How Red Moose increased new customer acquisition by 195% cost-effectively

-47%

Customer Acquisition Cost (CAC) QoQ

57%

Spend increase QoQ

195%

New Customer Acquisition (NCA) increase QoQ

Brand Story

With over 30 years of experience in the leather goods industry, Red Moose’s team has expertise in caring for, preserving, and restoring quality shoes and leather goods. Their handcrafted, small-batch products embody old-world quality, using only the finest materials and ingredients to deliver a luxurious experience to passionate shoe enthusiasts.

The Situation

Red Moose was looking for an agency to help bring down Customer Acquisition Cost (CAC) and help with post-production creative efforts. The previous focus had been on increasing average order value (AOV), but that inadvertently led to difficulties acquiring new customers. As such, the team looked to recenter its digital marketing efforts.

Services

Paid Social Paid Search Creative

After jumping onto the account, we identified 3 areas to drill down on.

1. Revamp Creative Strategy + Delivery

We devised a strategy to cycle new creative content on a weekly basis within a single ad set. We transitioned top performing creatives to evergreen once they reached a benchmark of $150 spend and at minimum, a 40% return on ad spend (ROAS).
Throughout this process, we discovered that Red Moose's audience responded favorably to raw content. Our creative team took this feedback and prioritized building a raw and authentic aesthetic for new assets. Going forward, our focus remains on identifying top-performing creatives and interests, emphasizing the importance of finding the winning combination that resonates best with our target audience.

2. Utilize catalog capabilities in Meta

We optimized our catalog and catalog sets to allocate spend strategically to specific SKUs. Through a tailored approach, we prioritized Dynamic Ads for Broad Audiences (DABA), allowing the campaign to learn and develop over time. The campaign gradually evolved into our top performer, yielding strong results. Currently, we are actively testing Dynamic Product Ads (DPA) frames to further enhance the efficiency and performance of our campaigns.

3. Acquisition Offers

As we initially experienced setbacks with acquiring new customers that were cost effective, we looked to create enticing offers to boost the volume of conversions. As a result, we utilized our top performing interests (golf) with a new customer acquisition offer, providing a complimentary gift with the purchase of a golf kit.
This promotional strategy enhanced overall performance, resulting in better Return on Ad Spend (ROAS) during that time period.
We’re currently partnering with the Red Moose team to identify other acquisition offers that would resonate with the end-consumer. One being the use of promotion verbiage that is on the forefront of email, in regards to receiving a 25% cash or credit with a first purchase.

Conclusion

The partnership between HYPE10 and Red Moose has proven to be successful! The collaborative efforts and shared vision have undoubtedly played a pivotal role in fostering a strong relationship between the two organizations. Both teams look forward to the future together.

Morderchai Hoffmann

CEO, Red Moose

“We've been thrilled with our partnership with HYPE10. Their team's expertise has helped drive awesome results for our brand. From planning and executing innovative campaigns, to strategizing and building out creative assets, they've exceeded our expectations from start to finish.”