.webp)
Universe Light
Case Study
0 - $800K
in 3 months
2.98
average ROAS since launched
$31
CAC with an average AOV of $112
Ad Platforms Used:
About The Brand
Universe Light is a novelty night lights for kids and parents, which started as a dropshiping business
Due to tremendous growth in over the period, we decided to take on inventory and moved to a 3PL in Hong Kong with 7-12 days shipping time to most English speaking countries,
Part of the Growth comes from the decision to test multiple countries across AU, US, UK, CA & Nordic Countries.
Universe Light was one of our first internal brand, started in 2020 when the home decor category experienced amazing growth due to COVID-19 lockdown.
The business unfortunately slowed down after lockdown ended which slowed down, se we moved our focus no faster moving opportunity
The business was sold to an ecommerce VC firm in 2022 after generated over $2.75M in the 2 year period,
The business was then renamed along a new domain that isn't known to us for privacy purpose
Video Ad Creatives
Static Ad Creatives
Rapid-Testing for Product-Market Fit
We initiated our journey by developing hypotheses about our potential customers and their needs.
We crafted a minimum viable product (MVP) to test these assumptions with minimal upfront investment. We then launched targeted marketing campaigns, focusing on digital channels to quickly reach our audience.
Throughout this process, we closely monitored key metrics such as conversion rates, CAC (Customer Acquisition Cost), and AOV (Average Order Value)
Leveraging this data, we iterated on our product and marketing strategy rapidly. This approach enabled us to refine our offerings and target market effectively, setting the stage for scaling our operations confidently after identifying a strong product-market fit.
Through this process, we found out:
- 3x Winning Products - Moon Lamp, Levitating Moon Lamp & Galaxy Projector
- 4x Winning Markets - US, EU, UK & Nordics
At this stage, our ROAS was at 1.96
Creative Iteration for Scaling on Meta & TikTok
We needed a fast way to come up with and improve the best creative ideas!
- Thumb-stopping Hooks
- Diversifying creative format (static, videos, slide shows, animation)
- Different offers
- UGC content
Process:
- We started testing angles with Static Ads,
- After confirming the angle, we then developed video ad creative based on the winning angles tested
- We then developed 3x thumbstopping hooks for split-testing
- Once identified the winning hook, we moved to testing video content to reduce video-view drop off
- Next, with the winning combination of hook and content, we started split-testing different offers at the end of the video creativeOnce we confirmed the hook-content-offer combination, we started testing the final video ad creative with 3x ad copies and 3x headlines on Meta Ads
- Repeat the process for net-new creative
Key Learning: The demographic of young parents responded really well with the products. We found out that a lot of customers bought the products for their kids as bedroom lighting due to the novelty effect of the Moon Lamp range. We then sourced a lot of content from mom-influencers. Winning messaging was "The Ultimate Gift for Little Astronauts"
Bundling & Upsell
With our testing funnel, customers only prompted to buy just 1 product, led to an AOV(Average Order Value) of $65
We implemented our 4-step
Setup cross-sell at ATC button, while running a 50/50 split-test to test conversion rate between offering 20% off on:
- Same product
- Complementary product
Once we found 1 to be the highest conversion, we started testing the discount between:
- 1. 15% Off
- 2. 20% Off
We found out that the conversion rate stay the same with 15% off, hence generated higher revenue per accepted offer
Next, we started testing up-sell at post-purchase (after customer clicked Place Order but before Thank You page), offering 20% off on any complementary products
This way, we increased the AOV from $65 to $112, which increased our ROAS from 1.9 to 2.98 with the same ad spend, allowing us to have more margin to scale further
Key Learning: Be more aggressive with upsell. However, don't pester customers with an upsell every time they click on something. The best places for an upsell/cross-sell are (1) once someone clicks the ATC button and (2) at the post-purchase stage. Make sure you don't assume which upsell offer is best - always be testing
Our Services
1. Paid Social
Scaling your business with FB, IG, Snapchat & Tiktok Ads
2. Paid Search
Get in front of the ready-to-buy customers on Bing & Google Search platform.
3.Ecommerce Development
Supercharge your website conversion rate. Make the most out of marketing dollars
4. Performance Ad Creative
Powerful consumer psychology driven ad creative to turn mere strangers into hot buyers
5. Email & SMS
Maximise your customer lifetime value with Email Automation & SMS
6. UGC Content
User Generated Content is the #1 performing creative across different industries in 2022
.svg){kind=small}