Avoiding short-term gains at the cost of long-term profitability
How HBM Machines uses Kickbite's holistic measurement
Customer:
HBM Machines - NL Market
Date:
May 1
Pain Points:
AI Attribution, Media Performance
“From ROAS, to CAC, to POAS, to Retention. We get a clear understanding of it all.”
Mark van Loe - Head of Marketing
Situation
Many ecomm brands are excited about Google POAS bidding as a way to increase profits.
Complication
HBM Machines wanted to try POAS bidding but wants to measure its long-term impact on the business
Key Questions
Is POAS bidding the ultimate strategy for ecomm, or does it sacrifice new customer acquisition and sustainable growth?
Results
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Workflow Google Specialist
Step 1. Setup POAS bidding in a market for Google Ads
Step 2. Review the results in independent source of data: Kickbite. 22% drop in new orders and a 34% increase in CAC, which threatens long-term growth
Step 3. Benchmark against other markets using different bidding strategies to identify what works best
Step 4. Swith to new customer bidding in Market, recovering growth and enabling future reorders with a CLTV over 200 euros
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