Case Studies

Leveraging Seasonality Leads to 650% Non-Branded Profit Growth

THE COMPANY:

America’s top online retailer for car restoration parts with a massive inventory of parts for classic cars dating back to 1947.

 

THE CHALLENGE:

 

Classic Industries had campaigns in both Google Ads and Microsoft Ads that had been working well, but they needed to grow their profits without increasing budget. To get a better idea on when the campaigns were most profitable, their Account Manager, Alaina, measured this for a year. She concluded that Q2 and Q4 were the most profitable quarters for the brand. Though demand was the highest during those months, the PPC budget had remained relatively constant throughout the entire year. To optimize towards that profitability, Classic Industries and Alaina agreed to make some changes.

 

THE SOLUTION:

 

Optimize Google Ads and Microsoft Ads toward to most profitable quarters of the year using a seasonal Paid Search budget.

 

Set an average monthly budget, spend X amount more during high profitability periods in Q2 and Q4, and X amount less during lower profitability periods in Q1 and Q3.

 

Begin tracking profit in Google Ads, per each campaign. Get rid of the static monthly budget. Move to favor a budget influenced by seasonality and budget for profit in relation to its ebbs and flows amongst various campaigns.

 

The Results

+650% estimated profit growth
[2016-2017]
• After 1-1.5 years of tracking profit, the client felt comfortable stating that the monthly budget didn’t have to be unchangeable if a campaign was proven profitable.