How we increased orders by 7x through WhatsApp Marketing?
Feat. Meatton

Meatton is an omnichannel meat delivery startup(servicing both online & offline). They specialized in fresh meats and particularly sea foods at affordable prices. Unlike most of its competitors, they focused mainly on fresh seafood and they made it possible with their effective logistics operations.

Problem

Meatton is a new brand it required more traffic to push the business further. Due to no repeat orders, the CAC(Customer Acquisition Cost) was high and the ROI is not meeting the client’s expectation.

Solution

They came up with exciting offers for this Diwali season. But, it required more than usual traffic to make the season sale a hit. 

In this scenario, we decided to use WhatsApp marketing since they already had a fair amount of customers and most of the customers abandoned the brand because of no retention methods in place.  

However, using broadcast messages we can only reach the existing customers.So, we changed their offer into a pre-booking offer. Also, to bring in more traffic, we created a customized shopping flow exclusively for the brand and promoted the offers through performance marketing and encouraged client to take traditional marketing measures(flyers, banners & pamphlets) as well. 

We then decided to stimulate curiosity in the prospects’ minds. So, we made a wait-list campaign to get the pre-book offer. We made this whole offer WhatsApp-Exclusive. Even if the customers get to know about this offer through traditional marketing measures, they’ll have to sign-up for the pre-booking through respective links.

Creatives 01 1

Designing a whole customized automated shopping experience combined with a tweak in their offers, it resulted in 7x times more orders compared to average till the previous month. 10x more enquiries than usual. 

Now, the hidden advantage is since we got the contact number of the prospects who willingly enquired, we can now particularly retarget them through WhatsApp broadcast messages. 

All this sound exciting to you? We can make your business do all these kinds of wonders. Our expert analysts and marketers are ready to engage! 

Let’s connect and discuss how we make your business grow efficiently.

How we increased repeat orders by 7x through WhatsApp Marketing? Feat. The Putchi

Putchi is a sustainable maternity clothing omnichannel(servicing through online and offline store) brand that aims to leave minimal carbon footprint with its products. They have intimate wears made of bamboo and clothes with earthy themed designs. They have a reputation in many countries.

Problem

They have a reputation in more than 2 countries. But still, there was

  1. Only a minimal number of repeat orders,
  2. The AOV(Average Order Value) was considerably low and
  3. The CAC(Customer Acquisition Cost) was more than optimal amount.

Solution

As they lacked repeat orders, we started from there by implementing WhatsApp marketing. Since they already have one-time customers, we got their customers’ WhatsApp number in hand. With that, unlike broadcasting the same messages to all their customers, we approached this the analytical way as they have women products and also maternal products.

Creatives 01

Based on the behaviour of the customers, we segmented customers through various advanced data analytic techniques with the help of ur expert analysts. This increased the number of repeat orders by 7x with AOV increased by 3x times.

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Impressed with the results, the client agreed to implement WhatsApp commerce where we develop personalized conversational Ecommerce store that would give a whole new experience which also increases the customers’ trust for the brand. With the increased trust and already existing brand awareness, we got the CAC under control by reducing it by 15%.

Let’s connect and discuss how we make your business grow efficiently.

How we increased ROAS by 11x for a linen brand? Feat. Airwill

Airwill is a D2C linen brand that sells linen products online for all home needs with massive discounts and at affordable price. When we take the accountability, the online store sales, their own sales channel was considerably low and the online store needs CRO(Conversion Rate Optimization) as well. 

The tricky thing is there was no sales data or data about their audience to use for further Ad Campaigns and eventually to scale up the sales.

Value Proposition

They manufacture linen products with a fabric that is less-shrinkage, anti-microbial, and low-colour fading. With all these, they have placed their products in the affordable range rather than focusing only on the premium segment.

Objectives

  1. To optimise Website
  2. To improve Sales Conversion Rates
  3. To increase ROAS (Return On Advertising Spend)

Actions Taken

1. Optimize Website(using CRO techniques)

Optimize Website (CRO)

We initially gone through the Ecommerce website throughly to check if the online store is giving the seamless and CROed experience to its users or customers. There we found out that their shipping cost was too high for a brand that sells affordable products. We suggested client to reduce the charges and it is sorted. 

The shipping price was shown right in the cart page itself. We suggested to move the shipping charge all the way to the payment page. So, that the customers won’t be nudged with the charges apart from the products’.   

We also found that the website was performing a little slower than average and we made essential technical SEO to make the website perform faster. Only these CRO efforts gave more than twice the conversions from website traffic.

2. Increase Sales Conversion Rate

Increase Sales Conversion Rate

Since the client had no data from their previous campaigns, without a choice we had to obtain data from scratch. To do so, we initiated test campaign in Facebook for a month from Oct to Nov 2022 to analyse the buyer’s pattern and identify fast moving products. 

From the test campaign, we categorised their products based on the sales.

  1. Top selling
  2. Other selling 

To know which type of Ad perform well for this niche, we then initiated 2 different campaigns for top selling and other selling through dynamic prospecting campaigns. With that, we understood that collection ads perform well in general regardless of the category of the product. 

With all the analysis of the buyer pattern, the campaign resulted in whopping 2.5x conversions spike.

3. Increase ROAS

Increase ROAS

With the Top selling product campaign performing well, the campaign optimized very well. To segment their audience to target them effectively in future, we created traditional prospecting campaigns based on interest-based audience and Custom audience. Out of these two, interest-based audience is the one that reacted better. 

Additionally, we started with Google shopping as well and it performed well by giving more conversions. As a result of all these efforts the brand got awareness on its own. So, the number of people searched for the brand name – “Airwill” for increased by 129% 

So, we initiated a search campaign using brand name as keyword to show case the offer along with the website. This way, the user is already searching for the brand and we show them the offer that increased conversion overall. 

We then set up Retargeting campaigns for the ones who visited the website based on top selling and other selling campaign results in Facebook. The Advantage campaign (the performax campaign of facebook) optimized based on its perfromance. It pushed the ROAS to massive 11x ROAS from normal.

Are you now dreaming about your business achieving all this? We’re always here to help you achieve that. Let’s talk business and make your dream come true, together.

How to choose the best Ecommerce platform for your D2C brand? 

The retail world is witnessing an unprecedented shift online. With the advent of remote work environments, current consumer demand and preference have inclined to online shopping sites. Given that, Ecommerce platform sales are expected to reach $7.4 million by 2025.

The majority of D2C sales depend on online platforms and marketing. This would require the brands to have a robust website. Here comes the Ecommerce platforms that are less-cody and more user-friendly to create a basic online store in a few hours without programming knowledge at all. The best Ecommerce platform saves your time and budget significantly.

With the increased usage of such platforms, the space has become crowded with many players with each having their advantages. Brands find it hard when it comes to choosing the right ecommerce platform for their brand. 

Let’s get an overall idea about how to choose the right ecommerce platform for your D2C brand or for any Ecommerce. Starting with…

3 most-popular Ecommerce Platforms

1. WooCommerce

WooCommerce

Built on WordPress, WooCommerce is an open-source Ecommerce platform for any brand to sell products and build expansive online stores. Businesses are required to install the WooCommerce plug-in to get access to its feature-heavy interface. While the plug-in is free to install, most add-ons come at a cost.

WooCommerce comes with built-in SEO functionality, giving D2C brands a powerful representation. The platform also offers secure payment processing options as extensions. While it is a highly flexible site, WooCommerce requires users to separately buy domain names, SSL certificates, and hosting.

2. Shopify

Shopify

The most popular Ecommerce site, Shopify is a multinational company with far-reaching service options for D2C brands. The platform supports brands with a simplified interface, extensive tools, and multiple themes available for use. The basic plans also include real-time data analytics showing a descriptive overview of sales and revenue figures.

Shopify offers a flexible SEO ecosystem, allowing customization of parameters. The site is PCI-compliant and highly secure to use. Its adaptive integrations and mobile-friendly experience make Shopify beneficial to brand success. It has a condition that the website itself cannot be hosted outside their built-in hosting service.

3. Magento

Magento

Magento is written on the PHP platform and comes in two versions. Magento Open Source is free to use and can be utilized best by beginners to build basic online stores. While Magento Commerce includes advanced features for extensive use cases. The professional platform controls order management and workflows for enterprises.

It offers several personalization tools and techniques to create a unique web presence for online stores. Magento Commerce allows omnichannel branding for a scalable development experience.

Add-on: Customized Ecommerce Development

Customized Ecommerce Development

Like any other static website, with detailed market research and business analysis, D2C companies can build customized Ecommerce sites. Ecommerce platforms do the job quicker and easier. But this, is for exclusive and extensive customizations. It requires extensive R&D and investments to build a robust and extremely personalized consumer experience from scratch.

What we Suggest

What we Suggest

Each platform offers exclusive benefits. There is no ‘ideal’ Ecommerce site for all. The choice of platform depends entirely on business requirements. Every platform has desirable features and characteristics that others might lack. A detailed evaluation of the cost and benefits is required to pick the right pathway.

To make decision-making simpler and add some direction, we’ll breakdown the pros and cons of each platform.

WooCommerce

Paying only for what you need, WooCommerce is an economical option. But the platform does not offer a robust marketplace for ideal sales with a large number of customer base. The high number of add-ons maximises functionality but dampens the flexibility in operations.

Shopify

Shopify offers a wide range of functions, with an all-inclusive platform for drop shipping and selling. It includes built-in CMS, themes, and blogging capabilities to amplify brand development. The platform is elastic and beginner-friendly, but it’s best to reach out to an agency for assistance. 

However, it drains your pocket more when compared to Woocommerce as it provides hosting services by default which cannot be opted out even if you want to.

Magento

With advanced features and extensive use cases, Magento falls on the more technical side. Leveraging its full potential requires significant expertise. However, when used right, the platform allows brands to develop a unique web presence.

Custom Developments

Building custom Ecommerce platforms requires immense time and money investments. While it is beneficial in brand building with hyper-customization options, the process is complex and problematic, to begin with

Final Thoughts

Catering to all needs of early-stage D2C businesses, Shopify is the best Ecommerce platform for selling and growth. The flexible interface and built-in themes, plug-ins, and the CMS deliver a user-friendly ecosystem. It does not require any staging and has the functionality to meet every business requirement.

However, are you in the place where you get confused with choosing the right Ecommerce CMS for your business? Let us help you understand it even better. Let’s connect.

How WhatsApp marketing Strategy makes a perfect pre-purchase flow ?

With 1 billion daily users, WhatsApp is an attractive platform for eCommerce businesses. The interactive platform puts businesses in direct contact with potential buyers, enhancing marketing efficiency.

The simple, user-friendly, and familiar interface organizes marketing funnels and purchase flows. With far-reaching benefits, it promotes live 1:1 conversations, fosters stronger relationships, and pulls up conversion rates.

With a higher open rate, WhatsApp increases the probability of sales. Additionally, this interactive platform holds highly customizable chatbots that come in handy for persuasive sales interactions. From welcome messages to post-purchase outreach, a winning WhatsApp marketing strategy includes them all.  

The 5-Step WhatsApp Pre-Purchase funnel proves to be highly effective:

1. Broadcast

Blog Prepurchase Broadcast

The top-of-the-funnel WhatsApp marketing strategy targets a wide range of audiences, striking a conversation with prospects. Broadcasting gives eCommerce business a step into the consumer’s mind.

Used for promotional messages, informative newsletters, or sales marketing, broadcasting creates a firmer pipeline of interested buyers. Replies from prospects bring them directly into a 1:1 purchase funnel, heightening the purchase probability.

Including chatbots and attractive promotional infographics, the process organizes complex marketing procedures and boosts efficiency rates. The simpler, unified interface eases funnel management and extends promotional capabilities.

2. Product Abandonment Nudge

Blog Prepurchase Product Abandonment Nudge

Following the top-of-the-funnel broadcasting, the funnel narrows down to a stronger, smaller group of prospects. Occasional informational messages, product insights, and sales messages keep the new funnel in touch with the brand.

In the 2nd stage, eCommerce brands interact with consumers in broadcasting and 1:1 chatbot conversations to advance toward the purchase. WhatsApp allows sending reminders and nudges to inactive and low-response clients, reigniting the purchase demand.

Delivering customer-friendly, personalized content is key to managing prospects at this stage. It’s vital to set up consistent outreaches, reminding consumers of their favorite products. Segmenting your database as per consumer categories empowers personalized messaging funnels and promotional messages.

With enticing messages and personalized nudges, the goal is to induce and maintain demand, until the product ends up in their cart.

3. Cart Abandonment Nudge

Blog Prepurchase Cart Abandonment Nudge

The prospect often forgets about their cart after adding products to it. Leveraging the contact information, eCommerce businesses nudge the prospects in question, reminding them of the abandoned cart.

The lower funnel WhatsApp marketing strategy targets warmer prospects, thus showcasing a higher conversion rate. The stage includes 1:1 conversations with buyers, actively solving their doubts, and responding to inquiries. Instant, back-to-back messages reel in prospects, reinforcing the product demand.

At this stage, the consumer requires personalized messages, reminding their cart.  Product-benefits texts, highlighting the benefits and uses of the item, and reminding the brand’s USPs boost conversion rates.

4. Automated Customer Support

Blog Prepurchase Automated Customer Support

As a highly functional platform, WhatsApp offers functional features. One such feature is automated customer support. With automated live chatbots and programmable replies, WhatsApp automated the customer service workflow.

The interactive AI chatbots heighten efficiency, offering active customer assistance 24/7. The automation extends before and after delivery, reducing operational costs on customer support and enhancing it.  It assists with instant, proactive responses and identification of issues.

5. Design Complete Flow

Blog Prepurchase Design Complete Flow

WhatsApp lets your brand offer end-to-end assistance to customers, and WhatsApp allows the creation of custom flows from broadcasts to welcome messages to transactional follow-ups. With built-in chatbots and an intuitive interface, the platform offers strong automation for the entire purchase funnel.

It organizes the procedure for eCommerce brands. The comprehensive flow design builds a smooth purchase experience ensuring in establishing a strong bong with the customers.

Conclusion

WhatsApp holds tremendous scaling opportunities for eCommerce brands. 80% of Indian SMBs say WhatsApp helps grow their business. As the online world expands exponentially, experts predict WhatsApp to become a stronger marketing platform.

The intuitive live chatbots and user-friendly interface make WhatsApp pre-purchase funnels highly impactful in closing sales. Users in the platform are more likely to make purchases, owed to the trusted interface and personalized marketing outreaches that make brands to earn their trust.

Curious to set up a personalized pre-purchase flow exclusively for your business? We’re just a click away. Let’s connect! 

How WhatsApp fits perfectly in cookie-less marketing strategies?  

In 2020, Apple announced fundamental privacy changes with iOS 14. While the news comforted apple users, it was a major hit for marketers and their digital marketing strategy.

The iOS 14 update in privacy settings allowed users to opt out of data tracking, inhibiting the marketer’s access to audience data. The cookies track when users revisit an application, aiding targeted ad campaigns and marketing.

As most users restrict tracking and sharing cookies, businesses face a lack of information needed for effective retargetting. Post the iOS 14 update, the number of users sharing their data have dropped from 70% to 10%.

The lack of third-party data, combined with a loss of navigational cookies, has forced marketers to move toward a cookie-less marketing strategy.

Relying on 1st-Party Data Sources

Blog 1st Party Data Sources

While the change in privacy settings affects how you collect audience data from third-party sources, your first-party sources remain strong. This is the information D2C brands collect themselves directly through their websites, CRM, or mobile applications.

With no choice, D2C brands must switch their digital marketing strategy to prioritize sourcing 1st party data. The information thus collected, connects you to your end-customers at a tolerable level to the prospects. 

On the positive side, since this doesn’t give a privacy-violated feel to the customers, there is a chance to foster your customers’ trust.

WhatsApp Marketing—Is it effective?

Blog WhatsApp Marketing—Is it effective

To target and create marketing funnels in the Southern Asia-Pacific region, WhatsApp proves to be highly effective. The success is owed to its high popularity, reaching up to 779 million regular users as of 2021.

Consequently, D2C brands can benefit by utilizing WhatsApp for their digital marketing strategy and creating post-sales funnels. The platform offers a wide variety of marketing activities, permitting a comprehensive 1st party marketing approach and still getting better results.

Building the WhatsApp Marketing Funnel

Blog Building the WhatsApp Marketing Funnel

Moving toward cookie-less marketing with WhatsApp sales funnels, D2C brands need to build a strong pipeline of prospects to target. The lack of third-party data in this scenario points toward a generalized strategy.

Brands should utilize a 3-step campaign to acquire customers.

1.ToFu Campaign.

Focusing on a high volume of leads, this is a broad marketing approach beginning at the top of the funnel.to potential customers to build brand awareness.

2.Prospecting Campaign.

Targeting a narrower audience, this step involves setting your brand as the ideal provider of consumer needs. Prioritizing Facebook marketing allows D2C brands to establish their presence and acquire trust.

3.‘Click to Chat’ Campaign.

The final step acts as the transition point from indirect marketing to the WhatsApp funnel. It initiates contact with potential customers, moving toward the next stage of sales.

The WhatsApp funnel thus created forms a productive alternative to retarget iOS users without using cookies or 3rd party data tracking. Gathering the prospect’s contact number drastically improves D2C brands’ remarketing abilities. Direct contact allows for selective and highly personalized retargetting, that further improves conversions.

However, WhatsApp conversions are a slower process. Marketing via Facebook and Google takes up to 10 days for a conversion, while WhatsApp averages about 30 days.

This longer conversion time only applies to smaller D2C brands. Popular, and well-established luxury brands will receive conversions quicker than the small D2C brands.

Who benefits the most through WhatsApp marketing?

WhatsApp is a customizable efficient tool for marketing. Customers typically react more positively to luxury brands they already know about and trust. When utilizing the platform with its effective marketing tools, these brands gain high conversion rates.

For instance, the WhatsApp chatbot, when programmed right, proves to be extremely persuasive in pitching a product or service. With precision marketing and strategic funneling, the feature enhances conversion rates, leading buyers to make purchases.

For D2C brands, WhatsApp is a gem to target iOS customers. It works around the iOS 14 privacy update, allowing marketers to contact the buyers directly and still gain 1st party information.

The process creates powerful retargetting funnels, without needing third-party cookies or audience data. WhatsApp marketing eliminates the problems created by iOS 14, reinventing the digital marketing strategy for D2C brands. 

Curious to know how WhatsApp marketing would look on your brand? We are just a click away to solve your queries with a FREE consult. Let’s talk! 

Onecheq(onecheq.co.nz) is an Ecommerce based out in New Zealand that sells both new and pre-owned gadgets and toys. Because of New Zealanders’ thrifty mindset, Onceheq sells used products along with new products. However, they primarily focus on gadgets, particularly gaming consoles and mobiles.

Since they started as a seller in a New Zealand auction and the classified site named TradeMe, they had an idea about running an Ecommerce. Let’s dig deeper of how we achieved 66x ROAS of this Ecommerce.

Value Proposition

To ship new and used gadgets around the world at an affordable price.

Objectives

  1. To increase qualified traffic sessions to the website through promotions.
  2. To increase the conversion rate.
  3. To increase overall ROAS (Return on Advertising Spend).

KPIs(Key Performance Indicators)

  • Ad expense
  • Engagement Rate
  • Traffic session
  • Conversion rate
  • Revenue
  • AOV(Average Order Value)
  • ROAS

Actions Taken

1. Traffic

We analyzed that Google Searches works better than any other channel since Onecheq sells products that are already popular enough. Hence, we decided to focus on the BoFu (Bottom of the Funnel) customers through Google Ads targeting those who directly search for the product(s).

Increase website traffic

In addition, we optimized the technical SEO of the website by removing the negative keywords from the website and optimizing its page title and product title to rank better in SERPs. When combined with Google shopping performance ads focusing on BoFu keywords, it resulted in a spike in traffic sessions by 16% and increased “Add to Carts” by 4x.

2. Conversion Rate

Conversion rate is one of the most important KPIs for Ecommerce, and Onecheq’s conversion rate needed to perform better than usual.

When analyzed, we identified that the conversion rate drops in the middle of the month that remains unchanged till the end of the month. This is because the average working person would spend only when he has more money which is mostly at the beginning of the month.

To eliminate this situation, we enabled customers to buy throughout the month by implementing BNPL (Buy Now Pay Later) feature.

We then further increased the conversion rate by retargeting ads.

We started with segmenting the website visitors based on the following behaviour metrics:
1. Engagement rate
2. Product page visit
3. Checkout visit

With the segmented customer data, we pushed retargeting ads that remind customers about their abandoned carts, changed product prices, and promoted the BNPL feature.

Increase website performance

All these measures increased the conversion rate by around 1% where the overall conversion rate spiked to 1.81%

3. ROAS

ROAS(Return On Advertising Spend) is the only metric every business owner needs to understand from their marketing measures. To increase this, we need to increase the average order value of the orders.

We increased the order values by promoting products that are of high prices. As we have already optimized the website traffic and conversion rate, only filtered qualified customers will see the ads that we promote, and that leads to the increase in ROAS by 66x.

Increasing ROAS

This resulted in an increased average order value by a whopping 70x with the Average Order Value at $680.

Looking to make your business run this good? Feel free to reach out to us for a FREE consultation on your business.

How to plot a Scalable Performance Marketing Strategy in 2022?

The internet has irrevocably altered the way customers search and purchase products. And it is no secret that this shift caused enterprises worldwide to embark on an innovative trail to advertise and sell their goods and services. 

Data transparency today allows marketers to tweak their strategies and collect data to a certain extent and enables performance marketing to drive more actions, tracks, and measures. It has become a consumer’s journey- from the target audience to becoming loyal customers. 

This article will give you an overall understanding of performance marketing strategy and stimulate you to craft a scalable performance marketing strategy to acquire more traffic, and eventually customers.

Types of Performance Marketing Campaigns

Many large organizations spend millions of dollars on marketing. However, you can achieve the same results by dwelling on the bottom line to be successful. And that is reaching the right people at the right time through efficient performance marketing campaigns. 

There are two types of performance marketing campaigns you can turn to gain more customers:

1. Push Marketing Campaign

Push marketing campaign

Push marketing is where you push your brand in front of the targeted audience through paid advertising. Push marketing strategies can vary based on the brand’s current marketing objective. 

When comes to push marketing, Facebook plays a major role that helps new brands to showcase their products to its prospects and it is an inexpensive alternative to Google. It charges in CPM (Cost per 1000 impressions), making it pocket-friendly. Facebook identifies customer affinity over a course of time and enables new D2C brands and Ecommerce to showcase their products to its targeted audience. 

However, there is a downside. Facebook does not know the exact customer to target. With the iOS 14 update, Apple devices don’t allow any third-party cookies due to their user-privacy concerns. Hence, we are unable to target iOS devices particularly. Since we are unable to target iOS device users, this poses a threat to Facebook’s algorithm.

2. Pull Marketing Campaign

Pull marketing campaign

In Pull marketing, your target audience is aware of the problem and is searching for a solution. As a result, your goal is to lure in potential customers when they explore options. Here, users emphasize more on product pre-purchase and search for more details. 

Google Search is a perfect platform to attract customers who are at the bottom of the sales funnel as they specifically search for solutions depending on their phase in the sales funnel. For instance,

  • Awareness phase: Consumer searches a problem as a query implying they are unaware of your product.
  • Consideration phase: Customers compare products as a query to decide on buying which product.
  • Conversion phase: The customer searches for your product name and details as a query.

Further, you must remember to work on brand awareness and prospecting advertisements simultaneously to yield maximum ROAS as you have to make your target audience aware of your brand before they purchase from your competitor. This is where push marketing comes in.

Types of Prospecting

Prospecting enables you to take your brand to your targeted audience. There are two types of prospecting strategies:

Traditional Prospecting

Traditional prospecting

Traditional prospecting uses static Ad creatives to acquire or retain existing traffic. You advertise your product to new customers who have previously used or visited your website and made some activity. It helps in improving customer engagement and retention but is not as conversion-centric as dynamic prospecting.

Dynamic Prospecting

Dynamic prospecting

Dynamic prospecting refers to advertisements that dynamically pull product from an Ecommerce for promotion. It’s effective for retargetting campaigns as it directly shows the product that the prospect saw earlier on the brand’s website intending to ramp up the conversion. It is more of a conversion-centric type of prospecting.

How to develop a Performance Marketing Strategy?

strategize performance Marktng

Performance marketing is where you pay only whenever the chosen action is made, whether it be a sale, lead, or click. There is no single or perfect way to strategize performance marketing for all the brands at once, given so many campaigns and channels available. But gearing up the performance marketing strategy will be easier when you follow the primary tricks in the beginning. 

Moreover, increasing brand awareness will gradually reduce CAC (Customer Acquisition Cost). You need an accurate and reliable platform for tracking conversion. But why do we insist? Because your website might record only the converted customers and leave the visitors that have taken other activities like exhibiting interest in a specific product or adding products to the cart. 

As a result, you will unknowingly overlook the potential customer and only receive data on converted customers of your brand. Therefore, you must set the conversion tracking correctly and precisely so that the campaign optimizes efficiently.

Verdict

Your brand’s ROAS (Return on Ad Spend) and ROI (Return on Investment) will significantly increase once you meticulously walk through all the basics mentioned. With everything in your favor, only one thing remains- budget planning. Now, if the budget is all that restricts you from enhancing the strategy, worry not! You can read our previous blog to learn the best time to enter performance marketing with your D2C brand! 

Or even better! We’re here to do apply these to your brand and to show you in firsthand.

5 Types of online shoppers every Ecommerce & D2C brand should watch out for

Customers are king. More so when your business caters directly to end consumers. D2C brands and eCommerce sites will encounter many customers in their journey, and it isn’t easy to please them all.

About 63% of consumers expect companies to understand their needs and expectations. Given the wide variety of vendor options, consumers do not take long to switch their preferred brand after an underwhelming experience.

Failing to understand consumer sentiment and provide a personalized experience creates uncertainty in the consumer’s mind. The result is a loss of potential buyers as cart abandonment rates are about 70%. The information we are about to share will benefit their experience and increase your overall sales.

5 types of online shoppers to be aware of

Strong customer relationships are crucial to developing and scaling a D2C brand. Businesses lose $75 billion annually only because of poor customer experience. Online shoppers are not likely to repeat purchases from a brand after a single bad experience.

D2C brands must tackle different personalities and preferences (based on their niche) to maintain a healthy good customer relationship.

A typical online store encounters five broad categories of shoppers.

1. Discount Seekers

2 Discount Seekers

Everyone loves a good bargain, but discount seekers need a discount to make purchases. These online shoppers prioritize rate drops when compared to your product. They derive happiness from the money they save. 

Attracting this segment of shoppers requires extensive attention to marketing and work on your pricing. Launching discounts and coupon codes will grab the attention of this type of buyer and make them attach to your brand.

2. Experience > Product buyers

3 Experience Product Buyers

For some online buyers, the shopping experience matters more than your product. Therefore, they are ready to pay higher rates for a better experience. These shoppers look for a personalized experience that excites them while the brand caters to their needs.

Converting these buyers requires you to focus on your website experience and post-purchase customer experience. Only then a successful conversion could happen. Improving the UI, website speed, and other CRO measures are the foundations of an enhanced user experience.

3. Impulse Buyers

4 Impulse Buyers

Impulse buyers need attractive products. If they see what they like, they’ll make the purchase. These online shoppers do not dwell on research and price comparison. You get a conversion when they reach your store.

They can be triggered via fun & interesting products and/or new to the market, eye-catching websites, and attractive ads. You can catch their attention by highlighting the best feature of your product.

Once you convert these types of buyers, the upselling and cross-selling opportunities rise as the impulse buyers are highly likely to respond to cross-selling strategies.

4. Window shoppers

5 Window Shopping

Window shoppers are bored. They enjoy browsing, but that’s it. These shoppers might make small purchases occasionally, but they derive their satisfaction mainly from window shopping. 

Your products and user experience have minimal influence on their behavior. They will be filtered out as unqualified traffic by campaigns.

However, providing a simple interface and smooth checkout system might incentivize them to purchase more often. The convenience of the procedure gels well with their browsing, moving them toward a purchase. This type of shopper won’t require an exceptional shopping experience or personalization.

5. Tactical buyers

6 Tactical buyers

Tactical buyers purchase only when they really need the product and not just to browse. They have done their research. Their decision is quick, simple, and straightforward. These buyers scout the market and check for competitive prices before making their purchase decision.

Tactical buyers understand the product and give higher importance to the product than the experience. Preparing personalized marketing frameworks and advertisements for this segment reels more buyers with a higher conversion rate.

Conclusion

Regardless of the industry, every niche would have some of these types of shoppers. It varies based on the industry. Analyzing the types of shoppers your niche has and acting accordingly can reduce unnecessary bulk expenses spend on ads.

If you think it’s hard to get the grip, we’re just here to do the needful.

Should a new D2C brand really go for Performance Marketing? Find here !

In a time where people are shopping online more than ever, the D2C (Direct to Consumer) business model offers a perfect opportunity to open the door for potential consumers to showcase your products and convert them into lifelong customers. 

Unfortunately, you can easily miss the golden opportunity if you stick only to the traditional marketing paradigm. Performance marketing comes as an ideal solution to promote your products wherever your targeted customers are on the internet. 

Performance marketing is a prime choice of many D2C brands. However, it is not a suitable strategy for a D2C brand in its initial stages. Let’s learn what performance marketing is, and as a D2C business, when is the right time to turn to this strategy.

What is Performance Marketing?

Performance Marketing

Performance marketing is an umbrella term that has multiple definitions. In simple words, you can describe it as all the online marketing activities where advertisers pay selected marketing platforms every time a specific and measurable action is performed.

Drawbacks of going directly to Performance Marketing

Drawbacks Performance Marketing

When a pre-existing brand adopts a D2C business model and enters the market with a different name, a high probability is that the customers will not recognize and purchase from the brand.

Investing in performance marketing will lead to an increased CAC (Customer Acquisition Cost). CAC includes every marketing cost involved in acquiring a customer. It will directly influence the ROAS (Return on Ad Spend) and decrease it. However, it is considering COGS, we recommend the ROAS need to be 5x or 7x to make profit.

Let’s understand it better using an example. Assume that a D2C business has the following metrics,

  • Selling Price – Rs. 300
  • Revenue (including COGS and Shipping Cost of Rs. 200) – Rs. 350
  • ROAS (Return on Ad Spend) – 1.5x

 Here, the ROAS could be normal. But, the Return on Investment (ROI) will be negative for the brand when the COGS is considered, which indicates that the sales are not profitable but a loss for the brand. 

If you are about to start your initial D2C market days, you might encounter performance marketers claiming widely they give 2x ROAS. But, in reality, is it a preferable rate? Of course not! The higher the ROAS rate, the more the profit the brand gets. But, there is a catch. 

Although there may be raise in ROAS, since the COGS are high, you will not be making any profit on the whole. COGS is the indirect expense you incur other than manufacturing, like delivery charges, promotion costs, return costs, etc. 

For example, Facebook requires time or volume of traffic to learn your niche’s behavior. You can get results in 6-7 months by investing a heavy budget in the algorithm. This is about one of the platforms where your customers are. If your customers are on more then one platform, the required budget will be more.

An ideal strategy for D2C brands

strategy for D2C brands

By 2023, there would be an estimated rise to $44.7 billion in D2C sales. D2C is a promising opportunity, but it is critical to enter once you have laid down a deeply analyzed plan to ensure your brand’s success. Going in to it without thorough market research can adversely affect your budget.

If you can be generous with budget, you can invest both in performance marketing and brand awareness from the start. It will take a short time, a minimum of 3 months, to occupy a market share. Although the CAC will be unreasonably high, it will eventually decrease at a point in time. However, you would need to prepare a considerable budget until then.

You can deliberate over the second proposal if you wish for sustainable brand growth. To get the ball rolling, you can begin from a marketplace and then seek assistance from an in-house brand strategist 

Option 1
For instance, you can invest 20% of your marketing budget in performance marketing and a small percentage for building your brand. 

Option 2
You will use 80% on brand building and pour the rest into marketplace promotion. 

You might observe traction in your business in the next 6-months if you utilize adequate marketing efforts. However, it is preferable to partake in multiple marketplaces. However there will be no sales data for the sales happen in the market places or through physical store placments– a downside for your newly set-up D2C. 

You can resolve this issue by creating your online store and meticulously maintaining data per your suitability, and then you’ll get your customers data to improve shopping experience. 

Since you have established your brand sustainably and created notable brand awareness with marketplace promotions, the loss will be significantly lesser and the CAC will be minimal. However, all this would require at least a year of time and effort. 

If you’re unsure about how to choose your first or even next product, read it here to have a firm understanding over it.

How to select the right product for your D2C brand ?

Recent years have reshaped the business world. D2C brands and eCommerce stores are revolutionizing traditional business activities. They directly communicate with the end-buyers, eliminating the tier structure in business. While 82% of buyers admitted to shopping from D2C brands, becoming a D2C brand is good.

However, the growth in the D2C market is challenging. India alone has approximately 800 D2C brands. To purchase your product, consumers must have a demand for your product, trust the brand, and only then sales happen. Let’s understand how to select the right product for your D2C brand.

The heart of D2C branding - Value Proposition

heart of D2C branding

When manufacturers with a fixed client base turn into D2C brands, they struggle to achieve recognition. Their audience treats them as new players in the industry with a generic product as they would be unfamiliar with the brand.

Each product and brand must have a unique value proposition. Unlike traditional markets, competitive pricing alone doesn’t work in the D2C market. Instead, marketers must provide a unique addition that addresses the consumer’s pain point.

Lack of originality and creativity in the product points towards weak market research. Acclimatizing this new era of D2C business requires brands to offer a USP (Unique Selling Point) with their products.

Exporters turned D2C brands... Beware!

Exporters turned D2C brands

Both manufacturers and exporters follow a fixed business model. Exporters don’t undergo an in-depth understanding of the end user or extensive marketing since they cater for a selected client base. The B2B industry needs help understanding the D2C environment.

For D2Cs, research comes before the product. They follow an intricate STP (Segmentation Targeting and Positioning) strategy before narrowing down on their product. The detailed model involves research to understand who you market your product to and how.

A thorough competitor analysis and market demand identification will aid D2C brands in identifying their value proposition. The product should either solve a problem in the marketplace or add to an existing solution with a fresh outlook.

Pricing your product

Pricing your product

1. Non-FMCG industry

Non-FMCG D2C brands selling luxury or rare purchases need a 100% margin to survive. High margin is required because these brands face extreme costs in the introductory stage as the Customer Acquisition Cost (CAC) is high along with the indirect costs(logistics, packaging, etc.,) for the brands. The Non-luxury brands take the most hit because, at some point, they have to come up with competitive pricing as well.

Contrastingly, CAC is lesser for brands offering luxury items. Buyers for this market are constricted, and targeting the market is more cost-effective.

2. FMCG industry

Pricing in the FMCG industry is characterized by high margins and increased Average order value (AOV) strategies. Therefore, the product should offer an appropriate value proposition and fulfill significant consumer demand.

Generally, FMCG businesses use attractive bundle offers and pricing to boost the AOV and reduce the CAC. Consumers are more likely to buy these smaller items in a bundle since they use them regularly and hence, for restocking.

Life-saving strategies for D2C branding

strategies for D2C branding

1. When introducing a new product

The new product should fall under a sub-category of your existing product. Launching new products this way, the brand doesn’t need to spend much on CAC as it can cross-sell the new product to its existing customer. 

Launching products this way is named the Bowling Strategy. Products introduced this way remain in the same market without affecting the sales of the existing products.

Example: If protein powder is in the existing market, the new product can be protein bars or snacks made with protein powder.

2. When holding a market with existing players

Before entering a market with existing players, the product’s life cycle should be carefully noted.

Every market follows the Gartner Hype Cycle. The item meets incredibly high but short-lived demand initially, ending up with a stable, slow rise in demand. D2C brands entering the market, particularly after this stage need a unique Value Proposition not only to stand out but to survive.

Example: Printed T-Shirts. The market was new in the 2010s and had high demand. It followed the curve and increased exponentially, dying before the 2020s. Now, companies are collaborating with different movie franchises to stand out.

3. When diversifying an existing market:

Expert marketers often follow the Blue Ocean Strategy to enter an existing market and open a new demand segment. The model involves stepping into the market with differentiation and lower costs as well. This unique proposition creates a new market space within the existing one.

Example: We, at Onceptual Business Solutions, stirred up a new demand for our client Befli – A Women’s loungewear brand, by identifying a micro-category within their brand. Our experts studied their nightwear collection and discovered the “Plus-Size” market. Since this micro-category has minimal competition and high demand, it turned out to be a great hit. 

Want to begin an interesting and profitable journey for your brand too? Let’s connect!