70x revenue on every unit spent on marketing
A nationwide retail chain with 56 physical stores: the goal was to grow the number of online orders and in-store shoppers at the same time.
Introduction
EcoFamily’s goal was to use online marketing to grow the number of shoppers coming into its physical stores, while also increasing its online orders.
They set themselves an important milestone: by the end of 2021 they wanted to reach HUF 1 billion in revenue while hitting the performance targets set for their physical stores. The partnership began in early 2021, on the recommendation of an existing client.
Challenge
When we took over the ad accounts, the basic e-commerce measurement was not set up properly, among other things, the conversions tied to PPC spend were not being fully tracked. As a first step we therefore had to put right the measurement settings for Google Analytics Enhanced E-commerce, and then the Facebook Pixel.
The pandemic that broke out in 2020 put them in front of a similar challenge to other e-commerce players: they had to serve changed consumer needs in an extremely competitive market.
Solution
Measurement was a decisive question: we had to see which brands users preferred in the online store and which products they bought most. The full channel mix and continuous campaign optimisation were built on this.
Thanks to the active online presence, the number of orders rose significantly even in cities where EcoFamily has no physical store.
Channels and tools
Results
The weight of the Google Ads campaigns is clear from the fact that 59.4% of the more than 30,000 e-commerce transactions between May and December 2021 can be tied directly to traffic from advertising.
Between 2020 and 2021 the ads performed on average 25% better each month, the cost of acquiring a purchase fell by 27% in a year, and 65% of revenue came directly from PPC traffic.
Summary
Once measurement was restored, the full channel mix, Google, Facebook and programmatic, worked together towards the same business goal: more online orders and more in-store shoppers. The 70x revenue multiple on ad spend is the result of this coordinated operation.
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