Our client, a new Microblading Studio, faced the same problem as any business in the health and beauty sector: the market is extremely saturated, and penetrating it can be very expensive. Every city is filled with spas, health centers and rogue freelancers trying to get their piece of the pie and undercutting each-other on price and services. An additional layer of complexity was that there are some established players on the market that were already spending close to $20 per lead at the time of our launch, meaning their cost per purchase was actually much higher. Meeting the big players head-on would have been cost prohibitive, and our cost-per-acquisition (CPA) would be nowhere near what it needed to be in order to grow the business at the rate and scale that was required.
With great challenge, also comes great opportunity. The market for Microblading and high-end cosmetic services is extremely large. At an average customer value of $500+, there was a clear path to profitability if we could convert. However to do this effectively, we had to maximize our budget, meaning we had to find the customers where nobody else was looking. We also needed to make sure that we were driving traffic to a website and landing page that was optimized for conversion, and specifically optimized for mobile viewing.
We did three things to create this winning strategy: develop a strong website/landing page, acquire great creative imagery/videos and find the right audiences on Facebook/Instagram. Firstly, we developed the actual website/funnel where we'd be driving traffic. We built this particular site on Wordpress due to the fact that the business required something that cost-effective to deploy and would be future-proof to the big updates that we would inevitably make as the business grew. The website/funnel was designed and optimized for conversion from the beginning, following a cohesive strategy built to capture the visitor and serve them educational content and videos on Microblading and the standard procedure that they offer. We tested multiple different call-to-actions (CTA) to ensure we were weeding-out no shows but also capturing as many as possible with a low-friction as possible, given that the product and commitment was over $400. We quickly found our perfect medium. On Facebook/Instagram, we literally tested 50+ ads and audiences to test and re-test who responded the best. After a short ramp-up period we identified the winning content and were then able to further expand upon it. As is frequently seen now, video ads performed close to 4 times better than anything else.
After over 16 months, we've consistently achieved a 9x return-on-investment (ROI), or about 993%. Certain campaigns on Facebook have even swelled to 16x ROI, or a return of 1600% during certain seasons.
