Search Engine Marketing

188% Lift from New Customers

Add3 partnered with Google to grant early beta access into the technology, “Smart Shopping for New Customer Acquisition”. Add3 assigned a custom value for purchases acquired from new customers, which allowed the machine learnings to optimize towards a lifetime value KPI.

Search Engine Marketing

IT Cosmetics

Optimizing A Lifetime Value KPI

IT Cosmetics has been offering makeup and skincare products developed by plastic surgeons since 2008. The brand and its agency partner, Add3, have used Standard Shopping campaigns since 2014 to connect with customers online. Four years later, the brand rolled out its first Smart Shopping campaign to strengthen its online presence with machine learning. Once Smart Shopping campaigns allowed for more customized creative, the brand became interested in diving back into machine learning.

IT Cosmetics was also excited to participate in the beta for adding a new customer acquisition goal because connecting with and recruiting first-time shoppers had become one of the brand’s main objectives. So, at the start of the year in 2020, the brand began optimizing a portion of its Smart Shopping campaigns to drive recruitment of its best-selling products toward new customer acquisition.

To meet its return on ad spend (ROAS) goal, the brand had traditionally prioritized reconnecting with past customers. But after noticing that first-time shoppers who bought a best-selling product often repurchased, resulting in higher lifetime value (LTV), the brand began to focus on reaching new beauty consumers. IT Cosmetics set up two Smart Shopping campaigns in Q1 2020.

One campaign used the new customer acquisition goal, which allowed the brand to set a higher conversion value for new customers (set by averaging the lifetime value for all IT Cosmetics shoppers) and was optimized to find new customers. While this campaign promoted its top-selling products that were likely to catch new customers’ attention, its regular Smart Shopping campaign sought to maximize online sales across a wider inventory. IT Cosmetics then worked with Add3 to set up a series of pre/post analyses to assess performance.

Market-defining results

After two months of testing, the brand compared its Smart Shopping campaign that optimized toward both ROAS and a new customer lifetime

value goal to its baseline Smart Shopping campaign from a previous two-month period.

%
increase in new customer acquisition

Context copy driving the proven number benefits that Blend has brought to its customers.

%
increase in ROAS

Context copy driving the proven number benefits that Blend has brought to its customers.

%
increase in overall sales

Context copy driving the proven number benefits that Blend has brought to its customers.

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Add3 is proud to work with a diverse set of clients from a variety of industries.

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