Case Study: Achieving $345K in Revenue in seven months with a 8x ROAS through Pinterest Ads

  • Industry: Arts and Crafts E-commerce brand
  • Target ROAS: 3x
  • Timeframe: January to July 2024
  • Ad Spend: $43,126.63
  • Revenue Generated: $345,536.30
  • ROAS Achieved: 8.01x
  • Focus: Acquiring new customers

In January 2024, I began working with this client who had previously advertised on Facebook and Instagram and wanted to expand their advertising efforts to Pinterest. As you can see here, we spent $43,126.63 over seven months, averaging $6,100 per month, and from that investment, we generated just over $345,536.30k in revenue, resulting in a 8.01x return on ad spend.

Audience Testing

Identifying the right audience is crucial. I started by creating various audience segments based on interests, behaviours, and demographics that align with Pinterest's user base. I then implemented A/B testing to find the most responsive audience groups, adjusting parameters based on performance data.

Ad Copy and Creative Testing

I crafted multiple versions of ad copy and creatives to see which combinations resonated most with the target audience. I focused on visually appealing and inspirational content, as Pinterest users are highly visual and engage more with aesthetically pleasing ads. I then regularly refreshed creatives to prevent ad fatigue and maintain high engagement rates.

Offer Testing

I tested different offers to determine what drove the highest conversion rates. This included discounts, bundles, and exclusive deals. I then analysed performance metrics to identify which offers appealed most to new customers and led to increased sales.

Results:

The strategic approach paid off significantly:
  • High ROAS: Achieved a 8.01x return on ad spend, far exceeding the initial target of 3x.
  • Revenue Growth: Generated $345K in revenue, showcasing the power of effective Pinterest advertising.
  • New Customer Acquisition: Successfully targeted and converted new customers, contributing to long-term brand growth.

Case Study: Achieving $85K in Revenue in Four Months with a 4.39x ROAS through Meta Ads

  • Industry: Homeware E-commerce brand
  • Target ROAS: 2.5x
  • Timeframe: February to May 2024
  • Ad Spend: $19,373.92
  • Revenue Generated: $84,993.12
  • ROAS Achieved: 4.39x
  • Focus: Acquiring new customers and incentivising existing customers to repeat purchase.

Before working together, this client had tried running ads themselves from November 2023 to January 2024 but had a high $42 to acquire a customer (CPA) and a ROAS below 2x. They needed better results, so here’s the 3-step formula I used to more than double their ROAS and cut their CPA in half.

Audience Testing

To start, I created multiple audience segments including custom audiences based on existing customer data, lookalike audiences from top customers, and interest-based audiences targeting specific interests related to the products. I then set up ad sets for each audience segment, allocating a small budget of $10-$20 per day per ad set to efficiently identify which segments were most responsive. By monitoring metrics such as CTR, conversion rates, and CPA over a 1-2 week testing period, I was able to identify top-performing audiences. I then reallocated the budget from underperforming ad sets to the high-performing ones, maximising ad spend efficiency. This approach helped me to pinpoint the most profitable audiences, significantly boosting our overall ROAS.

Ad Testing - Copy, Creatives, and Offers

I created multiple variations of ad copy, creatives, and offers to determine which combinations drove the most conversions. This included testing different headlines, descriptions, and calls-to-action, as well as using a mix of images, videos, and carousels to see what captured the audience’s attention best. i also experimented with various promotions like discounts, free shipping, and bundle deals. By setting up A/B tests with 2-3 variations in each ad set, I could robustly test different elements. I monitored CTR, conversion rates, and ROAS to identify winning combinations, scaling successful ads and refining or eliminating underperforming ones. This testing process ensured I found the most compelling ad elements to drive conversions and improve overall ad performance.

Offer Testing

I created different funnel stages, including Top of Funnel (TOFU) targeting broad audiences, Middle of Funnel (MOFU) retargeting website visitors and engaged users, and Bottom of Funnel (BOFU) for high-intent users and cart abandoners. I tested campaign structures by running a single campaign with TOFU, MOFU, and BOFU ad sets and separate campaigns for each funnel stage to better control budget allocation and optimisation. By tracking performance across the funnel, I identified drop-off points and areas for improvement. I adjusted campaign budgets, ad placements, and targeting strategies based on the data. This structured approach ensured maximum performance at each funnel stage, enhancing overall conversions and efficiency.

results:

The strategic approach generated outstanding results:
  • High ROAS: Achieved a 4.39x return on ad spend, far exceeding the initial target of 2.5x.
  • Revenue Growth: Successfully implemented my three-step strategy resulting in $85K in revenue.
  • Cut CPA in Half: Significantly reduced the cost to acquire a customer, taking it from $42 down to $21.04