Driving a 130% ROAS Improvement In The NightWear Category - Shopbloom

48%

Reduction in Cost/Conversion.

Prior to Xpert, the ROAS our best performing campaigns on facebook was near break-even. Post leveraging their platform & having sharpened our Ad targeting we saw a strong uplift across all important metrics. - Aarti Mittal, Founder

Background

Shopbloom is a DTC clothing brand that has focused on stylish and trendy nightwear. The brand offers an extensive selection of nightwear for men and women, including night suits, nightshirts, pajamas, shorts, robes, and kaftan suits, as well as a selection for children featuring popular cartoon characters such as Peppa Pig, SpongeBob SquarePants, and many more. Shopbloom was seeking to reach potential customers using interest-based audience targeting on Facebook and made its ads visible to people who were interested in clothing, fashion, and luxury items. It was noticed that many of the people to who the ads were shown did not become customers of the brand, and thus Shopbloom’s focus changed to improving their audience targeting.

Audience Strategy Undertaken

Under its previous method of audience targeting on the basis of interest, it was seen that a wider reach did not necessarily translate into higher sales volume. In other words, Shopbloom’s ads were being delivered to people who would not have the requisite purchasing power for its products, and as a result, valuable ad impressions got wasted. Instead, Shopbloom wanted to target only the people who have made purchases of similar or complementary products in the past, and thus, by filtering its target audience, sought to improve the overall response. To do this, Shopbloom joined the Xpert platform.

Results Achieved:

By using Shopbloom’s ad set to target audiences on the basis of their purchasing history rather than their interests, it was observed that the ROAS increased from 1.3 to 2.98, and the cost per conversion dropped by 48%. Shopbloom had a conversion rate of 1.39% and on leveraging the Xpert platform, its conversion rate increased to 2.89%

48%

Reduction in Cost/Conversion.

107%

Click Through Rate Improvement

130%

Increase in ROAS

Inferences & Insights

Xpert was built on the hypothesis that only 2% of India’s 400 million internet users are the core purchasers of DTC products. Therefore, by targeting only the core DTC purchasers, who do have a purchase history of such products and extrapolating their interests as well as their intent, it has been shown that advertising to such audiences is much more likely to result in conversions.

Testing Methodology

The audiences were developed taking 3 targeting criteria into consideration, namely past product purchases, customer intent, and customer types. In order to identify customer intent, people located across Tier 1 cities in India who are interested in the fashion industry and those interested in luxury products were identified. The customer types identified were those seeking to purchase baby and toddler products as well as men and women seeking to purchase premium and trendy clothes. On the basis of these findings, Xpert developed an audience for Shopbloom to fine-tune its targeting, so as to bring about an improvement in audience response.

Scaling Beyond

Shopbloom will now be testing out unique audiences for its various product lines serving kids - leveraging our customer type targeting towards moms and parents.

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