Background
Formuland Inc. is an online supplier of European baby formula committed to customer satisfaction, expert assistance, and providing the best selection of off-shore brands like HiPP, Holle, and Kendamil. Through a thoroughly vetted network of wholesalers, Formuland has shipped more than 500,000 orders since 2014. Supplying parents searching for formula alternatives in a time of shortage.
Key Metrics
6.3x%
ROAS
68.5%
Open Rate on Email
15.8%
Increase in Revenue
Why Logical Position?
Before partnering with Logical Position (LP), Formuland handled their online advertising in-house. But baby formula is a competitive industry. So, in light of supply chain disruptions and production shortages, they reached out to LP to learn how a full-funnel omnichannel marketing strategy could target additional opportunities and yield greater returns. After linking accounts with Formuland, our team performed a full account diagnostic, before officially signing them on for management services.
Goals
5x ROAS
Increase organic site traffic
Drive lifetime value with email marketing
Our Strategy
PPC–Divide and Conquer through Segmentation
During our account audit, LP identified opportunities to further segment their shoppings campaigns to understand which product categories performed best. We analyzed the historical data to gauge performance across all keywords, products, and brands, and used that to inform our targets.
Formuland’s previous account structure relied on phrase match keywords, but this practice wasn’t very granular, and didn’t target specific searches, capture trends, or control brand fluctuations. It was a classic case of putting too many eggs in one basket, and not taking advantage of the full suite of products the system offered. Our team re-structured campaigns by available brands and diversified ad spend to optimize where there were opportunities to bid more aggressively.
This gave greater control in the campaigns to handle inventory and performance fluctuations in response to market changes. Baby formula market prices are prone to suddenly rise and fall, and the campaign had to be nimble to react to competitors’ actions (e.g., if Target held a sale on Kendamil). The campaign could be segmented and split according to formula type (e.g., goat milk, organic, or plant-based formula); country of origin; infant age; and specific brand (HiPP, Holle, Kendamil, and others). LP gained a more granular focus, ensuring Formuland was targeting all potential variations and gaining broader coverage, allowing the algorithm to collect data on trends.
Hitting the Target through SEO
Formuland signed on with an intermediate national SEO package that included a mix of on-site deliverables to improve page indexing and search engine readability. This strategy included heavy revisions to all collections pages, built out to industry best practices (Title/Header/H1). This enabled Formuland to target industry keywords most likely to garner relevant traffic to their site.
Got Email?
In July 2022, our email team deployed an ecommerce basic campaign package on the Klaviyo platform to increase customer retention and drive lifetime value (LTV). To start, we built-out a responsive content calendar designed to deliver the most pertinent advertising collateral to audiences most likely to purchase.
This included a monthly newsletter featuring the most compelling client reviews, alongside supporting blogs, to increase product visibility of Formuland’s best selling brands. To further drive LTV, our automated campaign reminders sent emails to cart abandoners and users with an anticipated fulfillment churn (e.g., out-of-stock).
Our emails headlined the most in-demand brands by leveraging their unique value proposition, such as goat milk-based formula for cow milk sensitivity (lactose) and more digestible than soy formula, etc.
To continually grow new subscribers, we initiated visitors with a subscription prompt featuring exclusive offers and new sign-up incentives. Eventually entering profiles that engaged with the brand into automated email flows to keep Formuland’s brands and products top of mind.
Results
For Formuland, the winning formula was a full-funnel strategy. This aggressively drove new customer acquisition and market penetration in a time of transition. Establishing Formuland as the trusted source of European infant formula in North America, which further drove repeat purchases that have sustained the business. In doing so, we maintained an impressive 6X ROAS while increasing spend by 44% in total.
Powered-Up PPC! (February 2023 YoY)
- 21% CTR increase
- 13.56% increase in conversions
- 31% revenue increase
- 39% increase in impressions
SEO–Building Better Keywords
LP helped improve, gain, and reinforce high-ranking target keywords, and drove lower-ranked target keywords towards the top 10 positions on search engine results pages. Top 10 and overall keywords continually increased since the campaign started, with the help of LP’s onsite work. The number of top 10 keywords rose from 983 in August 2022 to 1,232 in January of 2023–a 25% increase.
Spreading the Word about Formuland!
On average, LP likes to see 30% or higher open rates or higher and 1 to 2% or higher click rates on emails. Through our partnership, Formuland has averaged an amazing 68.5% open rate and 2.54% click rate! The potential for lifetime value customers increased as well, with 315 brand-new subscribers to their email list within January 2023 alone!
Looking for the right marketing formula to ensure happy and healthy growth? Contact Logical Position for a free consultation!
