8x ROAS For Ecommerce Furniture Company

Challenge & Objectives

Valyou Furniture’s goal was to establish their brand presence in the highly competitive Hawaii market before expanding to California and ultimately, the whole USA. Our objectives were to introduce their brand, drive sales, and maintain profitability at each stage of expansion.

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Our goals for this project were:

• Brand Introduction & Positioning: Introduce Valyou Furniture to the Hawaii market while positioning them as a provider of high-quality, stylish furniture at affordable prices.
• Immediate Sales & Profitability: Drive immediate sales with profitable advertising to establish the business and provide a foundation for future growth and expansion.
• Strategic Expansion: Carefully manage a phased expansion plan — from Hawaii to California, and then to the entire USA — while maintaining profitability at each stage.
• Demand Forecasting & Stock Management: Provide Valyou's logistics team with data-driven insights to help manage stock levels based on the online performance of individual products.
• Competing Against Industry Giants: Ensure Valyou were equipped to not just compete, but to flourish in this intensely competitive landscape against well-established, household-name brands.

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Valyou's distinctive blend of high-quality, affordable designer furniture had potential, but their lack of brand recognition and historical performance data posed significant hurdles. We needed to generate immediate, profitable sales in Hawaii to establish their brand and secure the resources necessary for future growth before expanding to new markets.

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Our Approach

We started with a general Google Ads shopping campaign for all Valyou products to establish a baseline, supported by smaller search and display campaigns. Throughout the campaign, we focused on maintaining short-term profitability and prioritized less risky tactics.

Our approach involved:

• Choosing Google Ads as the primary channel because of high user intent
• Creating a shopping campaign to establish a baseline and discover best-selling products
• Creating smaller search and display campaigns to support the main shopping campaign
• Diversifying into smaller, product-specific campaigns over time after getting more knowledge of Valyou’s best-sellers.
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Knowing that short-term profitability was critical for this young company, we carefully evaluated each tactic based on its probability of immediate success and the required investment for testing. Less risky tactics were prioritized.

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The Results

Our approach led to the campaigns turning profitable from day one. Within the first year of our partnership, Valyou established a second showroom and an on-island warehouse in Hawaii, a feat made possible by its rapid and significant brand recognition in the region.

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Our ‍key achievements for Valyou included:

• Immediate profitability of the campaigns from day one.
• Rapid expansion to California and the entire US within two years.
• Achieved an impressive 25x ROAS
• 400x increase in Valyou’s marketing budget over the past five years reflects their trust in our strategy.

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Our approach saw immediate success, with the campaigns turning profitable from day one. The successful scaling in Hawaii, boasting an impressive 25x ROAS, set the stage for the next phase of our expansion strategy: California. 

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Within just two years, Valyou had spread its wings to California and soon after, to the entire US, opening new showrooms in LA and Las Vegas in the process. 

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Now, Valyou Furniture stands as one of the leading furniture brands in the US, in an industry marked by fierce competition.

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Client Testimonial

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"Marketify has been a critical partner since our early days. Their hard work and dedication are unparalleled, and their knowledge of Google Ads is simply incredible. There are very few companies that can do what they do, especially at this scale. We now let them run our ads as they see fit, fully confident that our success is their top priority."

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Conclusion

Valyou continues to thrive, providing high-quality affordable furniture to its customers through its website and showrooms in Hawaii and California. After establishing their brand and gaining a foothold in the industry, the business is set to continue growing, expanding to new markets and building off their successful foundation.

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