Online & offline sales
ROAS (Return on Ad Spend)
CAC (Customer Acquisition Cost)
Challenge
Artknit Studios has made a commitment to selling products at fair prices that benefit the entire supply chain. Thus, balancing the costs of ethical production with affordability necessitates a delicate equilibrium, posing a complex challenge in maintaining a sustainable business model.
As with most seasonal businesses such as knitwear, where demand decreases during the summer season, sustaining a year-round business model without solely relying on seasonal spikes posed a critical obstacle in achieving consistent revenue generation and growth. Maintaining a solid brand positioning and a commitment to their purpose-driven mission while simultaneously scaling a business rapidly presented a significant challenge as well.
They focussed on these two aspects:
- Committed to keeping a robust brand positioning in order to enhance brand visibility and credibility for their core conscious target audience
- Targeted to scale fast and gain profitability by creating a full-funnel marketing experience that considered strategies across short and long time periods
Solution
In the summer of 2023, Artknit Studios adopted an integrated, full-funnel, and omnichannel marketing strategy. This comprehensive approach combined lead generation and a drive-to-store campaign to launch a new initiative that aimed to better position the brand on product circularity as well as promote the opening of a pop-up store, leveraging social networks, CRM, and paid channels.
They were able to create a successful full-funnel marketing campaign that helped them:
- Support and enhance brand recognition
- Enhance customer acquisition and retention while being profitable in the long-term
- Grow the business in an outstanding way by gaining higher advertising ROAS in the short-term to balance the investment and optimize the paid media budget.
This approach supported the launch of two new important initiatives. First was the launch of the Imperfect Platform, a selection of clothes coming from waste and small production issues that they regenerated to offer a more accessible product to our community. Secondly, they promoted their physical pop-up store in Milan bringing qualified traffic and new acquisitions.
Viceversa’s flexible funding mechanism helped the brand gain necessary financial support to implement long-term marketing activities and strategy for the business’s scale-up phase.
Strategy
Viceversa’s innovative funding approach played a pivotal role in addressing the challenges faced by Artknit Studios. Through Viceversa’s flexible funding mechanism, the brand gained the necessary financial support to implement long-term marketing activities and a strategy that aimed at sustaining the business during the scale-up phase. Viceversa’s growth platform offered them a distinct advantage over traditional banking institutions and capital raise methods for startups, primarily due to its flexibility and agility in providing funds. This flexibility is particularly advantageous for businesses that prioritize maintaining control over their operations and require timely financial support without compromising their governance structure.
Results
The drive-to-store campaign integrated with magnets like exclusive events and promotions for the Artknit Studios community led to a significant increase in foot traffic and in-store sales, creating a solid CRM database of local customers that drove conversion in the short-term. This also helped them acquire leads for a more profitable customer lifetime value and set the basis for their new upcoming peak season.
The lead generation campaign to get exclusive access to the Imperfect Platform selection helped them boost the CRM results optimizing CAC and conversions on returning and new customers.
Customer speak
Viceversa enables a rapid and streamlined funding process, allowing businesses to access necessary capital without enduring the lengthy bureaucratic procedures commonly associated with traditional banks. This quick access to funds is crucial for startups aiming to seize time-sensitive market opportunities and execute strategic growth initiatives promptly. Unlike capital raise methods that often necessitate selling company shares or equity, Viceversa’s funding mechanism is non-dilutive. This feature allows startups to secure essential funds without diluting their ownership or governance structure, ensuring that they retain full control over their business decisions and operations.
Read more Peak Season success stories in our ebook: Peak Season Power Plays
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