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Customer Success Stories

Home Improvement: Impressive 8X ROI with Google Shopping!

PPC Case Study: E-commerce Home Improvement Company

Small and medium-sized home improvement store owners often confront intense competition. Despite convincing potential shoppers to resort to megaretailers such as Home Depot or Lowe's, they face numerous smaller stores offering comparable products in their area.

To balance the scales, smaller businesses need to leverage pay-per-click or PPC advertising. In this regard, we have helped an online home improvement store attract more customers and increase revenue with an impressive 8X return on investment using Google Shopping.

Keep reading below to learn more about how we can assist your business with effective PPC advertising to achieve your goals!

8X

ADSPEND ROI

10%

INCREASE IN AOV

81.25%

INCREASE IN PAID SEARCH REVENUE

$69K

INCREASE IN SALES FROM GOOGLE ADS

Client Background

In March 2020, we were contacted by a long-standing home improvement store based in Pittsburgh, Pennsylvania. With over 40 years of experience, they specialize in selling saloon and cafe doors online.

Embracing the digital era early on, they established a well-managed website. However, they recognized the need for assistance with their paid advertising efforts. Their e-commerce operations contributed to 70% of their business, while the remaining 30% came from local foot traffic in Pittsburgh.

Their primary objective was to expand their customer base and boost revenue. Specifically, they aimed to achieve a 5X return on investment by ensuring that the cost of ads accounted for 20% or less of their total revenue.

 The PPC Strategy

Our client believed that they had to utilize Google’s shopping ads, search ads, and display ads to be competitive against larger rivals like Lowe’s, Home Depot, Wayfair, or Amazon. However, their internal Google Ads campaign efforts did not yield an acceptable ROI, and their budget was considerably smaller than the megaretailers.

In March 2020, our experienced PPC Beast team conducted a thorough inspection of their live campaigns. After careful analysis, we identified a solution to their challenge. We discovered that their Standard Campaign yielded an exceptional 6X return on investment, making it a high-performing campaign.

Accordingly, we decided to switch this campaign to a Smart Shopping Campaign. This strategic approach enabled us to enhance the client’s ad placements across Google Shopping and the Google Display Network, ensuring more targeted reach and engagement with their desired audience.

We further examined the audience data from their Standard Shopping campaign and determined that a few products outperformed others. As part of our data-driven approach, we removed low-performing products, observing that they didn’t generate clicks.

This targeted effort enabled us to maximize their advertising budget and optimize their PPC strategy.

Implementing a remarketing campaign is an effective strategy to boost revenue. This type of campaign targets individuals who have previously shown interest in a specific product but did not purchase it for various reasons.

Our goal was to reach both new prospects and existing customers through this campaign. We recognized the importance of touchpoints in the customer journey, as the client’s Google Analytics data revealed that higher-priced products often require several weeks to sell, in comparison to lower-priced items that have a shorter purchase decision process.

To highlight the impact of remarketing on driving conversions, we examined the conversion values generated within a 12-30 day period after an initial touchpoint. This analysis provided valuable insights into the campaign’s effectiveness in influencing purchasing decisions.

The client’s Google Analytics data reveals that higher-priced products typically require several weeks to secure a sale. At the same time, lower-priced items tend to have a faster conversion rate due to their lower commitment level.

Implementing a remarketing campaign would serve as an additional touchpoint, reminding potential customers about the specific item they showed interest in. This strategy aims to increase engagement and encourage them to reconsider making a purchase.

 The Results

We were pleasantly surprised by the exceptional performance of this PPC campaign, exceeding even our highest expectations. Ultimately, we achieved an impressive 8X return on investment, surpassing the client’s goal.

Although our initial audit showed the Standard Campaign generating a 6X return, we managed to further enhance the results by shifting our focus towards promoting higher-priced items. This strategic adjustment led to the remarkable accomplishment of exceeding an 8X return on investment.

Our main objective was to prioritize higher-priced items and effectively enhance the return on investment for our client’s business.

With the transition to a Smart Shopping Campaign, we allocated a budget of $22,682 for advertising efforts, resulting in an impressive revenue of $180,642.

Remarkably, the cost of ads accounted for only 12.6% of the overall revenue generated, surpassing the initial goal of 20% set at the beginning of the campaign.

Furthermore, the client experienced substantial overall revenue growth of 77.20%, amounting to $681,591.75 compared to the previous figure of $384,646.68.

To further illustrate the success of the campaign, here are some additional statistics:

  • Unique purchases have shown an impressive increase of 54.55%.
  • The average price per purchase has exhibited an overall growth of nearly 10% (9.47%).
  • Paid search revenue experienced a significant boost of 81.25%, rising from $85,214.76 to $154,448.79.
 

In addition to achieving a substantial return on investment, our client was mainly concerned with surpassing their competition in the market. Notably, we were able to outperform almost every major competitor, asserting our client’s dominance in the industry.

By demonstrating the power of the right strategy, we proved to our client that it is possible to surpass larger companies with more substantial budgets. Size and budget are not the sole determinants of success when a well-defined and effective strategy is in place. Our client witnessed firsthand that a well-executed strategy can triumph over bigger competitors, regardless of size or financial resources.ng their competition in the market. Notably, we were able to outperform almost every major competitor, asserting our client’s dominance in the industry.

Conclusion

Pay-per-click (PPC) ads present an effective approach to driving more sales. If you own an e-commerce store, regardless of your merchandise, creating Google Shopping Campaigns should be a top priority.

While the process of creating such ads may appear simplistic, it requires a considerable amount of monitoring and adjustment to refine a campaign thoroughly. The Google Shopping platform can also be complicated, particularly for novices.

Excited to launch or improve your PPC ads, but don’t know where to begin? Get started on your journey today by scheduling a call with our team of digital marketing experts. We are here to guide you every step of the way.

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