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Our marketing stack

We have already share with you our content strategy, how we create and amplify our brand with digital media through all different platforms we use.

Now we share how we monetize this brand building effort. How we go from branding to marketing.

Our funnel

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1. New users: first touchpoint

Nothing is more expensive than impacting a new potential customer for the first time. We're obsessed with minimizing the cost of our first interaction, we use all the organic (free) levers at our disposal to find new users. We double down on:

  • Social Media channels: we create viral content that distributes itself. We maximize likes on Instagram so the algorithm positions our account under the discovery tab. We're experimenting with Reels & TikTok to replicate this strategy with short-format videos. We generate shareable content on IG stories to optimize for reposts from our followers so they amplify our brand to their audiences. We organically reach 700.000 users on Instagram following this strategy.

  • Influencers: we never pay, only gifted promotions. We have arrived to the point where they contact us and we filter whom we work with depending on the aesthetic and their audience (we don't care about absolute numbers).
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  • Press: fluent relationship with all major outlets, trying to constantly innovate (ie Pay What You Want) in order to generate newsworthy impacts following the Dinosaur canvas.
  • Podcast: we interview inspirational women (aligned with our mission), leveraging the audiences of the interviewed (most of them with large followings online). +180.000 viewers/listeners during 2020.
  • Paid acquisition: currently investing 80% of our paid budget on international users, as our organic strategy takes time to mature and our prices are very competitive outside of Spain.

The objective is to transform this firstly impacted user into either a follower (so they start engaging organically with our brand) or a web visitor to activate FBs web pixel (so we can impact with remarketing ads).

2. Engagers: intro to our brand

Now we need to retain the relationship. We transform the first interaction into at least one of the following (ideally all three of them): web visitor, social media follower and/or newsletter subscriber.

We're not an impulsive buy for two reason: it's part of our brand ethos to minimize consumerism and because of the kind of products we sell (high-design affordable fashion). It takes a new user almost 3 visits and two weeks to convert into a first time customer. We guide them to constantly be visiting, either through paid remarketing or Social Media / Newsletter. This marketing strategy where organic feeds paid yields nice returns: Return on Ad Spend of 6.39x and Cost Per Order of 9.57€ for 2020.

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3. Customers: first conversion

We then move engagers to the customer bucket by nurturing further the relationship. We don't just use these channels (Social Media, Newsletter) as a way to push products, but also to share inspirational content that generates brand affinity.

This focus on a long term relationship and not a short term conversion is what later generates our main focus: recurrence. This claim can sound like bullshit, but it reflects on the performance of our Newsletter: we have an open rate above 30% and 39% of our revenues come from email marketing.

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In terms of paid acquisition, we have tried during the previous interactions that users engage with specific products of our catalogue so FBs pixel can fire Dynamic Products Ads (DAP), our most profitable ads to date (31.5x ROAs).

4. Recurring: maximizing Long Term Value

For us the first purchase is not the end, it's the beginning. From day one we knew we had to create a multi-category brand: when launching it's easier to focus on just one product, but the potential is capped following that strategy.

You need to be thoughtful about when and where to grow horizontally, not limiting yourself from the start. We don't even consider ourselves a fashion brand, we let the customers decide what they want us to be.

This qualitative strategy translates quantitatively into our sales cohorts:

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Note: the CAC shown above only includes performance marketing (FB + Google), other marketing investments (shootings, models, influencers' gifts etc) need to be added. When done so, our global CAC in 2020 goes to €15.

Final thoughts

This is how we do it, we don't claim any kind of expertise. Even if we think this approach fits us (we're here for the long run, brands take time) it has some clear grow limitations. Our organic marketing is very unique and can't be replicated/boosted with money. The nice returns we get from paid marketing may be explained because of our small investment, probably if we scale spent returns will diminish.

PD: All data shared is for the period January - October 2020 or at least before November '20 as Black Friday distorts everything. We tried to be consistent but not all platforms have powerful Analytics dashboards. (Klaviyo we're looking at you).