Spedire.com: +19% Conversions with the same budget invested in 1 month
How much should I allocate in each media to maximize my ROI?
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Introduction:
Spedire.com is one of the biggest shipping service in Italy, they help eCommerce to simpligy their logistics by providing a platform to book and measure their shippings.
Problem:
As a business born and raised during covid had an incredible boost in growth that made the company more than double its marketing investments.
From investing just on google search, started investing on Facebook, programmatic, bing, youtube, display, performance max, etc.
After multiple conversion lift experiments we noticed that the attribution was broken, 60% of the conversions went into a “Direct” Source.
How can you plan your advertising budget if you can’t know what ROI got in the past?
How Can I better allocate my advertising budget to experience incremental sales?
Solution:
The marketing team leveraged Cassandra MMM tool to build a Marketing Mix Model for the brand.
They've been able to measure the incremental ROI of each channel and detect the channels that were wasting money.
Thanks to the MMM the marketing team detected two channels in which they were overspending by looking at its diminishing returns.
They then used the Cassandra's Budget allocator to receive a personalized media plan to maximize their ROAS and the result was a suggestion that removed some budget from Meta ads and reallocated it to google search and google video.
This new allocation increased their conversions by 18.7% in the next month.
Impact:
In 1 one month, just by modifying the budget distribution we’ve been able to obtain:
- +19 in the number of transactions
- +42.21% in profit
- +22% in ROAS
- -7% CAC (thanks to an additional Geo-lift experiment)
Conclusions
Cassandra MMM’s collaboration with Spedire was a success, as we were able to provide them insights into the effectiveness of their marketing channels and develop a customized media plan that maximized their sales.
