Reducing Cost Per Purchase (CPP): Performance Marketing Case Study

Within 15 days we have almost:

1. 2.5X their sales from last month

2. Were able to bring down CPP from Rs. 184 to Rs. 101

3. And we are still experimenting as there's more roam to improve.

Learnings from this project:

1. Experimenting is Key (A common feature in all our case studies):
   

But that's how important it actually is. During these 2 weeks, we have only explored 3 categories. 1 was a major winner, 2nd was decent, the third didn't do well at all. We are yet experimenting on the 2nd and 3rd to get CPPs down again, from our learnings from the last 2 weeks. Simultaneously we have also started working on the remaining categories to see if we can get orders pruning in from all corners. (Most brands focus on one and forget - that's the biggest mistake you could do)

2. Ads are not the only things that need a fix:

The moment we got onboard and saw what they had been doing, we knew the offer needed to be changed up drastically, and that's the first thing we did. This alone had resulted in getting the CPP down from Rs. 184 to Rs. 130. 

After running ads for 2 weeks, we have now also recommended another test in their order flow, which we believe should help bring the cpp down a bit more.

We also tested different creative styles, although what they already had seemed to be working better than the new one, and reverted back to it.

3. Diversifying your product offering:

The drop in the last 2 days in the screenshot is a result of one of their best-selling categories stocking out. With a few more days for it to be restocked and a few days to get the testing done for the remaining categories, we are looking at a slow 3rd week. If we had already tested out the rest of the categories by now. this drop wouldn't have been so drastic. (Couldn't do it because of budget constraints)

4. Replicate what works best:
   

We found reels to be working really well for this client which they had never explored before and immediately got the creatives made for the same for remaining categories, and soon enough we had better CPPs all across the ad account.

The numbers you see below are purely TOF audiences, no MOF and no BOF, once we get them live, we expect the revs to see a bit of jump again.

Reason for not setting these up - less traffic is days prior to us joining in.

Keep experimenting while you scale up so you don’t see such drastic drops in between.

Hope you found these useful!