In 2019, a promising client in the apparel accessories sector was facing a significant challenge: they had an excellent product but were struggling to capture enough market share. Their main hurdle was attracting sufficient customer traffic to their offerings. Our collaboration began in November, just in time for the holiday season, presenting an ideal opportunity to deploy an aggressive bidding strategy for their campaigns, capitalizing on the influx of warm customers.
The holiday season proved pivotal. By December, our strategic efforts had paid off, with the client finally drawing traffic comparable to that of leading brands in their space. However, the post-holiday period in January saw a natural decline in traffic and sales. Despite this, we maintained a degree of our aggressive approach. Through January and February, while facing a rising Average Cost of Sales (ACOS) and decreasing traffic, our performance remained on par with our competitors in terms of market share.
Facing performance challenges, we made a bold decision with the client in late February 2020 to ‘zig’ while others would ‘zag’. Despite performance metrics suggesting a pullback, we hypothesized that our competitors would be experiencing similar issues. We doubled down on our aggressive strategy, betting that our competition would retreat. This gamble proved to be a masterstroke.
By March 2020, we began to outperform our competition significantly in the marketplace. April saw our market share doubling compared to our rivals, and by June, we had captured over 20% of the total market share in this competitive category.
This case study is a testament to our ability to identify unique market opportunities, make courageous strategic decisions, and achieve remarkable results. It underscores our commitment to guiding our clients through complex market dynamics, leading to substantial gains in market share and establishing them as leaders in their industry.