Case Study

Consumer Electronics Giant Scales Revenue with CJ

Feb 4, 2020

A consumer electronics giant scaled revenue while maximizing margins by leveraging data-driven strategies with CJ.

 

Results at a Glance

  • 85% increase YOY in overall revenue
  • 71% increase YOY in Home revenue
  • 42% increase YOY in Small Business impact to margin

 

Background

  • Faced with intense competition and an abnormal product lifecycle, it became difficult for a well-known consumer electronics brand to target customers in a meaningful way.
  • The advertiser looked to identify affiliate opportunities to strategically invest with the right publishers to scale revenue while maximizing margin.
  • By leveraging data from CJ, as well as the advertiser's CRM and their internal loyalty program, it allowed them to identify the right publishers to keep customers engaged in a cycle of touchpoints.

 

Highlights

  • Based on the data, the consumer electronics brand was able to mitigate margin concerns by increasing investments with margin positive publishers, without decreasing investments with margin negative publishers.
  • The data also helped the brand's affiliate managers prove the channel’s value to leadership by showcasing these findings:
    • Affiliate customers generate more revenue, buy more frequently, have a larger AOV, and have a much lower margin than any other direct digital channel.
    • Affiliate customers are 46% of their key demographic vs 34% for non-affiliate customers
    • Affiliate drives more new customers than their non-affiliate channels.
  • This data-driven approach to affiliate has led to a “living strategy” that allows the advertiser to continually improve margins to be in line with business expectations, as well as continue to grow affiliate revenue.