Objective:
Our client is within the competitive, price sensitive, and crowded sporting goods and apparel market. Although they possess an impressive inventory, their goal was to increase sales and revenue through their ecommerce platform. They were interested in increasing overall sales volume, expanding into previously untapped markets, and decreasing the costs associated with acquiring sales. They were already using Google Shopping to advertise their products, but they looked to WTM Digital to help achieve their sales and profitability goals.
Our objective was to optimize our client’s existing Google Shopping campaign while building out a new and improved campaign with the goal of increasing online sales volume in a cost-efficient way, which would result in increased profitability for our client. We set out to do this in our client’s local market as well as expand into other markets across the United States.
Strategy:
We reviewed our client’s current Google Shopping campaign and decided that a campaign restructure was the best approach for long-term growth. As we built the new campaign, we continued to optimize their existing campaign in order to learn and make improvements that we could then apply to our new Google Shopping campaign.
We restructured our client’s account in a way that enabled us to look at campaign performance by product type. That was a great starting point and provided us with valuable information. As we dug deeper we quickly realized that certain products had higher or lower profit margins based on product price, so we segmented our client’s Google Shopping account even further to reflect that insight. That enabled us to optimize bids at a much more granular level, resulting in higher overall profitability and increased consumer visibility against competitors.
Once we had a structure in place that produced increased profits for our client, we were able to reinvest into other Search Engine Marketing and Social Media advertising tactics to further increase sales volume and profitability.
Results:
As we optimized and analyzed our client’s old Google Shopping campaign, we were able to gain valuable insights and apply that knowledge to our new and improved campaign structure. Our new Shopping campaign launched mid-January 2016 and we began to see immediate results. We saw sales coming in from across the country, contributing to a large spike in transactions and revenue and a drastic decrease in average cost-per-transaction. These metrics, in combination with each other, ultimately resulted in increased profitability, growth, and expansion for our client. Not only was our client ecstatic about the success of the new Google Shopping campaign, but it also provided them with an opportunity to reassess their long-term goals and inventory structure. Now that they know what they’re capable of, they’ve established larger future goals for themselves.
Avg. monthly revenue…
before our new Shopping campaign: $2,218
after our new Shopping campaign: $22,379
Case Study Highlights
Industry: Sporting Goods & Apparel Retailer
Goals:
- Increase sales and revenue
- Decrease cost per sale
- Improve Return on Investment
Results:
- Increased revenue by 909%
- Increased online transactions by 1,912%
- Decreased average cost per transaction by 87%