01 CASE STUDY Overview
Fogarty Wine Group is making waves in the online wine market through an adaptive approach to its paid search, email and loyalty marketing initiatives. Truly a family of fine Australian wine, this homegrown brand places an emphasis on an integrated approach to marketing, which is proving to be the key to consumers’ hearts and cabinets.
In mid-2021, Clue partnered with Fogarty Wine Group to drive online sales via their website through Google Ads while ensuring a strong and consistent return-on-ad-spend and aiding the discovery of their product range along the way.
- 99% increase in online revenue year-on-year.
- 16% increase in eCommerce conversion rate.
- 45% increase in number of transactions.
- 37% increase in average order value.
Client
Fogarty Wine Group
Expertise
Strategy, Experiences, Marketing, eCommerce
02 The Challenge
The $16 billion Australian liquor retailing industry is not only sensitive to economic changes, but is also dominated by four large industry players. This makes it a volatile place to operate that presents its fair share of barriers to growth. For a little context, these major players account for more than 75% of the entire industry combined in 2021/22.
The challenge was growing direct-to-consumer sales online while competing with larger retailers that boast significantly larger budgets and existing market share.
03 Our Approach
After working with Fogarty Wine Group just months prior to deliver a memorable online experience through a site that exudes luxury, it was time to generate traffic and continue to drive online sales. We knew that together, we had put the right things in place to convert customers once they had begun to interact with the brand through its online touchpoints, so this was about bringing the right people to the site at the right time.
That’s where Google Ads came in, and through extensive keyword research, we were able to identify high-intent search terms to target new customers. Through defining an audience that could be retargeted, we ensured all bases were covered and facilitated the maximisation of conversions, as well as an increase of brand/product awareness in the market.
In practice, our approach did not come without its challenges. Throughout the learning phase and beyond, we had to be conscious of two factors: budget and efficiency. To maximise both, we had to truly understand the industry, our audience and market trends to inform the allocation of media spend. Some search campaigns required more investment than others, particularly with a focus on achieving a sustainable return-on-ad-spend of 4:1.
The early adoption of Google’s Performance Max campaign meant that we could replace both our Smart Shopping and Remarketing efforts with one centralised campaign. This was done with the intention of not only continuing to generate transactions, but to increase brand awareness and lead generation in the form of rewards club sign-ups as well.
Through keeping a close eye on account activity, we continued to discover more about the brand, our audience, the industry as a whole and how to best optimise our media spend. This led to the decision to halve our Google Ads budget and allocate the other half to a new lead generation campaign in Facebook Ads to encourage further rewards club sign-ups. This idea was largely informed by one metric; over 63% of Fogarty Wine Group’s revenue had been attributed to email marketing in the three months leading up to May 2022. Essentially, where there were shortfalls in how the budget was being spent in Google Ads, we decided to work on growing rewards members that were likely to become repeat customers that purchased through the brand regularly.
04 The Outcome
Our team was engaged by Fogarty Wine Group to propose a complementary approach to the new site that launched in early 2021. Since then, we have worked hard to ensure growth that not only leads to overcoming the challenges and achieving objectives, but exceeding expectations wherever possible and ensuring the approach was sustainable to set the brand up for future success.
Let’s take it back to the start just quickly. After three months of running ads, our return-on-ad-spend sat at 1.93:1 – much lower than we’d hoped? Yes, but we knew getting this right would take time and care. One year on from our first three months and the account was sitting at a 4.09:1 return-on-ad-spend and consistently exceeding a 4:1 return month-on-month.
Between May and September 2022, our Facebook Ads campaign had generated 432 rewards club sign-ups at an average cost per lead of $12.50. As a bonus, this campaign also recorded 28 purchases with a total revenue of $8,904.04 – a result worth toasting.
Finally, we know brand awareness is a tough one to measure, but Google Search Console gives us a good indication based on queries and impressions. So, when it came to brand-related searches (Fogarty Wine Group, Fogarty Wines and Fogarty Winery), impressions increased 87% year-on-year – from our first three months to now. In relation to product-related searches (Millbrook Winery, Deep Woods Estate, Smithbrook Wines and Evans and Tate Chardonnay), there was a 39% increase.
Through working with Fogarty Wine Group to overcome the challenges and achieve our objectives, we were able to record some incredible results.
- 99% increase in online revenue year-on-year.
- 16% increase in eCommerce conversion rate.
- 45% increase in number of transactions.
- 37% increase in average order value.
Don’t just take our word for it – see what all the fuss is about when you shop online with Fogarty Wine Group. We’ll be doing the same when we start running low.
Visit Fogarty Wine Group