Market environment
The dynamics of the jewellery industry is extremely high. Nevertheless, for several years we have been observing permanent leaders among Polish jewellery manufacturers. The constant emergence of new companies on the market, the influx of jewellery from China and the appearance of foreign brands on the domestic market do not facilitate the fight for customers. To maintain the position on the market, it is necessary to gradually develop the e-commerce channel and its marketing support.
The jewellery industry is also characterized by a noticeable increase in sales in certain moments of the year, during these periods it is necessary to increase promotional campaigns in order to be able to make the most of the available sales opportunities. The main excuse to buy jewellery is Christmas, then Valentine’s Day, the increasingly extended wedding and First communion season, Women’s Day, Mother’s Day and even Easter.
Advertising audit
It was not carried out because the company did not run online advertising campaigns before starting cooperation with Verseo.
Budget
In the case of jewellery stores – as we mentioned before – with strong competition, the optimal promotional budget that should be allocated to an online campaign, to stay in the top three of the top jewellery brands, ranges from PLN 100,000 to PLN 200,000. However, not all stores want or can compete for the top spots. In order to be able to compete with the best, while being below the top three market leaders, the minimum expenditure on promotional campaigns should oscillate between PLN 6,000 and PLN 10,000 for SEO activities and PLN 10,000 for Google Ads campaigns (in the sales season the minimum budget increases to PLN 5,000 for Google Ads).
Cooperation
Proposed actions:
cooperation with Verseo started more than 6 years ago. The starting point was to work on optimizing the website and launching SEO activities, and then extending them with the Ads campaign.
Concerns:
no quick results from the SEO activities carried out.
Actions taken:
along with the optimization of the website and the slowly built trust in the promotion of the online store, and above all thanks to the increase in SEO efficiency, the client gradually increased the budget allocated to online promotion over the years. The next long-awaited step, after 4 years of cooperation, was the expansion of activities with the Google Ads campaign, i.e. the second key channel from the e-commerce point of view.
Effects of implemented activities
As the SEO contract developed every year and the systematically enriched number of phrases, the visibility of the customer’s e-store in Google search results increased. We are talking about a 49-fold increase in new users and over a 90-fold increase in revenues from the beginning of the cooperation, as shown in the charts.
Organic Search
Revenue
Organic Search
Sessions
Organic Search
New users
Currently, as many as 152 words rank in positions in the top 10; 34 words are searched in positions from 11 to 20; and the newly entered words, of which there are as many as 128, appear in positions below the top 20 and the work on their visibility is in progress.
In the case of the Ads campaign (before July 2018 Google Adwords), we begin building the customer base, starting with a budget of PLN 6,000. Currently, the budget for promotional activities in Google Ads during sales periods has increased to PLN 15,000. Additionally, website modifications proposed by Verseo were implemented, such as extending and adapting functionalities to market requirements. As chart 3 shows, the increase in sessions and revenues is dramatic.
Paid Search
Revenue
Paid Search
Sessions
Paid Search
New users
The increase in the store’s visibility through paid advertising also resulted in an increase in brand awareness among customers, and thus a 12-fold increase in revenues through the Direct channel, which also had an impact on the results of offline sales in physical stores (chart 4).
Direct
Revenue
Direct
Sessions
Direct
New users
Let’s talk specifics.
To illustrate the ratio of revenues to costs of online promotion, we present a Google Analytics report from an example month and an example quarter of Google Ads campaigns (i.e. only this one channel) conducted for this client. The results speak for themselves and show how important in selling jewellery products is an advertising campaign in the search engine.