How an online family-owned retailer increased its revenue hundredfold
The pandemic in 2020 and 2021 created a tectonic shift in how businesses operate everywhere. Due to lockdowns, most customers were forced to use the Internet to find their desired products. As competition moved online, having a website with a phone number and email address was no longer sufficient. And most small family-owned, regional businesses that have relied on that traditional model for years have found themselves struggling. And it’s become apparent that the shift to e-commerce and online presence is here to stay. Those who do not keep up with the new trend will be left behind.
This case study is about an online family-owned firewood business. Their success is rooted in several excellent decisions, one of which was moving their business online. With our support, they created an e-commerce website allowing all customers to find, see and purchase their products with just a few clicks. At the same time, they embraced our comprehensive plan consisting of pay-per-click ads, organic results, and ROI tracking.
Prior to our cooperation, the company faced a number of marketing challenges, such as:
- Traditional industry – The firewood industry is a predominantly regional business. It caters to different types of customers, from young people who are tech-savvy and accustomed to online purchases to older homeowners who seek a simpler online shopping experience.
- Limited budget – As a small-sized business facing harsh market conditions, Luxury Wood wanted to focus on keeping a tight budget.
- Lack of marketing expertise and staff – they didn’t have the necessary human resources and know-how to devise and implement an up-to-date marketing strategy. Due to the size and family nature of the business, it didn’t make sense to have an in-house marketing specialist.
The company’s openness to exploring the e-commerce trend was just the start. Making the transition required a custom strategy with clear steps driven by a dedicated marketing team.
Together, we set out to answer the most important questions needed to set relevant goals and expectations. Then, we performed a detailed analysis of the current performance and client base. Finally, we outlined the best technologies to use, setting adequate timeframes. Our tailored approach was based on the following:
- Find the ideal customer – Knowledge is power. Imagine your perfect customer. How old are they? Where do they live? How much money do they spend on average? From years of experience, we already knew the answers to those questions, but we helped the business to pinpoint critical information and use it to reach customers online.
- Harness the power of pay-per-click advertising – Understanding and using the latest advertising technologies lets you show your products to all your customers, existing and new. You can appear on their mobile and desktop devices, track their purchasing behavior, and more. Targeted ads that convey the right message help you reach the right audience and get people engaged.
- Simple is better – Simplicity has enormous potential. It helps build trust and drive sales. Allowing customers to find, see, and buy your products in just a few clicks can scale profits by a factor of two, three, and more. In our partnership with Luxury Wood, a simple yet clear approach led to a 484% revenue increase in just six months.
- Track ROI (Return on Investment) – Know what works and what does not. Focus your budget and efforts on what brings the best results. By creating a well-planned and implemented ROI mechanism, we provide complete transparency. This eliminates the guesswork and helps you make data-driven decisions, thus optimizing your spending and increasing your success.
484% increase in sales
We increased the company’s total revenue by 484% over six months. It provided a much-needed boost to recover from the fallout of rising fuel prices, shrinking markets. The company hired additional people needed for further expansion.
Increased marketing budget
As a result of the successful performance, the company gained the capacity actually to increase its budget and scale the business altogether.
45% lower cost per lead
Thanks to a comprehensive nano-segmented pay-per-click strategy, we managed to decrease the average high-quality lead by 45%.
Outstanding ROAS 16:1
A well-executed advertising plan brought $126,000 while spending only $7,740. In other words, every $1 spent on pay-per-click campaigns got back $16.
Besides the purely financial gains, the company now has a well-established online presence, strong brand identity, and contemporary appeal.
We achieved these results using a simple, well-constructed marketing and sales plan, taking advantage of the latest technology and market know-how. All while giving the family-own business the peace of mind that comes from working tightly with an extended marketing team.
The recent shifts in the market have thrown small businesses into uncharted territory. As a result, people tend to overcomplicate marketing or sales efforts or resist change altogether.
But in reality, the fundamental goals have remained the same: Find the right customer, create trust, and sell your products. The difference is that now you do it online and on a larger scale. A straightforward, spot-on marketing approach can drive significant returns.
If you need experts with relevant experience to guide and support your marketing efforts, click the button below to schedule a free 15-minute consultation.