Growth drivers:
Webinars and customer service.
2021 quarter 1 revenue: SGD15,262.41
2021 quarter 2 revenue to-date: SGD3,821.95
MRR 2021 Goal: SGD0 🟩🟨◻️◻️◻️◻️◻️◻️◻️◻️SGD60k
It is difficult to hit high ROAS from first purchases because it is driven by trial kit sales. For context, trial kit sells between SGD4.90 to SGD9.90.
Customer acquisition cost average at SGD15.90, at times as high as SGD21. If we are lucky, it goes as low as SGD6 to SGD8.
Ecommerce lacks data to determine customer lifetime value, a good estimate is SGD100 per customer as of current. We've seen some as high as SGD1k+.
Key to drive volume of returning sales volume is to drive more trial kit purchases. Returning sales leads to positive review, referrals, and market confidence. This lowering customer acquisition cost overtime.
Ress sells eczema and psoriasis related products. The main barrier in this segment is trust.
Most customers would have tried countless products, spent hundreds if not thousands in the search for their condition.
In order to lower the trust barrier, we embark on running biweekly webinars. It started with 11 viewers, now it stands at 60 viewers and growing.
After every webinar, sales trickle in.
Webinars have been driving sales for 3 segments:
1. New customers,
2. Returning customers,
3. Referrals.
Average basket size of new customers from webinars are higher than those converted directly from ads. Similarly, referral sales increases as well. For context, we assume first purchase coming from non-ads channels to be referrals.
Webinar outline:
It's not about selling products. It's education oriented on questions customers would have on their condition.
It's mainly geared towards building trust between brand and customers. Every now and then, insert liners such as "by the way, we sell this".
Webinar operations:
Call everyone that registered, and existing customers to let them know about it as well as send reminders. Just emails and ads don't work.
People forget, people like the human interaction. Customers are human.
Customer abandoned cart recovery:
There will always be customers that abandon their purchase cart for reasons unknown. Recovery emails don't always work because most customers don't check their emails, or emails end up in spam. Nothing beats a phone call.
A major pain point I have is ecommerce analytics. Haven't found one that suits my needs. If this persists, might scratch my own itch by building an ecommerce analytics solution.
#AdstruxAsia #Digitalmarketing #BuildInPublic #restorationessence
Credit to Adstrux Asia's Key Account Manager, Richard Moh