Background.

Flowers For Everyone delivers farm fresh flowers in Sydney, Melbourne, Brisbane, Perth, and Adelaide, and has over twenty years in the floristry industry and a reputation as the number one retail and online florist in Sydney.


Challenge.

The shopping campaign in Google had been underperforming for a while, with an average cost per click that had become too expensive and as such, budget not being able to stretch. With that, the low volume of traffic coupled with a low conversion rate, meant that there was only a trickle of conversions (per day) from the shopping campaign, and at a really high cost per conversion. To the point that the campaign was not only unprofitable but that the cost had surpassed the revenue therefore generating a loss.


Solution.

Amongst other ideas to optimise the campaign, we identified that one of the major issues was that the average cost per click was too high for a typical shopping campaign. Shopping ads tend to drive a high volume of traffic, which in most cases means that the campaigns may have a lower conversion rate (compared to search campaigns). This is normal behavior which can be attributed to the fact that shopping ads are likely to attract users driven by price, who are also likely to consider several brands before buying.

As such, in order to make the campaign sustainable and profitable, the cost had to be reduced significantly.

Driven by our analysis of current and historical data, our approach was to reset the bid strategy and all the bids in the campaign. Additionally, we regrouped the products to align them with our new bid strategy and maximise chances to convert, but also maximise profitability focusing on the ROI we had forecasted for each category of products and items in the product feed.


Results.

The immediate improvement from September 2018 to October 2018 produced 295% more sales and 279% more revenue, whilst spending the same media budget. The cost of sale was also reduced by 74% and the ROI improved by 283%.

In the 3 months from October 2018 to January 2019, these were the improvements compared to the same period in 2017/18:

– The spend was reduced by 32% with only a very small drop in the revenue and sales of 9% and 6% respectively
– Returning a 27% reduced cost of sale
– Improving the ROI of the media invested by 38%

 


Testimonial.

“In the first 6 months that the Ambire team has been working on our SEM account we have seen a great return, with an increase in revenue of 37% year on year, whilst reducing the cost and improving our ROI. Ambire’s data-driven approach, focus on performance, and commitment are second to none.”
— Ryan Primrose