Reactive drove 2.3x the industry average of ad clicks and $32K of products to checkout for Alchemy Fine Home
Summary
Reactive created and managed a comprehensive ad campaign for Alchemy Fine Home using their novel interactive, shoppable ad units to drive engagement and site traffic. By transforming their social media content into shoppable ads, Reactive was able to drive significant ad engagement at 2.3x the industry average, and drive $32K of product to checkout.
Background
Born out of a passion for design and living in style, Alchemy Fine Home offers luxury made furniture, quality designers and unique pieces to make their customer's homes a beautiful place they will love.
They were looking for over performing channels to drive sales and engagement during their high season and wanted to test out Reactive's shoppable ad offering.
Strategy
Utilize Reactive interactive shoppable ads and fine-control targeting abilities to engage their target audience and drive conversions.
Customer Profile
A sophisticated woman aged 35-55 that lives in high net worth US metro areas like Beverly Hills and the Upper East Side. She enjoys a refined lifestyle with interests in home decor, luxury travel, beauty, jewelry, gardening, and gourmet cooking. Valuing quality and exclusivity, she shops on luxury platforms like Perigold and 1st Dibs and is loyal to high-end brands. She reads Elle Decor, Architectural Digest, and similar magazines. Her purchases reflect her aesthetic preferences and lifestyle. As a trendsetter and influencer in her social circle, she prioritizes personal development and cultural enrichment through exclusive travel and experiences.
Tactics
Prospecting
Targeting audiences that are:
- home decoration content readers
- actively searching for home decor, furniture, & decorating content
- interested in architecture
- corporate, big city, or trendy moms
- online furniture and home decor high spenders
- In the market for luxury home decor based on cross-pixel and search history data.
Prospecting Retargeting
Directing ad spend to a pool of new customers from the prospecting phase who are most likely to convert.
Campaign Parameters
Duration: 1 Month
Ad Budget: $1,000
Budget Allocation:
90% prospecting focused on incrementality/ 10% prospecting retargeting
Products Marketed:
dining chairs, dining tables, sofas, coffee tables, console tables
The Results
In a single month with only a $1,000 budget, Reactive was able to drive 2.3x the industry average for clicks, $31,700 in potential order value to checkout and 166,499 impressions.
2.3x industry average
$31,7K
166.5K
Keys to success
While a great brand, Alchemy Fine Home presented some challenges. They are a luxury brand with a really high price point which creates a larger barrier to purchase in the online ad context. The keys to Alchemy fine home's success included great video content, a unique ad experience, a well defined and optimized targeting strategy and low ad costs.
Great video content
Alchemy was already creating engaging content for their social accounts. They were able to easily leverage that content and put it into ads that made luxury furniture approachable and tangible for customer outside of their social platforms, at no cost to the brand.
A unique ad experience
Reactive was able to provide a differentiated ad experience that is more eye-catching and engaging than traditional online banners and popups.
Targeting and audience optimization
Reactive has the ability to target intelligently and retarget the customers that were most interested. Over time Reactive was also able to prioritize better performing ads and play them on the best performing sites and apps.
Lower ad costs
With an average $3 CPM and no production or upfront management costs, reactive was able to make the Alchemy Fine Home's budget go further than it would go on a traditional CPC platform.
Conclusion
Reactive's innovative advertising approach significantly outperformed industry standards and demonstrated the potential for high returns on a modest budget. By transforming Alchemy Fine Home's social media content into interactive, shoppable ads, Reactive drove 2.3x the industry average for ad clicks and generated nearly $32,000 in potential sales in just one month. This success was achieved with a budget of only $1,000.
The campaign targeted a well-defined customer profile—sophisticated women aged 35-55 with interests in luxury home decor and a penchant for high-quality, exclusive products. Reactive's strategy utilized precise targeting and retargeting methods, focusing on individuals actively seeking luxury home decor and leveraging exclusive marketplace deals to maximize visibility on relevant platforms.
Despite the challenge of marketing a high-priced luxury brand in a direct to check out environment, Reactive's unique ad experience, low ad costs, and the repurposing of Alchemy's existing social media content proved effective. The campaign's success was facilitated by Reactive's ability to engage audiences with eye-catching, interactive ads and optimize targeting and ad placement for maximum impact.
