How To Lower Your Customer Acquisition Cost By 15% In Two Months

Healthier Home Products faced a significant pivot from brick-and-mortar reliance to e-commerce dominance in the rapidly evolving digital marketplace. This transition, accelerated by the unforeseen challenges of the pandemic, catapulted the brand from zero to a $6 million revenue powerhouse almost overnight. This case study will highlight how data from Wicked Reports helped drive C4 Social’s decision-making process for marketing strategies that ultimately ended up more profitable for the brand’s bottom line.

The Challenge: Transitioning to E-commerce in Turbulent Times

Previously rooted in the traditional retail spaces of Home Depot and Lowe’s, Healthier Home Products aimed to forge a direct connection with their customers through e-commerce. The shift was monumental, seeking not only to replicate but to enhance the customer relationship digitally. Customers were familiar with the products, but not the brand. Known simply as “CHOMP” inside of Lowe’s and Home Depot, the brand not only relaunched with a new name (Healthier Home Products) but also looked to push a variety of new products based on making “powerful cleaners safer” through their commitment manufacture eco-friendly, yet effective cleaning products.

Strategic Data Utilization with Wicked Reports

The core of our strategy revolved around leveraging Wicked Reports to gain a comprehensive understanding of our customers’ behaviors and preferences. This involved dissecting the nuances of ad placements, customer acquisition costs (CAC), and purchasing habits within a certain time frame. Our findings revealed a crucial insight: customers were purchasing from impulse and if they did not purchase within a three-day window, they most likely never would.

Innovative Approaches to Customer Acquisition and Retention

Our approach was not merely about tracking and adapting; it was about predicting and innovating. We scrutinized every aspect of the customer journey, from the first click to the purchase decision, emphasizing the immediacy of conversion and capitalizing on the impulse purchase tendency. This strategy not only improved our immediate profitability but also laid the groundwork for a sustainable model of new customer engagement and hopefully long-term retention.

Navigating Through Unpredictability to Achieve Stability

The unpredictable nature of the digital landscape, fraught with ever-changing algorithms and backend updates, necessitated a bulletproof, proactive approach to ad management. Our team’s combination of monitoring key performance indicators (KPIs) closest to the ad itself (CPMs, CTRs, etc) while in tandem analyzing Wicked platform data that matters most to us (nCAC, new customer acquisition vs existing customer, etc.) we were able to provide a bit more predictability and reliability within the ad account to ease our client’s stress over the turbulent ad buying space. 

The Results: A Testament to Data-Driven Marketing

The meticulous application of data-driven strategies bore fruit in 2024, as evidenced by a significant reduction in new customer acquisition costs ($45) and a stable average order value (AOV) ($65). These achievements underscored the effectiveness of our tailored, responsive marketing approaches, further exemplified by the remarkable increase in conversion rates and customer leads.

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