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Case study: 800% increase in sales for a Coffee shop on Shopify
About project
Caffé Uno is a family-owned store in Estonia specializing in Italian coffee, compatible capsules and packets, functional Italian beverages, and the Italian lifestyle. At the project’s start, the client had a Shopify website with relatively low social media activity.
Website: www.caffeuno.ee
Products
- Coffee beans
- Ground Coffee
- Nespresso coffee in capsules
- Functional Italian Beverages
Client goals
- Efficient entry into new markets in record time.
- Increase sales of promotional products.
- Build high brand awareness.
- Attract and retain customers, including those who have already made a purchase.
The Problem
The challenge was launching a business from scratch in a new country and culture about which we knew little. We had to quickly enter a new market, boost sales, offer good service, competitive prices, the best assortment, and present to customers in the Baltic markets something they didn’t have before.
The situation BEFORE:
No advertising campaigns on Google’s platform.
"Without the successful start provided by Linemedia Digital, we would have faced deep difficulties in achieving our goals, and this realization emphasizes the importance of their role in our success."
Client Testimonial
What was done: achieving goals with Linemedia Digital
1. Analyzing and setting up analytics
Set goals first: Determine KPIs and set up analytics – the foundation of success.
Internal view: Touchpoint funnel, Google Analytics, and e-commerce tracking – all under control.
2. Conducted target audience and market analysis
After a thorough study of products, the market, and competitors, we decisively chose a staged launch of advertising campaigns. This ensured strict budget control, allowed testing different approaches to maximize sales at optimal lead costs, and ultimately successfully scaled the project.
3. Development and implementation of advertising strategy
Advertising optimization considering the budget and unique offering:
Given the client’s limited advertising budget, we focused on the key city – Tallinn. The Unique Selling Proposition (USP) offered was free city-wide delivery, a unique proposition not available from competitors.
We then meticulously developed advertising campaigns, precisely identified the target audience, and created creatives tailored to the portrait of our potential customer.
First Stage
On the first stage, we launched search advertising for all products and remarketing campaigns to bring back customers who viewed products but didn’t make a purchase. This step allowed us to gather valuable data, highlight key product categories, and effectively determine audience preferences.
It’s important to note that these campaigns were implemented in Russian specifically for Russian-speaking residents of Estonia. However, facing the challenge of limited reach associated with targeting only the Russian-speaking population, we realized the need to adjust the strategy for a broader reach to the target audience in Estonia.
Second Stage
During the second stage, we expanded geotargeting, creating advertising campaigns for Lithuania and Latvia. The main focus was on product categories with the best sales and optimal cost per lead.
A key point was the division of the audience into two language subgroups: Russian-speaking and English-speaking. This personalization supported more accurate interaction with diverse segments of our audience.
During this period, we introduced the Context-Media Network (CMN), significantly expanding the audience, attracting new customers, and contributing to brand recognition.
Third Stage
After adding language versions of the website tailored to target countries, we launched campaigns in Lithuanian, Latvian, and Estonian. These campaigns stand out for their maximum success in sales and optimal cost per lead.
The strategic choice of launching advertising campaigns in multiple languages allowed us to effectively reach various segments of the target audience within the target countries. This, in turn, strengthened our impact and allowed us to adapt our communication to the needs of diverse market segments.
Results:
800% increase in sales in the third month of the advertising campaign. An 82% reduction in CPL.
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Increase in ROAS from 1.09 to 5.86 in the third month of advertising.
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Conclusions
In just 11 months, the CaffeUno project achieved an impressive level – 500 orders per month. Brand visibility significantly increased, and the project owner became recognizable even on the street. The number of repeat purchases increased 14 times! This indicates not only effective advertising for regular customers but also a high level of service and the quality of Caffé Uno products. We continue to develop the CaffeUno project, exploring new countries such as Finland and Poland.
New challenges
As the cost per purchase stabilized, the client approved a budget increase. The appearance of partners with proposals to expand the business beyond the country led to the decision to scale to the entire Estonia, as well as Latvia and Lithuania. This necessitated new testing to identify effective strategies.
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