Scaling from €100K to over €500K a month

Background:

The activewear company had already achieved impressive results in promoting their brand online and offline. However, they faced several challenges that hindered their ability to scale their campaigns further. They were spending over €100,000 per month and paying a significant monthly management fee to their old agency. Additionally, their production line and fulfillment team had the capacity to handle more orders, but they struggled to spend more effectively.

The challenges:

The active wear company encountered the following challenges:

• High management fees and limited scalability: They were paying a massive monthly management fee to their old agency, which restricted their budget for scaling campaigns and expanding marketing efforts.
• Inefficient scaling strategies: Whenever the company attempted to scale their campaigns, their ROAS would decline significantly, limiting their ability to generate profitable results.


• Untapped potential on other platforms: Although they had great quality products and a strong brand presence, they had not explored advertising on platforms like TikTok and Snapchat.



The Approach:

To address these challenges and drive further growth for the activewear company, I implemented the following strategies:

• Restructuring campaign on Meta: I restructured their campaigns, placing a greater focus on dynamic product ads (DPA) and dynamic ads for broad audiences (DABA). This allowed for effective remarketing and broader audience targeting.
• Exploring new platforms: I expanded their advertising efforts to include platforms like TikTok and Snapchat, leveraging the opportunity to reach a broader audience and tap into new customer segments.
• Strategic budget allocation and bidding: I created funnels at the ad set level, allocating the correct amount of budget to each ad set. I ensured proper exclusions to avoid campaign and ad set competition, which helped maintain a stable cost per sale (CPS) and maximize campaign performance.
• Leveraging lookalike and interest-based audiences: I utilized lookalike audiences (LLAs) and interest-based audiences to target relevant potential customers and expand their reach effectively.
• Regular budget optimization: By gradually increasing the budget every 2-3 days, we were able to scale their campaigns beyond €100,000 while maintaining a great ROAS.



The Results:

Through the implementation of these strategies, the activewear company achieved exceptional results:




• Increased spending: Within a few weeks, they were able to scale their spending to over €400,000 in the first month and over €500,000 in the second month. Within approximately three months, they exceeded €1.5 million in advertising spend.
• Revenue generation: The campaigns generated over €28 million in revenue, reflecting the success of their marketing efforts and the demand for their high-quality products.
• Outstanding ROAS: Despite the increased spending, the company maintained an impressive ROAS of 18.72. For every €1 they invested in advertising, they generated €18.72 in revenue.
• Potential for further scaling: With the successful results achieved, the company is now eager to expand their advertising efforts onto other platforms, unlocking even greater growth potential.