Since 2016, Parts Town and Tinuiti have been setting yearly goals to scale revenue by +35% while maintaining or improving return-on-ad-spend (ROAS) from a year-over-year (YoY) perspective.
Throughout the entirety of the COVID environment, the entertainment and restaurant industry has had its ups and downs, having a direct impact on Parts Town. There were challenges to performance relating to demand for equipment and parts, the conversion rate of businesses buying, prices of products and shipping, and challenges from competitors looking to enter auctions and increase their footing.
Due to these challenges, Tinuiti’s Paid Search team adjusted their approach to be even more in tune with demand trends for each state, and analyze each state’s COVID-19 procedures to predict future trends. Tinuiti was successful in monitoring the changing landscape to know when to be more aggressive for certain brands and in specific locations when to reduce aggressive bidding to become more efficient, and better monitor auction insight trends to fend off competition within the SERP.
How We Did It
Tinuiti’s Paid Search & Shoppable Media teams targeted a combination of ‘New Users’ and ‘Past Purchasers’ through granular audience targeting and segmentation in order to achieve business goals. The target audience for Parts Town is owners and managers within the food service industry, consisting of restaurants, cafes, bars, schools/universities, hotels, entertainment venues, and more.
‘New Users’ were targeted across Text, Shopping, Display/Discovery, and YouTube tactics to find new segments within Parts Town’s target audience. This targeting enabled Parts Town to find net new users within the various business segments it targets.
This audience segmentation was applied across campaign tactics such as regular text ads, dynamic search ads, and shopping ads. Further, Tinuiti and Parts Town partnered together to identify priority brands for the business based on sales volume, leading to a tier structure across all of the brands Parts Town carries for more advanced targeting.
Upper-funnel tactics were also deployed via Discovery, Dynamic Retargeting Display, and YouTube campaigns. These tactics utilized the same audience structure and approach taken within the Text and Shopping ads. Through a combination of Prospecting and Retargeting, these campaign types helped generate demand and interest wherever was needed and increased retention efforts of past purchasers to remain in the Parts Town ecosystem.
Looking at the results from a period-over-period perspective, revenue grew 170%. Costs were up +112%, while ROAS improved +27% to 1,579%. In addition, there were 3.3K app installs from Apple Search Ads, and 22.5K app installs from App Campaigns within Google Ads.