Upon kicking off the partnership, we focused on 3 main areas:
1. Optimize acquisition channels
We recommended shifting more focus to DTC platforms such as Meta, TikTok, and Google.
This strategic reallocation of resources resulted in substantial success. We maintained CAC around $70, all while increasing monthly new customer acquisition by 50%.
2. Revamp Creative Testing Framework
Our team partners with Ten Thousand’s Creative team to conduct weekly creative sprints.
As part of this, we sift through high performing creative assets across the apparel landscape and share with the team. Favorites are compiled into a dashboard on Foreplay so we can quickly review assets across the industry. These sessions serve as means to ideate on creative concepts and ensure we stay ahead of the curve.
Creative ideation formed through these sessions quickly turns into output. Upon receiving new creative assets, we thoroughly test and optimize before scaling. We partner with Motion, a creative performance analytics tool, to quickly identify high performing creatives. Implementing this iterative testing process has helped us achieve 20% increase in click-through rates and a 25% decrease in cost per traffic.
3. Identify unique audience cohorts
Based on analyzing consumer behavior and existing Ten Thousand data, we identified that there were materially different consumption preferences across Ten Thousand’s customer base.
Essentially, we were able to create very specific customer cohorts, which were mainly differentiated by preferences in shorts.
With overall account efficiency in mind, we curated both our audience strategy and creatives in order to better speak to these cohorts. By making our advertising efforts more personalized to these unique audience cohorts, we saw an increase in conversion rate by 21%
In addition, we also found that diversifying our audience strategy and product mix allowed for better stabilization of revenue, with a wider range of SKUs being promoted.
