$1858 p/m To $78,140 p/m In 30 Days. How This A Beauty Brand Is Taking Back Control From Amazon
Contents
How do we consistently take advantage of Facebook to help scale brands extremely quickly regardless of their current situation? Adding over $70,000 in recurring revenue within the first 30 days of working with an agency is no joke, luckily this isn’t our first rodeo.
It starts with the foundations, where are they now, and where do they want to go.
Around 5 years old, this established Amazon beauty business has been started and grown on the Amazon platform exclusively. From a product standpoint, the majority of the revenue was derived from a single product with only minor amounts coming from their other products.
The Problem
In the world of eCommerce, there is a big elephant in the room, Amazon. This amazing opportunity to sell your products but then something happens. You realize your in the lion’s den, at their mercy with no easy way out. They have all the customer data, they can pull your listing and you can be left without a business overnight. (Sadly we’ve heard of more than a few cases of this happening)
Also, only so many people come to Amazon per day, so unless you are driving traffic to your listings yourself there is a cap of traffic volume.
The Solution
To put it simply, to scale their brand via their own direct-to-consumer website using Facebook advertising. This ultimately will enable them to scale far beyond that of Amazon, diversify traffic, increase exposure and mitigate risk. The final goal for the brand? For Amazon to be the smallest revenue generator ASAP!
The Strategy
1) CBO Creative Testing
With the shift towards CBO, you must have strategies in place to reliably test ad creative. We have tested numerous strategies across different clients, in different niches, and the one we found works best you can see in the image below.
When testing creative it’s important to keep as many variables as possible static so that you can test and fairly as possible. Obviously the main variable we can’t control is Facebook but we can mitigate that by doing multiple rounds of testing if necessary.
In this case, we are keeping everything static except for a single, unique ad creative in each adset.
We then test based on impressions, not spend. We do this because we want each creative to get the same visibility regardless of CPM. We usually assess ad creative based on CTR after they have had around 1500-2000 impressions. (we break down why we do this in a different case study)
2) CBO Audience Testing
The very first batch of audience tests, if you have no data, are educated guesses. Although we didn’t have an ad account data to work from, we were able to get some insights from Amazon. Everything helps!
When it comes to testing audiences, the setup is similar to that of creative testing, but rather than the creative being the variable the audience is.
The eagle-eyed readers will have noticed that we have 3 proven creatives in each adset. This is important because it allows us to show a variety of ad creative to the different audiences, which in turn reduces the chance of us disregarding what might be a good audience because we didn’t use the correct creative.
3) Taking testing to the next level – Resonating with target demographics
This beauty brand appeals to a variety of demographics and because of this, once the initial ‘winning’ combinations have been found, which are usually of the broader variety, the testing can become more intricate.
For example, with beauty products, they can appeal to people from 18 – 65+ but do you think when a 50+ y/o women would see an ad with an 18 y/o women using the product and think that applies to them? Chances are no, however, if they saw a 50 y/o women using the product, the exact same product, chances are they would pay attention.
Trust me, if you’ve never gone this granular before then by reading this and implementing this strategy I can guarantee you will see high conversion rates and if you want to take this to ‘the next level’ then build demographic-specific funnels which will further increase resonance, conversion and ultimately, sales!
4) Increasing Conversion Rate
The belief is that organic traffic converts better than paid traffic, that’s because people are searching for you right? Now, I understand the logic, but it doesn’t necessarily convert better, in fact, is usually converts worse but the fact that it’s free’ (which we both know it isn’t) makes most people get all starry-eyed.
Here’s what gets us starry-eyed, is tripling the conversion rate when running paid traffic over organic traffic because our content resonates with the right demographics, who are interested in the product.
Aside from content resonance, we focus on reducing clutter on pages, increasing page load speed, and reducing the number of clicks to get the customer to their desired destination.
Month | Vistors | Orders | Conversion Rate |
Jan – Feb | 5359 | 60 | 1.11% |
Feb – March (30 days) | 65,975 | 2275 | 3.42% |
5) Broad CBO Scaling strategies
2019 a new ‘King’ was crowned by the name of ‘creative’. I genuinely believe that its a ratio of 80/20, creative/media buying. And if creative is King then board targeting has become ‘Queen’.
Once we had the creative and audience combinations, scaling becomes a matter of broad is best (if the product allows) which couldn’t be further from what used to be true.
The most successful setup we found was a single winning audience duplicated 5 times in a single CBO campaign with proven ads and a big budget. We would repeat this process for every ‘winning’ audience we found.
The Result
The results speak for themselves, we were able to generate over $70k+ in revenue in the first 30 days of working with us.
