Case study

Learn how we created 62% growth for Astralis in 3 months

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Industry

Retail

Case start

May 1, 2022

team
Channels
case In short

Case video

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Client voice

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Hear how it is to collaborate with FABO

Challenge

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Need a serious partner

Astralis was looking for a new partner for their paid social — a partner with technical depth, brand understanding and a creative approach. Previously they had experienced being handed over to junior consultants soon after contract signing, and so wanted a dedicated team that could and would both take responsibility from day one.

Solution

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Media Mix

At startup, Astralis had a strong catalog of professional, corporate content ready for activation. Together, we developed a testing strategy in which the professional material was targeted to B2B, while testing native TikTok content against the same content in B2C.

The result was evident. The native TikTok content provided a 91% lower CPA than the corporate — and at the same time performed better on virtually every parameter that indicates that our creatives resonate with a wider and more unaware audience: lower frequency, lower CPM, higher CTR. In B2B, on the other hand, professional expression was effective and produced solid results.

After initial tests, it became clear that TikTok — closely followed by Meta — was our main growth engine in B2C. That's why we redoubled efforts and worked purposefully to improve the entire funnel: from the right offering to more targeted landing pages.

The correlation between organic and paid

At the same time, we scaled up our organic efforts, which had a direct impact on our paid performance. By increasing the volume, we experienced lower CPM because the platforms were now showing our content to new users — but without us having to pay DKK 70 in CPM for it. This made it significantly cheaper for us to become top-of-mind — and, by extension, significantly cheaper to convert new customers.

Solution

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Scaling that can be felt on the bottom line

Our optimizations resulted in a 10% conversion rate from paid social — exceptionally high and extremely profitable front-end.

In eCommerce, we typically aim for an LTV:CAC ratio of 3:1 over 12 months — meaning we should earn $3 in gross profit for every $1 we invest in marketing (including agency, ad spend and internal resources).

It is an essential metric for both online shops and agencies because it shows whether we are able to get customers cheaply and get them to buy again — quickly enough for the company to have a healthy cash flow. Even so, we often encounter companies that neither know about it nor work purposefully with it.

With the high CTR and CVR of our paid ads — combined with a strong organic strategy — we hit from day one our customer was bought an LTV:CAC ratio of around 3:1. It allowed us to scale aggressively while maintaining a high efficiency throughout the funnel.

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Before and after FABO

All our clients see tangible results. We make a virtue of continuously showing a comparative analysis so that it becomes clear how strong growth is happening.

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