Localized Paid Search Approach
Duluth Trading Company
Ovative helped Duluth Trading build a leading search program, focused on testing and measurement, to win in local search.
Scope
Opportunity
Duluth Trading, an apparel retailer selling in-stores, online, and via catalog, has been running their media through Ovative for 5 years. In order to decrease reliance on catalog and maximize total enterprise sales, we’ve helped transform their marketing program to rely more heavily on digital acquisition tactics that vary by local market depending upon longevity of store presence (used as proxy for brand awareness by market).
Impact
4X increase in new customer acquisition
15% lift in incremental enterprise sales
50/50 catalog vs. digital spend mix (two years prior had been 75% catalog, 25% digital)
Approach
- Restructured all paid media accounts by DMA-type. This included competitive DMAs with 1+ stores open for 15+ months, new store DMAs, and no-store DMAs.
- Leveraged Ovative’s proprietary metric, Enterprise Marketing Return (which accounts for online/in-store/catalog sales, future customer value, incrementality, and profitability) to measure program success, and set return targets for all media. Found that digital channels consistently outperformed catalog channels, allowing for gradual shift of spend into digital.
- Used bid optimizations and 3rd party tech to maximize revenue against geo-specific goals by targeting maximizing customer LTV and margin in addition to top line revenue.
- Integrated store product data into Google shopping campaigns to launch Local Inventory Ads to scale enterprise sales and user engagement.
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