How to promote a luxury product?
Learn how Google Ads increased the sales of Casada online store.
Characteristics of the company
The history of the Casada brand begins in Germany in the year 2000. After seven years the company decided to enter the Polish market. Currently, their stores are located in Gorzów Wielkopolski and in Tarnów Podgórny, near Poznań. Other than those, within the spa complex in Jelenia Góra, patients and members of the nearby community may visit the chain of Cascada Medical salons.
Since the beginning of their operations, the company specializes in manufacturing relaxing equipment – massagers and massaging chairs. They have broadened their offer to products that support the process of rehabilitation and other accessories, which help take care of the well-being and good condition of the human body.
Due to the high quality and attention to detail the company offers top-shelf products. The purchase price of a massager falls in the range of PLN1800-1900 and the cost of professional massaging chairs ranges from PLN 6000 to as much as 29800 for a single piece of innovative equipment with all the bells and whistles.
The problem
Preparation
Some elements had to be reimagined almost from scratch, as the previous campaigns conducted on this account were not effective enough. The standard modifications we carried out in the preparatory stage included:
- configuration of the Google Merchant Center account, with close care for such elements as the product feed, so that the products are displayed properly in the Product Listing Ads;
- implementation of advanced e-commerce analytics to measure the sales of products and implementation of micro-conversion in Google Analytics (by clicking on the phone number);
- configuration of goals through Google Tag Manager;
- preparation of ad texts for search engine campaigns;
- creation of remarketing banners for the Google Advertising Network.
Activities during the actual campaign
a) Campaign strategy
We started the actual work by personalizing a Google Search campaign based on keywords related to massage chairs and communicating their qualities as a luxury product. The choice of phrases was made after detailed consultations with the client and establishing the most engaged audience. This double-track approach is characteristic of our mode of conduct. In creating advertising texts, each time we rely not only on our own experience and skills but equally on the company’s knowledge of its product range and main sector of buyers.
b) Creating ad content
Next, we created banners aimed directly at people who visited massage chair pages within the client’s online store. For the visual creation, we used a paid tool, Bannersnack, which helps to make both static banners and video banners, perfectly adapted to the requirements set by Google Ads.
After applying the changes, among those companies competing with the phrase „massage chairs,” Casada’s brand ad ranks second on average. This is 60% of all impressions for queries related to this category. It is a considerable achievement that in as many as 20% of the cases, the brand promoted by us appeared in the highest position in the search engine.
After applying the changes, among those companies competing with the phrase „massage chairs,” Casada’s brand ad ranks second on average. This is 60% of all impressions for queries related to this category. It is a considerable achievement that in as many as 20% of the cases, the brand promoted by us appeared in the highest position in the search engine.
c) Personalization of the campaign
Due to the specific product being the subject of the transaction, resulting in a demanding group of buyers, we had to focus our attention primarily on tracing the path of purchase. Customers of luxury goods take a lot of time to compare offers. In a direct competitive clash, the company whose advertising messages appear to the person making the decision more frequently has a better chance of selling the product. That is why, among other things, in the case of Casada we increased rates in the group of ads targeted at people who have already browsed the brand’s offer. This is a considerable budget expense, but investment in this type of activity brings tangible benefits.
Our predictions turned out to be accurate and it was worthwhile to save some resources in this situation to try to reach one of the top positions in the search results. It was also a good idea to use an audience list for search engine advertising and product ads. The success of these activities made us all the more eager to decide on remarketing for the period of time spent by the most active users from the first session on the website to the moment of purchase.
d) Monitoring results
The first data from the analysis turned out to be as promising as it was interesting. It is worth mentioning the benefits of investing in paid search results. Among the 10 most frequent reasons for conversions, in 4 cases this success factor was crucial and contributed to the increase of the number of direct entries to the website. The double appearance of the „Referrals” label also deserves a comment. This is a result of creating an incentive in the form of a discount code that was displayed as a reward for signing up for the newsletter.
Despite the obvious successes at the consecutive stages of campaign execution, we still needed to find a way to integrate the data. Statistics formulated in this way help clients gain more autonomy in directing advertising efforts and speed up the process of interpreting results and drawing conclusions based on the information obtained.
To create clear summaries, we used the benefits of automation available in Google Data Studio, where the client has access to valuable reports and can supervise the progress of work on an ongoing basis. The summary includes keywords used and extracted directly from the Google Ads account, as well as data from Google Analytics. All of this makes for a clear summary with suggestions for further activities.
e) Effects of cooperation and support activities
Over time, the client informed us of an increase in chair sales. The good results encouraged the owners of the Casada brand to further invest in Internet advertising. This time, our task was to extend the campaign to support sales of other products from the offer on similar terms, as was the case with the massage chairs. We increased the budget and started working on the remaining items from the store’s assortment.
Along with improving the campaign, we also suggested, for example, adding links to subpages to interesting blog articles that can resolve doubts about buying particular products. We also implemented a new remarketing service on Facebook using dynamic ads, showing to the customer after viewing a given product. This way, the product of interest remained in the customer’s line of sight. The wide range of services provided was complemented by the implementation of a campaign based on video content.
The Facebook campaign proved to be a „bull’s eye”, which is confirmed by the results presented above. The average cost per view of the remarketing page was only PLN 0.41, but the return on expenditure on Facebook Ads was as high as 15 times! It is safe to say that at a low cost we managed to add another marketing communication channel that regularly encourages people to buy our products.
It is worth noting that during the difficult period between March and May 2020, we used incentives in the form of an additional discount (-20%) on already discounted products to boost sales. We implemented the special sale in both Google Ads and Facebook Ads, and then applied video remarketing in Google.
f) Unconventional methods
In addition to activities related to paid advertising, we also advised on the selection of media, where it is worthwhile to publish specialized articles containing mentions of the Casada brand. After a thorough selection based on the type of product, the target group, and its purchasing preferences, the company decided to publish, among others, on the Medonet website, as well as in the Wprost weekly.
In addition, the client has engaged in cooperation with influencers whose activities focus on the physiological industry and consist in promoting healthcare and beauty products. The client’s campaign could also be seen in traditional media, i.e. in TV programs from the „Pani Gadżet” series, broadcast on TVN Style and on VOD player.pl.
Summary
- The Casada brand achieved a return on investment in Google Ads of nearly 600%, which means that every dollar spent brought 5.5 Dollars in profit.
- Return on investment in advertising is even higher than the data suggests because sales also take place over the phone and orders are made directly with store employees.
- An increase in brand recognition leads to an increase in organic searches.
- Traffic from paid campaigns contributed to 30% of the overall website traffic.
- the period of December – February 2019/2020 (holiday period)
- until the period between March and May 2020 (a difficult period, including the pandemic, the sale promotion).
