đź’° Scaling an Ecom furniture brand past 7 figures / year
Results In Numbers
OVERVIEW
When this brand came to us, they were running Paid Social campaigns under the direction of a different agency that struggled to churn out the conversion-boosting campaigns necessary to meet their revenue and ROAs goals.
After reviewing their online presence, the first thing we noticed is that their website was slow loading, hard to navigate, and didn’t fully celebrate the brand’s unique, most compelling attributes. Potential customers weren’t able to learn about the high-quality lightweight and ultra-soft materials, as well as the unique design backed by clinical research that makes the furniture such a perfect choice for people who care about quality, aesthetics, comfort and relaxation.
So, we knew we needed to step in and help them boost their brand, but we also wanted to make sure that we put them in a position where they could grow more sustainably in the future and wouldn’t need to hire an agency again and again as they outgrew each new iteration of their website and sales funnel. That’s why we first focused on making improvements that would be long-lasting—
After nearly 1 month of working hand in hand with their marketing team tweaking and refining the sales funnel, redesigning the website, creating new creatives ( Highly engaging lifestyle video ads, Testimonials, UGC, Unboxing… ) and building a highly converting backend sales funnel and Facebook Ad strategy… We finally started running Ads. And this is where the magic happened.
I’m going to break down the exact same Facebook Ad strategy we used to scale this brand past 6 figures a month into 3 stages – The initial Testing phase, the split testing & optimization phase, and the scaling phase.
STRATEGY
1- Initial Testing Phase
Our goal here was to find at least 8-10 profitable adsets and 3-5 winning creatives that we can rely on to consistently drive more qualified audiences into our funnel, and bring in profitable revenue from TOF (cold audiences), which was the first challenge as the prospection campaigns weren’t profitable before we start working together.
So, we started the testing phase with 3 CBO conversion campaigns to both cold and warm audiences.
+ TOF campaign (Prospection): 8 ad sets (1 interest per ad set), with a minimum spend on each ad set to take more control over the campaign and spread the budget equally.
+ MOF campaign (Reengagement): 3 different ad sets ( Video views, ad engagement, Facebook & Instagram page engagement…)
+ BOF campaign (Remarketing): 3 different ad sets ( Website Visitors, top website visitors by time spent, Add to carts, Checkouts initiated… )
For the creative side of things, we started with a wide range of new messaging angles, and different hooks which almost doubled the CTR and performance of the campaigns practically overnight (Compared to past results).
Initial Creatives structure:
• TOF: Product overview Video (Product, features and benefits / Attention, interest, desire, action ) + A lifestyle video combined with UGC (User generated content).
• MOF: Unboxing video + UGC Compilation video.
• BOF: Special offer video + testimonials.
We kept running all these 6 different video ads for a couple days then removed the ones that didn’t meet our KPIs goals.
At this stage, we have already set up automated rules that scale the best-performing ad sets, cut any ads or ad sets not breaking even on ROAS (Stop Loss), and reset ad sets that didn’t perform well but are still profitable on a given window. Sometimes ads get a purchase after they have been turned off by the stop loss (Late attributions), so we want to turn back on these ads.
2- Split Testing & Optimization Phase
Now that we had enough data on what types of creatives, audiences, demographics, and ad copies were getting the results we were aiming for, we kept optimizing the campaigns based on these insights and leaned our content creation strategy towards the highest performing pieces of creatives, and messaging angles… (Unboxing vs Close-up video ads, Product overview vs tutorial video ads, testimonials…).
Our goal here was to prepare an arsenal of winning creatives and audiences for the scaling phase. To that end, we went through a process of extensive split-testing on both the creative and the targeting sides. ( Split-testing videos, ad copies, headlines… And breaking down the winning ad sets by gender, age, and ad placements to achieve the highest yield of performance).
This stage consists of 3 main parts: Scaling budgets gradually by 20%-30% on winners, iterating creatives and audiences on a higher scale to optimize campaigns by small increments, and cutting off any ad or ad set not breaking even on ROAS.
3- Scaling Phase
After ongoing split tests & optimizations we have already increased the overall budget of all 3 campaigns from $6k a month to $12k and we were still getting a consistent 5x average ROAS.
So, we changed our targeted KPIs, increased our ” Scale Threshold ” (which is basically how much we are willing to pay to acquire new customers at scale), and started scaling the campaigns right away.Â
For scaling, we set up 2 new campaigns with $300 / day each and doubled the budget right after we saw that the campaigns were performing above our KPI threshold. It’s all that simple. Once you have enough assets to play with on the scaling phase, the game gets really easier.
In these new campaigns, we were using all the highest performing audiences and creatives from testing, and we also increased tests & iterations on the testing campaigns as this will nurture our scaling campaigns with more qualified audiences and winning creatives. Â
If you want to scale less aggressively, I’d recommend increasing your budget gradually by 25% every night that the campaigns are within your KPIs. And If you are using automated rules (Which you should be), make sure to keep track on your KPIs and adjust automated rules based on the results you’re getting.
Â