E-Commerce ROAS Optimisation

This gifting client came to Sunday Digital with a massive problem. Adspend was down 70% year-on-year and as they entered into the busy Christmas season, their campaigns were performing shockingly (to put it bluntly). It was clear to us that we needed to inject some ecommerce ROAS optimisation, fast.

Time was of the essence with this particular account so we could maximise the festive season, which is traditionally their busiest part of the year.

Within the first three weeks of account management revenue increased over 800%, conversions were up 660% and conversion rate from Google Ads clicks was up 45%. (and this had absolutely nothing to do with any Black Friday/Cyber Monday sales).

The main issue with this account was that it only had one active campaign – a Performance Max one – but it didn’t have all of the required assets to make the most of the search, display and shopping network.

After optimising the account structure, we set to work creating a supplementary shopping feed to optimise key product titles of top selling products within the shopping campaign.

We also built out search campaigns (before there were none), performed keyword research and wrote new ads.

After completing the restructure the initial goal was to get spend up – in a big way. This was achieved in the first two weeks, with the knowledge that CPA would go up and ROAS would go down. Essentially, the account would be less profitable in the short term in order to grow the volume massively.

After adspend increased, we stabilised the ROAS in line with the overall account goal.

So within three weeks, both goals were achieved – scale was achieved and profitability was maintained.

The only downside? We had to cap spend because they had too many orders and not enough staff.

In the case of this gifting company, the ecommerce ROAS optimisation strategy required us to decrease it slightly in the short-term to increase the order volume.