PPC for furniture manufacturer

How to achieve a high ROAS* and then double it? Learn more from our case for a furniture manufacturing company from Estonia.

 Task: Increase income by 30%, and bring ROAS to an indicator of 1 to 10. Structure sales to plan steps for business development more confidently. Set up interaction and communication in the agency-client chain.

  Situation: Despite the presence of global players like JYSK and IKEA in the Estonian market, local businesses are the primary support in the furniture sales market. This has resulted in intensified competition to the extent that market shares for this company are redistributed practically every week. Approximately ten players compete for a smaller share of customers, considering the country's population of 1.3 million.

 Solution

Before the start, we audited the current state of affairs and analyzed the work of our competitors. Based on the audit and the analysis, we developed a completely new promotional strategy.

In addition to the digital presence audit, we analyzed the sales statistics together with the client to understand which category of goods to emphasize first. Based on this, we prepared media plans to start working in Facebook Ads Manager and Google Ads.

In parallel with the selection of keywords, targets and writing ad texts, our design department worked on creating banner templates that we needed for A/B testing.

High competition in the segment forced us to look for new options for business growth, so the process of generating new ideas did not stop throughout the cooperation.

 Results

 Results: During the first month of fruitful work, we reduced the average Cost per Purchase from 90 euros (the result of the previous agency) to 41 euros.

 Later, we continued to increase profitability and our ROAS from 1 to 6 (in the second month of cooperation) to 1 to 9.8 (at the end of the fifth month of cooperation).

 In general, we managed to surpass the client's monthly revenue record three times.

In the six months of joint work, we changed the promotion strategy more than once and tested many hypotheses, settings, and creatives. Thanks to this, the client was able to confidently plan the further development of his business and open new areas of his entrepreneurial activity.

Here's the revised text with corrected grammar:

 We were always in contact with the client (having brief meetings to determine the status of tasks at least twice a week and corresponding almost every day), essentially functioning as their outsourced marketing and sales departments. While we didn't directly communicate with buyers, we collaborated with the client to identify which products would have higher demand this season, what would be relevant in the upcoming week, and which products would be best not to advertise for a while.

Our task extended beyond creating visuals, texts, and successful targets. We also developed a sales strategy to ensure that the client achieved the expected results.

 Bonus: After optimizing our PPC processes and achieving the desired level of sales for the client (and even surpassing it!), we were entrusted with an order to provide SMM support for their Facebook and Instagram pages. Given our thorough understanding of the niche and the preferences of the target audience, we were able to swiftly develop an SMM strategy, engage a designer to create captivating visuals, and launch brand pages that had previously remained stagnant. As a delightful outcome of this decision, we established interactive communication with buyers on platforms they find convenient, enhanced the overall appearance of all the company's social media channels, and experienced a significant increase in Brand Awareness.

_{*ROAS - Return on Ad Spend, which measures the profitability of advertising expenses.}