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Case Study: Increasing Holiday Sales While Lowering Spend
“Our paid search revenues had stagnated and our original agency couldn’t drive growth without sacrificing the bottom line. We were amazed when Wpromote was able to grow our revenues and actually lower our ad spend for every dollar we made.”
About Wine.com
The #1 rated online wine store for the past six years and a top 500 Internet Retailer, Wine.com offers a great selection, low prices, convenient delivery, and helpful information on their easy-to-use ecommerce website. At Wine.com you “get the facts you need to make easy, informed decisions about buying wine for yourself and as a gift.”
Situation
Wine.com had reached a plateau with its PPC campaign. Its previous agency said the brand was "maxed out" in terms of ROI; in other
words, had reached a point where its keyword mix was such that adding new terms and increasing its budget would negatively affect cost-per-acquisition (CPA).
Challenges
Wine.com wanted to skyrocket conversions, and was ready to spend considerably more on PPC. With a “maxed-out” campaign, however, we had to be careful about how we increased spend. An increase in CPA or decreases in ROI were two things we worked hard to avoid. These challenges were magnified in terms of increasing spend during the peak holiday season.
Strategy
The first thing we did was analyze Wine.com’s campaign history. We looked at ads, keyword lists, click-through-rates, cost-per-click (CPC), conversions, and spend to identify areas where improvement was possible.
Once we had a grasp on the existing campaign, we increased Wine.com’s keyword lists in Google and adjusted bids and spend to ensure the best possible chance of boosting conversions without negatively affecting CPA or ROI. Next, we expanded their presence in Yahoo and MSN by adding keywords and increasing spend, creating even more opportunities for sales. Finally, once December rolled around, we doubled-up our efforts to capitalize on what is Wine.com’s most lucrative month.
Results
Through ongoing keyword analysis and optimization, we increased Wine.com’s monthly spend by 142% while achieving and maintaining ROI over 1,000%. Likewise, since taking over the campaign, we increased profitable spend during peak holiday seasons by 352%.
The bottom line? Over $1 million in additional holiday sales with returns of $10 for every $1 spent.
Consumers Searching for Veuve Clicquot champagne are delivered to Wine.com’s site to make a purchase.
