Souper Cubes, a company specializing in innovative food storage solutions managed their own advertising campaigns using Perpetua, a powerful data suite. Despite their knowledge, as one of the first customers of Perpetua, they continued to run into the same obstacles with their strategy year after year.
Those issues were:
Operating on Perpetua’s platform independently, Souper Cubes faced difficulties in efficiently allocating spend per ASIN. Many products were incorrectly grouped together in campaigns, curbing spend control and obstructing optimization.
A sizable chunk of Souper Cubes' revenue originated from ads, making it vital to streamline their advertising endeavors to counterbalance spend that ate into organic sales. The emphasis had to evolve towards non-branded/generic category targets, propelling growth and bolstering category visibility without jeopardizing net sales.
Traditionally, sales plummeted post-January due to cyclical patterns. Previous attempts saw an abrupt decrease in expenditure post Q4, prematurely truncating prospective growth avenues. The aspiration was to sustain budgets, leaning on advertising to offset the descent, albeit at the risk of reduced profitability.
Confronting numerous challenges, they decided to transition to Nectar's team defining a new strategy and running their campaigns while still using Perpetua. With Nectar's adept experience and knowledge with Perpetua, they were able to qucikly define a new path to success.
Nectar, tapping into the robust functionalities of Perpetua, devised a strategy:
Self-Service Shortcoming: Inconsistent overly simplified Ad Spend Management due to mixed ASIN groupings that restricted optimized spending. This was due in part to a lack of experience and the amount of time required to effectively segregate and manage more campaigns.
Agency-Led Solution: Nectar introduced a more granular approach by tripling the number of campaigns.
Each unique product was segmented, exploiting Perpetua's capabilities, and allowing for targeted spend on individual products. This new methodology provided:
Self-Service Shortcoming: Souper Cubes' heavy focus on branded terms left vast potential in category-centric advertising untapped.
Agency-Led Solution: Using Perpetua’s advanced targeting, Nectar redirected ad spend, striking a balance between branded and category targeting. This ensured that Souper Cubes:
Self-Service Shortcoming: Post-Q4, Souper Cubes' approach led to a sharp sales decline, unable to cope with the seasonality.
Agency-Led Solution: Nectar employed a two-pronged strategy:
Nectar's strategic intervention while using Perpetua, led to remarkable improvements for Souper Cubes' advertising performance and overall growth:
Nectar was able to double sales in each marketplace outside of the US.
The plan achieved an increase of more than $416k in additional sales.
Comparing Jan-Apr 2022 vs 2023 (the typical period of seasonal decline).
These impressive sales gains were achieved while maintaining a similar TACOS. The investment in Nectar paid for itself several times over in short order, while demonstrating sustainable growth without significant cost increases.
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