How Kizik used Shop Campaigns to drive a 3X return on investment on a new acquisition channel
Intro
Kizik, the leading brand in hands-free footwear, has a focus on ambitious growth in a competitive market: the footwear industry. Kizik has a broad and diverse customer base, primarily focusing on individuals ages 25 to 44, with interest from specialty groups like pregnant women, people with disabilities, and the elderly. To meet their growth goals and remain competitive in a crowded market, Kizik was looking for a new customer acquisition tool that would focus on new customers.
Every brand who has digital-savvy consumers should be using this [Shop Campaigns].
- Kizik
- Jesse Semchuck — Head of Acquisition
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Problem
Kizik's primary problem was to achieve substantial growth in customer acquisition while competing against larger players in the shoe industry. They needed an effective strategy to release new shoe styles without burdening their inventory. Moreover, attracting new customers and expanding their customer base at the same cost per acquisition (CPA) as their other acquisition channels was a key objective for the team.
Solution
The Kizik team was already aware of the Shop app and its mobile-first re-engagement tools like product recommendations and real-time order tracking. The team wanted to build on the organic brand awareness they'd earned from the app and decided to test Shop Campaigns as a new acquisition tool. The net-new aspect of the program and pay-per-conversion pricing model were particularly enticing for the team given their growth goals. In addition, the pre-set acquisition cost let them maintain the same, or a more efficient, CPA in comparison to their other acquisition channels. The combination of both of these aspects, in addition to the fact that Shop Pay customers are deemed higher-quality, earned Shop Campaigns a permanent spot in Kizik’s acquisition portfolio.
I would much rather spend to acquire a Shop Pay customer.
- Kizik
- Jesse Semchuck — Head of Acquisition
Results
The brand was able to establish a new acquisition channel optimized for their mobile-first audience while also giving them the same level of exposure as the biggest players in the market. Through 2023, Shop Campaigns yielded impressive results for Kizik.
- Return on investment: The campaign achieved well over a 3x return throughout the year, beating many other new customer acquisition channels.
- New customer acquisition: The campaign successfully acquired 13,000+ new customers for Kizik in 2023. This indicates a significant growth in their customer base, demonstrating the effectiveness of Shop Campaigns to incentivize new customers to make their first purchase.
It's an opportunity for brands, especially ones that are in growth mode, to adopt Shop Campaigns, and it is something they should be taking advantage of. We can punch above our weight versus big players, and I think we've done that.
- Kizik
- Jesse Semchuck — Head of Acquisition
By implementing Shop Campaigns, Kizik effectively addressed their customer acquisition challenges and achieved remarkable results. The campaign not only fueled their new customer growth but also increased brand visibility.
Overall, the success of the campaign highlighted the importance of leveraging mobile platforms, such as the Shop app, for customer acquisition strategies. Kizik's ability to effectively target and incentivize new customers resulted in substantial growth.
With Shopify Plus, Kizik saw results fast.
Over a 3X ROI
new customers in 2023