Explore Robot World’s journey as they unite over 60 data sources across 9 e-commerce platforms, saving 40 hours monthly and optimizing their marketing strategy with Roivenue’s technology.
1. The challenge
Robot World is a company that specialises in home and garden robots, specifically robotic vacuum cleaners, pool vacuum cleaners and robotic mowers. They have also succeeded in penetrating the growing market with programmable toys. Robot World differentiated themselves by selling high-quality products only – each of which they personally tested and eventually developed their own brand, Symbo.
As a fast-growing company, Robot World started to experience a lot of fragmented data, especially from marketing sources because across 9 e-commerce sites they have over 60 data sources, mainly advertising platforms where they placed ads! It became quite complicated to make strategic decisions while having a lack of data-focused views in one place. After expanding to other European countries, the number of platforms they needed to check and optimize regularly became unmanageable.
And so, the need came into being. The main idea was to create a united set of reports and data views, which would move the company forward in data evaluation and data-driven decisions. To achieve this goal, Roivenue stepped in. Roivenue’s technology enabled Robot World to gather all the necessary marketing data into one place, combine them together, then sort and display them as needed.
Above the need for well-organised data, Robot World chose Roivenue because of their AI-driven attribution model. This technology was required in order to get rid of the last-click evaluation in Google Analytics, which does not assign fair credit to the upper funnel campaigns.
2. Data-driven reporting
The main source of web data is Google Analytics providing information about traffic, conversions and user behaviour. Those performance data are combined with marketing expenses from various platforms. Not only were the basic platforms like Google Ads, Facebook or Bing included, but also numerous local affiliates and price comparison sites. For all websites, over 80 connectors were created to get the data on a regular basis. There was no need to check all the local platforms regularly anymore.
In addition, accurate information about transactions and users was added from the internal website administration. It included orders not tracked by GA (for example because of blocked cookies) and also information about the margin of each transaction. The performance of each channel was thus possible to evaluate based on real profit, not just revenue. In addition, this data was also cleared by cancelled and returned orders.
The broadness and precision of the data were a revolution for the entire Robot World team.
As a result, they became a completely data-driven company, and from that time they started to make their decisions on much clearer and deeper data, which was also available at a much faster rate. The most useful feature is that since implementation they saw the important KPIs like margin, profit or revenue in real-time.
Later, Robot World’s in-house team of data specialists developed a set of reports outside of the Roivenue app based on the same data. It brought a customized view of the data tailored for each user in the company. These became very important, not only for evaluating the data in the marketing department but also became a useful tool to show varied reports in the regular all-company meetings.
The integration of Roivenue brought more than just better visibility into the data, the automated collection of the numbers from all platforms saved tens of hours of work per month, which now can be used for analysis and optimizations. They started to use their time more efficiently and, after a few months, they saw a great improvement in performance KPIs too.
3. Attribution and Optimization
The second crucial technology provided by Roivenue was an advanced AI-driven attribution model. This proprietary attribution model based on recurrent neural network (RNN) was applied on all customer journeys. It revealed much more precise insights about the real performance of each channel.
The marketing and business team at Robot World changed their attitude, optimized the specific marketing sources and adjusted their price policy to optimize the margin and increase their profit. Shortly after working with this new mindset, the first increase in effectiveness was detected. The new KPI mROMI became a star in the company. (The mROMI is an indicator which tells how effectively you spend your budgets compared with your profit instead of revenue.)
The biggest change when comparing the new AI data-driven attribution view with the last click was seen in the RTB house which served as a remarketing platform. It was identified that many of the remarketing touch points were made in still active customer journeys. As a result, the reported net revenues and profits of RTB House in Last Click were significantly better than for the AI data-driven model view, while other marketing channels preceding the RTB House were not given enough credit. After these findings, Robot World decided to stop cooperating with this type of source and invested the budget in other sources which are more profitable.
We can see that the last-click significantly overvalued the amount of revenue from RTB House. AI data-driven model assigns only 56% of the revenue to that channel. That led to a significant overspending in that channel. As a result the marketing profit was at the end only 11% what Last-click model indicated.
Profit growth after implementing Roivenue
We can see a growth in profit from the RTB house platform after optimizations based on Roivenue
Here we can see the long-term growth of mROMI after fully transitioning to AI data-driven model from last-click.
4. Conclusion:
This partnership was extremely valuable for Robot World, especially because of the aggregation of the fragmented data into one place. This led to a deeper and clearer view into marketing spending, average margins or YoY comparisons. The data-driven reporting positively influenced not only the performance part of the business but affected the attitude towards data in the entire company.
Cooperation with Roivenue brought Robot World many advantages in improving business objectives. Smoother work with data on a day-to-day basis optimized decisions and helped to decrease Cost of Sales by 12% YoY for Q2 2022 and improve mRomi by 10% for the same period of time.
Summary of the Impact
- 40 hours per month saved on reporting
- Filtered reports created for external marketing partners, which saved about 10 hours of communication per month
- Underperforming channels like RTB House identified in the first months of using AI data-driven model and budgets cut nearly by half in some cases leading to increase in the total profit
- Decrease in Cost of Sales by 12% and increase in mROMI by 10% in the same period.
- Data-driven decision-making culture adopted throughout Robot World.
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