Project

Is it possible for ROAS to exceed 40?!

Client

TRI O

Brief

Tri O has been in retail for 30 years and has a portfolio of over 25,000 consumer goods and home appliances, many of which are essential for every household. In addition to many stores, they also have a very successful online shop, and they wanted to improve the results of their online sales campaigns by increasing conversions and optimizing advertising costs.
Our task was to create a clearly defined plan for campaign adjustments to allow for more efficient use of the budget and to achieve the highest possible ROAS (Return on Ad Spend), which represents the return on investment in advertising and measures how much revenue was generated for every euro spent on ads.

Solution

The main challenge was to adjust the existing advertising system so that each campaign was optimized for conversions, with precise audience targeting and scalability. We focused on the correct campaign structure and budget optimization.

The first step was a detailed audience analysis and creating remarketing + lookalike audiences that we could use in the campaigns.

What made the difference was the so-called Campaign Budget Optimization (CBO) – automatic budget allocation to the most effective ad sets. This adjustment allowed the algorithm to favor a particular ad set (audience) and allocate a more significant portion of the budget, resulting in more conversions within that ad set.

Another critical aspect of the campaign’s success was the ads’ creatives, specifically the A/B testing of visuals and copy. We were surprised to find that for certain products, carousel and static visuals performed better than video, which is commonly believed among marketers to always produce significantly better results.

It’s important to note that the promotional prices were genuinely competitive compared to many fake promotions created solely for product promotion – which, over time, built customer trust. Users began actively following the promotions, and we targeted them with campaigns that showcased products they were already highly interested in.

Result

Through this approach and daily campaign monitoring, we significantly reduced CPM (cost-per-thousand impressions). Since we targeted users who were interested in the product on promotion, we used remarketing and lookalike audiences from pages featuring similar or identical products, resulting in a lower ad display cost. This allowed us to achieve higher impressions and unique users with the same budget.

The ROAS, which occasionally exceeded 40, resulted from all activities and the carefully selected strategic approach we religiously followed month after month. Finally, it’s essential to recognize that the campaign’s success was undoubtedly bolstered by the fact that the value of the products we promoted significantly exceeded the value of the ads, making the campaigns several times more profitable.