Before I begin, here are the numbers at the start of our engagement with the brand.
October 2021: $11,808 Email Revenue (Start working with CS)
Nov 2021: $78,087
December 2021: $70,785
Jan: $37,601 (On pace for $80k, month not done)
Cambridge Satchel is a leather bags company that is based out of the UK. They have selling locations around the world and now also selling their famous bags online in the eCommerce space.
They have multiple ‘online store locations’, specifically in the US, UK and EU markets. They also run on the Shopify platform. Despite their bags being ‘famous’ and carried by big name influencers, they have been unprofitable (according to news).
As an email marketing agency, we helped them to increase their overall store revenue on their email acquisition channel from about $10,000 per month to about $78,000 per month in the 1st 2 months of working with them.
When we 1st met Cambridge Satchel, these were the challenges that they were facing.
#1 Online Competition & Rampant Acquisition Costs
Cambridge Satchel as an english brand has been around since 2008 however because of COVID had to pivot online. Online customer acquisition is very different from the retail experience that the brand was used to as people usually would like to touch and feel the fabric of an expensive leather bag before making a purchase.
However, in the online world that is not possible, making it a bit complex for the brand to acquire customers, gain trust and scale their revenues. Not only that, because of COVID, all apparel and clothing related brands are usually advertising on the same marketing channels, specifically facebook, instagram, snapchat and tiktok.
This causes saturation of the marketing channel and increased competition causes profit margins to decrease across the board. It’s difficult to ‘stand out’ from the market because customers judge D2C brands by 1st impressions of images and videos that the brand puts out.
#2: Not doing anything significant with their current email list
Most brands focus solely on acquisition and getting new customers. Something that is extremely important. At the same time, brands often forget that there is also an existing pool of people that already like, trust and respect your brand, and those people are already in your database.
For Cambridge’s case, they had tons of people in their CRM that were completely untapped. They had acquired these customers over many years, however because of the fact that after the purchase these customers were left alone, these contacts were completely engaged and went from hot buying customers back to cold customers.
There were THOUSANDs of email addresses that they were sitting on and not actively engaging at that point in time.
#3: Not bringing enough people into the backend of the marketing funnel
Lastly, the cambridge satchel brand was famous in the UK. They had press releases, PR coverage and celebrity endorsement among other things. Hence there was a ton of organic traffic that was coming onto the site purely from offline acquisition strategies. They landed on the website but the marketing team was not doing enough to convert these ‘window shoppers’ into potential brand evangelists.
The email list was not actively growing as a result, and new, highly engaged prospects were not being followed up on the backend to incentivize a purchase.
What We Did To Achieve This Result For Them
#1 Crafting Offers For More Aggressive Email Popups
The 1st thing we did was to increase the amount of customer volume that was coming into the email channel. By strategically trying out different offers on the frontend, we were able to increase email opt in rate from sub 2-3% to about 6-7%. If you are able to increase your email optin, you are able to significantly increase revenue purely because the number of people you are reaching could easily be 2-3x.
You have to split testing your email popups and offers as well as overtime you will start realising what people like and what they dislike in terms of the messaging of your offer. Higher opt in rates means that there is more interest in the offer that is being presented.
Not only that, people tend to forget that the quality of the customer matters. Itt doesn’t matter that you get a 13% opt in rate if all the leads that are entering your CRM are discount hunters. This is because discount hunters generally are cheap, and do not spend money. So having a lot of them doesn’t really help you at all.
You want to be pushing offers that are genuinely helpful for your audience, so that you are attracting the correct type of customer that will spend money with you.
#2 List Engagement Of Old Leads
Old leads that are in the existing CRM were also created in order to improve deliverability of the entire email list as well as re-engage these people from inactive to active and engaged leads. Because you are paying a fee in order to send emails, you should be trying to encourage people who have bought from you in the past to actually buy from you again.
This will significantly extend your LTV of your customer, leading you to more revenue, and more PROFITS as well purely because the 2nd, 3rd, 4th purchase from an individual does not bear any acquisition costs.
#3 Setting & Split Testing Automated Flows
We built out automated flows for the email for the email flows. These flows are eCommerce best practices that we build out for every client. Sometimes if a brand already has email flows in place, that means there could be some room for improvement. Usually what we would do is to create more email variations that we can A/B split test in addition to the flows that are already available.
The reason why you want to be doing this, for example if the welcome series wwas receiving a lot of traffic because of an aggressive media buyer on the frontend, a 1-5% increase in the conversion rate or revenue could literally mean $10-30,000 more in additional sales EVERY month purely from these micro-optimizations.
Email marketing is simple, BUT not easy. The reason why is because the team running a successful email marketing campaign has to be willing to…
- Be patient in experimenting new offers
- Be data driven enough to wait for sufficient data to come in to assess a/b split tests
- Creative enough to think of new ways to entice the customer to purchase and creating new offers to test
I hope you gained some value from this article. And the problems that Cambridge faces are generally not exclusive to their brand alone. 90% of eCommerce brands face the same issues, they have similar to identical marketing mixes. The difference is really the execution of the team.
If you face any similar problems mentioned above and would like us to help you with your email marketing campaigns, please scroll down, book a call with me or someone from my team and we would love to help you scale your company.
On the call, we will assess whether we can help you. And YES, if we think we can add value, we will pitch you and offer our services. If we know we can help you, we won’t be ashamed to sell to you.
Not only that, when you work with us, we will give you a results guarantee or money back type of deal. Scroll down below and choose a time when we can speak. Looking forward to speaking with you!
I help ecom and info product businesses scale through paid traffic.