How this brand went from $1.3M to $3.5M in 2 years

Welcome to this issue of The DTC Insider newsletter. 👋

If you're new to our community, welcome! We'll send you weekly emails, every Wednesday, trying our best to deliver great value to your inbox.

In this newsletter, you'll find:

💠 Finding Out If Your Product Is the Top Choice in the Market

💠 From $1.3M to $3.5M in 2 Years

💠 This Brand Went Ad-Free on BFCM 2023, and You Won't Believe What Happened

Finding Out If Your Product Is the Top Choice in the Market

Here's how to know if you have the best-in-market product.

And I bet most of you haven't done this.

I often hear founders expressing how much they care about solving specific problems for their customers.

Some even go further, claiming to have the best product in their space.

I used to believe all that.

Until I met this founder the other day, while recording an episode for The DTC Insider podcast.

He said something that stood out.

This skincare brand has done...

Listen carefully...

63 product iterations!

But, why?

Was it because they weren't happy with it?

No.

It was because they BLIND-TESTED their product against their competitors.

And guess what?

THEIR CUSTOMERS - not the brand itself - didn't like it as much.

And they didn't stop until their potential clients chose their product over the rest. 👏

That was iteration #63.

Would you dare do this with your products and see what happens?

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From $1.3M to $3.5M in 2 Years

The other day marked 2 years with a dear client of ours.

They were doing $1.3M in ARR when we started working with them.

And now they're doing $3.5M.

For those in a similar position who are wondering how we did it, here's the breakdown:

Doubled down on what worked:

We noticed that Facebook Ads were working really well for them, and that was a constant over time.

So, while in 2022 we ramped up the budget, in 2023 we went even further, spending 87% more than in the previous year, resulting in a growth of 124% in sales coming from this platform, at an average ROAS of 4.92, which was on target for this client.

Added a customer acquisition channel:

Until then, we were only managing Facebook ads for them.

But they were running TikTok Ads with another agency, and things were not working.

Literally, almost no orders at all.

He decided to give us a shot, and we took over by mid-August 2023.

Here's how it went:

There's a long way to go here, but hey, they sell $400 products.

Which is not super ideal for TikTok's audience.

But it still works pretty decently for them.

Added email marketing:

Believe it or not, they weren't doing anything on this front.

So, we did the whole thing: strategy, email flow setup, topics for the email campaigns, and their implementation.

The results?

Klaviyo currently represents about 30% of the total revenue 🔥

What's next?

In 2024, we are going for the $5M goal 💪

What plans do we have?

First and foremost, we'll work on increasing the AOV through bundles and pre/post-purchase up-sells.

Then, we'd like to start getting more repeat orders to increase the LTV - and CAC-to-LTV ratio.

For that, we're planning on implementing more segmented email flows with relevant products depending on what they bought.

On top of that, we'll get the conversation started for their B2B efforts, as they're great clients too, but nobody is talking to them.

This is just the beginning, and there will be more ideas down the road.

--

If you own or work for a DTC brand and feel frustrated by not being able to achieve your goals, feel free to book a discovery call and we'll see how we can help.

This Brand Went Ad-Free on BFCM 2023, and You Won't Believe What Happened

In today's episode of The DTC Insider podcast, Brian Roisentul interviews Michael Huffstetler.

He’s the founder of Bask Suncare, a brand that empowers people to discover their purpose, get outside, and enjoy life.

On this episode of The DTC Insider podcast, we discussed:

👉 Background and Company Introduction

👉 Genesis of the Business Idea

👉 Standing Out in the DTC Landscape

👉 Profitability Goals and Strategies

👉 Acquisition and Retention Channels

👉 Case Studies of Successful Wins

👉 Unconventional Move: Turning off Ads on BFCM

👉 Incorporating Customer Feedback into Product Development

👉 Milestones and Achievements

👉 Key Success Factors for DTC Brands

🎧 Tune in to our latest episode: https://thedtcinsider.com/c/podcast

Want to check out more podcast episodes?

Here are some of the top-listened episodes:

💎 Supplement Brand Bootstrapped $10,000 and Built It Into Sales of $30 Million in Three Years with Ronak Shah

💎 LinkedIn's "Top E-Commerce Voice" Reveals The #1 Struggle for DTC Brands with Neal Goyal

💎 Jon Loomer’s Take on the Evolution of Paid Ads and The Importance of Short-form Video with Jon Loomer

💎 How Frost Buddy Went From $0 to $30M in Under 3 Years with Brock Mammoser

💎 Give Up Your Stuff, Not Your Dream with Jules Weldon and Stacey Pierce

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