9.58X ROAS with $90K+ in spend. 32% improvement in efficiency in our first month. Increased sales volume by 494%.
ROAS with $90K+
Improvement in Efficiency in our First Month
Zohr is a tire store that comes to you – their service technicians install car tires right in your driveway or at your office. When they came to us, they were only operating in Kansas City and were eager to start in Dallas. The goal was to scale distribution / marketing in Kansas City while coming up with a paid ad strategy for Dallas. This playbook would then be used to launch in multiple cities. Return on ad spend was extremely important since margins on tires were not the same as traditional e- commerce margins.
We decided that Facebook / Instagram ads were the best channels given the amount of education it could provide customers as this is a fairly new way of getting car tires serviced. We started off with segmenting audiences to be a lot more targeted, focusing on different car brands. Since Zohr is used for convenience, we identified higher end car brands like BMW, Mercedes, Audi, etc. as the most efficient audience. This meant a number of granular interest and lookalike audiences to better control budget and volatility.
We then went to creatives to increase scale and efficiency. We tested several different offers, including focusing on Zohr’s “Affirm” buy now pay later partner, discounts on high average order value products and most profitable brands, and promoting add-on services to improve average order value.
Since our target geo’s were limited, we also saw success by audience building with video view campaigns, targeting the entire geo, which we then retargeted 95% video viewers. This basically gave us really cheap top of funnel audiences that we then re-engaged based on need for tires and interest in the service. With this, we were able to scale ad budget fairly aggressively while still maintaining high efficiency.
The result was a 9.58x return on ad spend with over $90K in ad spend. In our first month alone, we were able to improve efficiency by 32% and over the course of the campaigns we were able to increase sales volume by 494%.