A Big Leap with Big Chill
Process
As I walked through the showroom of Big Chill Appliances in Boulder, CO, I was captivated by the thrilling challenge that lay ahead. As the newly appointed Fractional Head of Growth, my role was to develop and expand the company's DTC eCommerce strategy. Collaborating closely with the owner and president, we meticulously crafted and implemented a comprehensive digital marketing strategy, propelling Big Chill from a low seven-figure to an impressive eight-figure brand.
The Challenge
Big Chill offered a vibrant and appealing product range. However, being in its early stages, the company had a wealth of untapped potential in its eCommerce operations. My primary goal was to boost customer acquisition and optimize the Average Order Value (AOV), with the potential to reach a staggering $20,000 for a full kitchen set.
The Strategy:
My journey began with a deep dive into the numbers, dissecting the critical metrics that underpinned our eCommerce operations: Customer Acquisition Cost (CAC), Average Order Value (AOV), and Customer Lifetime Value (LTV). These metrics served as my compass, guiding me in crafting a robust growth framework.
Unexpectedly, my key ally in this quest wasn't the established giants of social media, but the underdog, Pinterest, an emerging platform that was teeming with our ideal customers. Through organic posts and collaborations with micro-influencers, particularly stay-at-home moms, we managed to drive 20 times more traffic at a fraction of the cost of the traditional print ads we had been placing in publications such as Architectural Digest. Pinterest's powerful analytic tools enabled us to measure the efficacy of our strategy, giving us the confidence to scale our efforts sustainably.
Traffic, however, was only the first step. To convert this into sales, I orchestrated the creation of tailored customer journeys and marketing funnels. We deployed targeted ad campaigns and developed custom landing pages. Additionally, strategic email marketing and cart abandonment initiatives helped us nurture customer relationships and steadily increase LTV.
Big Chill's unique and vibrant products inspired high brand loyalty, especially among customers acquired through our Pinterest strategy. As the business matured and advertising costs began to rise, this loyalty became an invaluable asset. Recognizing the potential of repeat purchases from our loyal customer base, we immediately began optimizing for LTV through cross-selling campaigns. This strategy allowed us to scale profitably, even amidst skyrocketing ad costs. By the end of my second year at Big Chill Appliances, we had crossed into the realm of an eight-figure brand, largely driven by our successful Pinterest strategy and the high LTV of our loyal customers.
Results
The success of our strategy was clearly reflected in the numbers. In the first year alone, we witnessed a nearly 50% surge in revenue. The upward trend continued, marking an overall revenue growth of over 300% since the onset of my involvement. The AOV also increased by 40% between 2016-2021, too.
Our experience underscores the power of early adoption of emerging social media platforms, innovative marketing tactics, and a sharp focus on both AOV and LTV. While the full realization of LTV can take time, our five-year growth trajectory stands as a testament to the significant profitability boost that cross-selling to existing customers can provide, even when advertising costs are on the rise.