The Author of the Case: Ilya Korzhikov, leading SMM specialist at the agency
“We told the popular Ukrainian Internet publication AIN.UA about how we increased the income of the DEKA retail chain by 700,000 UAH in 1 year and made it number 1 in the niche.” – Ilya Korzhikov, leading SMM specialist at the agency
#ADINDEX is a Ukrainian integrated internet marketing agency. Since 2013, we have been developing marketing solutions for online businesses. In this case, we tell you how to increase income from social networks by 56% using SMM marketing and take leadership positions in your niche. For this, we will use the example of our client – one of the market leaders in selling watches of world brands in Ukraine – the DEKA retail chain.
The client has been cooperating with us for over a year. We work in several directions at once: SMM and SEA – contextual target and display advertising.
At first, we carried out a comprehensive audit, during which we identified the main tasks for the first six months. And later, at a meeting with the client, we discussed the strategic goals of the business, compared them with the capabilities of the SMM channel, and approved the plan.
- Raise the quality of content and the level of its design to a competitive one.
- Conduct a test of advertising campaigns (is there an income through SMM in the niche).
- Increase the absolute indicators of accounts (subscribers, engagement).
- Increase organic coverage and reduce the cost of paid content.
- Get sales through the SMM channel.
What we did:
- We set up a communication process with brand managers to determine brand priorities when drawing up a monthly content plan and distributing the share of publications from the total number for each brand.
- The ascetic and dry text of publications from the product card of the online store was replaced with a more lively one, consisting of emotional and selling blocks.
- We expanded the rubricator with useful publications for subscribers. For example, “What shape should a men’s watch have” or “How long does a quality watch live.” We also added a heading with top models – #DEKA recommends – and educational publications such as “What is the power reserve indicator for” or “What is the bezel for.”
- We motivated the audience to communicate in every possible way: in publications we called for asking for a price in the comments and in the direct, asked questions to initiate a dialogue.
- Using Google Analytics data, we identified the core of the target audience and, together with the business owners, worked through the weak spots of this segment. As a result, most of the advertising campaigns were aimed at the dedicated segment with the corresponding offer.
- Impulsive demand was closed by commodity carousels, consisting of photos of the most trendy models, interesting to the target audience.
- We brought social media accounts to the top positions for this niche (in terms of quality and absolute indicators).
- We improved the overall quality of Instagram and Facebook accounts.
- We increased organic reach and engagement by updating the content strategy.
- We reduced the cost of paid reach by optimizing the targeting and goals of advertising campaigns.
- We increased profits via the SMM channel.
- We built a dialogue with the audience on social networks and received a high increase in social activity.
What it looks like:
Results in numbers (July):
Overall involvement – Comments/month – New followers – Price requests, direct/comments – Income according to GA
“After we increased the absolute indicators and realized that we can actively make a profit through the SMM channel, we decided to offer the client to move to a higher level. During a strategic meeting, we usually report in detail on the work done and discuss further goals within the strategy. If a global strategy is not defined, we offer solutions to improve the quality and profitability of the current instruments.” – Ilya Korzhikov, leading SMM specialist at the agency
- Bring the brand’s SMM to the first place in the niche (in terms of absolute indicators and indicators of engagement).
- Increase the profitability and the number of transactions from the SMM channel in the online store.
- Strengthen complex omnichannel marketing through engagement (growth of brand traffic, the number of associated conversions, visits points of sale through SMM).
- Attract a highly profitable target audience (start selling luxury products: check ~ $2500, previously ~ $800).
Due to what the client has grown
Content strategy update:
- more than 1,400 comments;
- the total increase in engagement by more than three times;
- the reach of video publications increased by 1.5 times;
- the response to publications without a promo has doubled.
Since each of the social networks requires a certain approach, we structured the target audience into several groups and conducted a test of content categories on Instagram and Facebook.
How we divided the target audience:
- connoisseurs of watchmaking;
Important: even during the first period of cooperation, we found the optimal targeting settings (geo, demographic indicators, audience sources, placements).
Content and Rubrics
Since the client’s SMM strategy is based primarily on business goals (sales), we decided to abandon the usual rubricator with a fixed number of publications. In return, we have developed an overall social media content strategy and a strategy that addresses the business goals of each month.
Strategically important project decisions:
- Increase the number of videos to 50% of all social media content. To optimize the costs of outreach campaigns, to reduce the cost of the reach of promotional advertising campaigns, as well as to use other benefits.
- Transition to the author’s unique content. The task required the introduction of additional processes, resources, involvement from the agency, and the client.
- The constant testing of the effectiveness of products in SMM
Since purchases through the SMM channel are classified as emotional, using the Google Analytics tool called product performance, we have implemented a process of constant testing and sales of trendy accessory models in a specific period.
What else has been done
Advertising campaigns and analytics:
- We tested different target audiences and determined how long it takes to make a purchase decision through the SMM channel, the length and stages of the funnel, and the value of the SMM channel. Also, we divided the target into the LTV points.
- We redistributed the budget between the types and goals of advertising campaigns. After a period of testing, the analysts chose the most suitable ad format.
We found out that product carousels are suitable for displaying several products at the same time, the USP becomes larger, and the reach price remains the same as when showing a regular banner (publication).
- We learned how to identify upward trends in directions, brands. Requests analytics tools, internal business analytics, and advertising campaign tests helped us in this.
Together with the business product department, we developed communication standards:
- “The voice of the brand.”
- Editorial standards (editorial policy)
- Standards for photo and video filming
(July – December 2018)
- ER growth (engagement) + 73%
- Transaction rate 0,33%
What was done
- Increased number of videos
- Improved content quality
- The Facebook store is full.
- Content rubrics test performed.
According to the test results (as we expected), the largest number of reactions and reach on video became significantly higher than the reach and reactions on static banners in publications.
Later, the client approved the goal of: “increasing the number of videos to 50% of all content”, which is bringing results right now, while you are reading this case.
By introducing video content, a business can count on a significant increase in results for the same money.
Next, we’ll look at the specific business benefits of using video content.
What other content works on Facebook
Unique content on your social networks makes it possible not only to stand out from competitors but also to become a leader in a niche due to high-quality visualized values of the product and the brand as a whole (which affects the occupied market share and niche).
(July – December 2018)
- ER growth (engagement) + 98%
- Transaction rate 0,16%
What was done
- Optimization of the account
- Implementation of the “Shopping bag” tool
- Access to limited functionality “Stories URL.”
- Regular use of Stories and Highlights
- IGTV implementation (YouTube channel support)
- A content rubrics test was carried out
- Publishing only an author’s content
- Increased number of videos
- Test of the view of creatives: triptychs, collages, videos, GIF-formats
Part of the strategy is the author’s content on Instagram.
Of the essential details of the content, we can note:
- high-quality copywriting with detail (you need to know how to tell difficult things in a simple way);
- it is necessary to test copywriting styles, the volume of publications, the style of the photo in the same audiences (a common mistake is “test on all account subscribers at the same time”).
The main advantages of using video:
- a more detailed view of the product for the user;
- the ability to show all the essential details at once;
- the cost of reach is 4–12 times lower than that of banner advertising.
The result of using video instead of photos:
- the user is fully interested in the product;
- better applications on the site;
- reducing the time for making a purchase decision;
- reducing the cost of coverage by about ten times.
Results after a year of cooperation
- Became number one in the niche
In terms of absolute and qualitative indicators: engagement, reach, the number of active audiences.
- Generated a constant stream of clients from SMM
Users of social networks actively book products with a further purchase in retail and ask questions to the online consultant in their Instagram/Facebook accounts, or in the chat on the website.
- Annual income growth +55.7% via the SMM channel
We managed to achieve such an indicator, despite the drop in the average check in the market by introducing constant optimization of PK and testing new advertising formats.
ER Facebook – ER Instagram – Facebook subscribers – Instagram subscribers
The gap from competitors in terms of audience size
Facebook: 35 323
Instagram: 13 253
Facebook: 24 576
Instagram: 4 019
Facebook: 12 866
Instagram: 3 626
Dynamics for the second period of cooperation, July – December 2018:
Upon reaching the planned KPI-indicators, we got the dynamics (July – December 2018)
- total number of leads/month +260%
- more than 1.4k comments
- increase in Instagram Direct messages +600%
Absolute indicators (July – December 2018)
- the total number of leads/month:
before – 71, now – 185;
- Instagram Direct messages/month:
before – 14, now – 89;
As a result of our joint work with the client, aimed at both systematically increasing the effectiveness of promotional campaigns and constantly improving the level of content, we received an increase in channel sales and a high level of user engagement.
But the most important result for us is the change in the role of SMM from “one of” to a key channel of communication with users, with the help of which a brand can not only talk about new products in the range and promote promotions but, above all, convey its values and build a long-term relationship with the audience. After all, the goal is not only to sell “here and now”, but also to increase the loyal audience of brand followers. This is a key task for the further development of the project in social networks. Only through the trust and systematic collaboration of the agency team and the team on the business side we can achieve strong results.
We wish businesses and agencies to trust each other more, set bold goals, and achieve them by working together. This is how it turned out in this case as a result of cooperation between the #ADINDEX and “DEKA. Watches of the most famous world brands.”