issue, we simplified the search campaign structure by adopting a straightforward:
- Top of Funnel (TOF): Attracting potential customers in the awareness stage.
- Middle of Funnel (MOF): Engaging with users who have shown interest and are considering a purchase.
- Bottom of Funnel (BOF): Targeting users ready to convert and make a purchase.
This involved reorganizing the campaigns, messaging, and creatives based on user intent and the buying journey stages.
Leveraging Existing Virality on TikTok
We strategically used the client's viral content on this platform to promote cross-platform TOF engagement on YouTube Shorts.
This approach allowed us to tap into the target audience's interests and preferences to expand their brand visibility.
Key Results and Impact
Our data-driven approach delivered exceptional results, as evidenced by the following achievements:
- Monthly revenue increased from $122k to $170k within 60 days, reflecting a substantial 40% growth.
- CPA dropped from $5.73 to $2.62, indicating a significant reduction in advertising costs while maintaining a high conversion rate.
To replicate this success for your brand:
- Analyze the search campaign structure and identify areas of overspending due to overlapping traffic.
- Simplify the search campaign structure using a middle, top, and bottom-of-funnel approach.
- Use the virality of the product on social media platforms such as TikTok to promote cross-platform touchpoints on platforms like YouTube Shorts.
- Monitor the cost per acquisition (CPA) and ensure it decreases over time. In this case, the CPA dropped from $5.73 to $2.62.
- Track revenue and ROAS closely to measure the success of the changes made to the campaign structure. In this case, revenue was increased from $122k to $170k within 60 days, and ROAS was doubled.
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