Problem Overview
Client Background
- Type of Business: B2C and C2C luxury jewelry brand, both online and in retail locations.
- Business Model: High-ticket transactions, ranging from $3,000 to $150,000 per transaction.
- Acquisition Channels: Retail locations, email, SMS, phone, and online.
- Geographic Scope: Specific locations in the U.S. and international cities.
Business Challenge
- Goal: Unlock the digital channel to fuel growth and capture high-value, high-margin customers in a scalable way.
- Problem:
- The client was unable to expand acquisition to new channels due to difficulty generating quality leads from high-scale channels like Google and Facebook.
- Only a small percentage of jewelry and diamonds purchased contributed meaningfully to business profitability. The challenge was to find a way to capture high-value customers reliably.
Key Pain Points
- Difficulty scaling digital channels (Google, Facebook) for high-value purchases.
- Managing the complexity of high-ticket items with varying transaction volumes.
- Ensuring a scalable and replicable strategy for attracting high-margin customers.
Deployed Solutions
Violet Growth + Exactius Growth:
- Integration of All Investments: Combined offline and online investments to have a unified view of performance across channels.
- POS System Integration: Integrated with the retail POS system to track real-time offer value for high-ticket items.
- Server-Side Events: Created server-side events to optimize advertising channels based on offer value, not just leads or appointments.
- Breakdown of Investment Data: Enabled a breakdown of investment, offer value, and ROI data by location.
- Tracking Offline Investment Impact: Broke down offline investments (e.g., podcast, magazine advertising) to understand their impact in specific locations.
Attribution & Testing:
- Developed an automated system to pause investments when certain offices or regions had no available appointments.
- Built a weekly optimization cadence to allocate investment efficiently across channels and locations.
Key Results & Outcomes
Insights & Actions
- Focused on High-Value Transactions:
- CPA for high-value purchases was higher, so Offer Value ROI became the primary performance metric.
- Developed strategies to pause investment in areas with no appointment availability, optimizing channel investments.
- Optimized Channel Investment:
- Built a rhythm of weekly optimization to continuously adjust investment based on offer value and ROI.
Impact
- Revenue Grew 4x in 3 Years, delivering a predictable growth engine while staying within ROI constraints.
