How This CPG Brand Got A 101% Boost In Automated Replenishment Sales With One Unconventional Flow
CPG – Better-for-you snacks
Boost In Automated Replenishment
The better-for-you CPG space is a tough one – with new competitors popping up every week.
Thankfully when this client came to us they already were positioned on Amazon and had a stable way to acquire customers for their DTC side.
Their 1000+ reviews and Forbes, Entrepreneur, Business Insider and Popsugar features contributed to the “trust factor” for this brand.
But with rising costs in Facebook and Instagram advertising their top-of-funnel offers were losing profitability.
Campaigns and creatives that used to work were turning ineffective and expensive.
They needed a way to retain the customers that they were acquiring for longer to improve LTV and mid-term profitability & cash.
That’s where we came in.
Designing A Solution
Our solution included multiple ways to increase their pre and post-purchase profitability. But in this case study we’ll be focusing on the latter. And specifically on the sequence we built.
After our initial audit, first we implemented a new revamped replenishment/win-back flow that educated and nudged buyers to refill their products.
We included a mix of content and smart offers that made it irresistible for them to buy – without sacrificing margins.
This content was automated during a 3-month period.
Then we A/B tested some of the emails inside the flow to make them feel more personal, with text-first emails that helped communicate the brand’s unique selling proposition and mission.
Finally, we optimized the replenishment emails inside the flow so that customers could replenish their previous order with a simple click – while offering up-sell and cross-sell opportunities to further increase AOV.
You can see a version of the flow – blurred for privacy.
This new flow leveraged many advanced Klaviyo features to make re-purchasing as frictionless as possible for their customers.
We also included some direct-response marketing principles and some of the findings we gathered during our customer research phase to address some motivations points and triggers.
After all our changes we saw a 101% boost in the revenue of this replenishment sequence.
In other words, every new person entering this new flow is now generating twice the revenue. And it alone contributes 5% of the total brand’s revenue.
(Imagine what having 8+ profitable flows could do for your brand)
Now, our client has an asset that will continue to work day and night for years – no matter the channel they use to attract customers – and keep the Purchasing Frequency high.
Additionally we set up the complete backend system for Recharge through Klaviyo to create excitement for product subscribers, automated a Loyalty Program through Smile.io to incentivize repeat purchases and referrals and much much more.
CPG brands (and consumable products in general) must leverage the high ROI channel that is email as much as possible to keep their customer’s lifetime value high and margins healthy.