Furniture retailer sees 266% increase in conversion value
Challenge
Bedside Manor sells luxury home goods & bedding, both online and at three brick and mortar locations in the Chicago-land area. The Objective While many companies slowed down their marketing efforts at the start of the Covid-19 shut down, we made the strategic decision to invest additional resources in Bedside Manor’s paid media advertisements. We aimed to capitalize on the anticipated spike in demand for ecommerce, supplementing the potential revenue losses from in-store purchases by increasing online sales.
Solution
Paid Media Strategy The Problem At the time, many businesses were reducing their ad spend in the face of a global pandemic. We needed to strategically spend Bedside Manor’s ad dollars by targeting the right audiences to sustain, and improve, their ecommerce sales. The Solution We anticipated that their target customers would actually increase their online shopping while home during quarantine. As such, we encouraged Bedside Manor to move forward with their paid advertising budget. We scaled our bids and budgets for high-performing items in both search and shopping. It was incredibly important to keep their competitor’s ads appearing below Bedside Manor, especially for brand-specific queries. Bedside Manor was an early adopter of curbside pickups and private appointments, which we included in ad copy to attract customers. Why it Matters We found that showing above competitor ads was hugely important to building the right awareness. Not only were we earning conversions through ad clicks, we were seeing assisted conversions down the line when customers who saw ads in search, went directly or Bedside Manor in the future when they were ready to shop.
Results
The value of their conversions increased 266% year-over-year,. Indicating that, not only did Bedside Manor experience a higher volume of conversions, but that their customers were spending more money on their site. Spring and summer 2020 was a period of great financial uncertainty. While many businesses shut down operations or scaled back marketing budgets, Bedside Manor experienced record results. From a conversion perspective, they saw a 52% increase in conversions year-over-year, with their Cost Per Acquisition (CPA) dropping nearly 38%. So not only were they getting more business, but they were attracting that business at a cheaper rate. 143% increase in ROI, year-over-year. Bedside Manor experienced steady increases in ROI month-after-month, with April and May during the peak of the coronavirus shut down yielding ROIs of 308% and 360%, respectively. By the end of this period of paid strategy, their ROI was 143% higher in August 2020 than it was the previous summer. The client also experienced a dramatic 292% increase in sales from assisted conversions. As a result of this dramatic rise in both conversions and sales, Bedside Manor expanded their paid media services with our agency to target more potential customers on a new platform.
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