BY INTERROGATING GRANULAR DATA , WE HAVE GIVEN CONFIDENCE IN ITS MARKETING STRATEGY , BUT ALSO UNEARTHED ACTIONABLE INSIGHT FOR

FURTHER REFINEMENT

AND ITERATION , A KEY TO

UNLOCK FUTURE GROWTH . tweaking and fine tuning to reaffirming our strategic thinking and testing hypotheses .”

Challenge # 3 – How can we tell if our new marketing strategy is working ?

Cue the next phase of the brand ’ s growth and it was ready to switch up its marketing strategy , but it was a big risk . What if return on ad spend ( ROAS ) was less efficient or channel performance is reduced ? It meant a high potential impact across all teams with bottomline revenue at stake .

The big change happened in February 2023 – the new brand and marketing strategy was launched . With Distil ’ s custom analytics and AI-driven customer data platform ( CDP ), the team felt confident it would see the outcomes of the strategic shift instantly and could pivot if necessary . The key assessment was to understand any differences between the two cohorts and create actionable insights in order to drive profitable growth .

Identifying the newly acquired customers

Having already worked with Distil for several months at this point , it was easy to identify the new cohort of customers arriving after this date . Customers first seen before January 31 and customers first seen after February 1 were divided into two custom segments and using Distil ’ s custom analytics , performance between both cohorts was analysed . Using the Distil CDP , customers were also further segmented based on a variety of conditions , such as attribution channel , number of products purchased and engagement levels .

Dive into product sales performance

Beneath the waves of this change in strategic direction , the impact on product performance could not be more pronounced . Items in the higher value , personal care part of the range became mainstays of customer baskets , with entry level products losing their previous podium position . It was clear that customer intent was to spend money where it mattered most . As a result , and supporting the original hypothesis , customer spending habits evolved as market conditions became challenging ( cost of living crisis ). The new cohort chose to spend money on considered purchases such as highquality personal care items and purchased fewer everyday essentials .

Eyes open on ROAS

It became clear that during this strategic shift , some marketing channels were showing their true colours . Paid search dominated as a highintent channel , with customers knowing what they wanted , they purchased products that solved a problem . Speculative channels , such as social , didn ’ t demonstrate such a strong return on investment . The most interesting result is that customers are continuing to repurchase ( sooner than they had previously ) via paid media ads . For example , analysis discovered that 44 % of customers use paid search for their first purchase and 35 % of those then continue to use paid search as their most frequent channel , repurchasing sooner than they had previously .

Surface the real impact on Customer Lifetime Value ( CLTV )

Whilst acquiring customers is important , so is understanding how long they will stay loyal . By comparing the lifetime value of customer cohorts before and after the strategic shift , it was clear that newly acquired customers displayed a greater LTV . A positive sign for Mancave ’ s marketing team and key to its DTC scaling plans . By having a clear , accurate picture of the customer acquisition cost and lifetime value , the team could confidently assign budget to different marketing channels knowing what their likely return would be .

“ By using Distil to compare performance across two different cohorts , we ’ ve been able to assist Mancave with its decision-making . By interrogating granular data , we have given confidence in its marketing strategy , but also unearthed actionable insight for further refinement and iteration , a key to unlock future growth ,” said Matt Abbott , E-commerce Specialist at Distil . �

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