fbpx

Case study

Hey Bud Skincare

Brand Story

Through countless research & experimentation with different formulas, Hey Bud serendipitously came across the magical properties of hemp. Hemp, which is a strain of the Cannabis Sativa plant, has specific natural oils that are not produced by the body, but are fundamental in skin health, helping with aging skin, moderating oil production and keeping the face at a perfect moisture. From hundreds of tests and becoming addicted to the positive results, they became motivated to spread the goodness of ‘Hey Bud’ to as many people as possible.

Goal

Hey Bud initially came to Sugatan in January this year with their monthly revenues down by -50% from Black Friday highs along with one of their viral ads starting to die. The founders had a high conviction that increasing the volume of performing creatives were the keys to getting their revenues to sustainably scale and approached Sugatan because of our proven expertise in performance creatives and our experiential knowledge in scaling two other skincare brands to $18MM+ annual revenues at ROI-Positive.

Sugatan Hey Bud Skincare

Increase in revenue

4x

ROAS

2.4x

MONTHLY REVENUE

+284%

In 4 months, after producing hundreds of creatives for Hey Bud, our efforts contributed to increasing their monthly revenue by +284%; not only stabilizing their monthly revenues to where they needed to be, but scaling revenue further while protecting their EBIT margins.

Sugatan Hey Bud Skincare
Sugatan Hey Bud Skincare

Challenges

The monthly revenue was down by -50%. One of their viral ads started to die and struggled to get revenues back up. The founders had a high conviction that increasing the quality and volume of their creatives were the keys to getting their revenues to stabilize

How we did it

  • Implemented Sugatan’s unique creative mix of Video Ads, Graphic Ads, and Advertorials to improve Facebook Ads Link CTR % and push Ad Spend
  • Added TikTok as a viable scalable acquisition channel
  • Implemented Sugatan’s advanced Ad Buying methodology that pinpoints a high-quality, engaged traffic at a CPM that’s cost-optimized for ROI-Positive scale

Added Sugatan’s unique creative mix of Video Ads, Graphics Ads, and Advertorials to improve FB Ad’s Link CTR % and push Ad Spend

Sugatan’s Video Ad Innovations for Hey Bud
  • Performing IG Reels,
  • Original Production of Raw Content based on Impulse principles,
  • Original Copywriting,
  • Pacing, Editing, & Custom Music Selection Overlay
KEY RESULT:
Link CTR% Facebook – 0.36% —> 1.18% (+0.82%);

Link CTR% TikTok – 0.70% Average

ADDITIONAL VALUE:

Decreased cost of traffic to website while increasing the quality of traffic.

Honestly, the best way to exemplify this is by watching the breakdown of this video ad visually where we break down the entire video ad step-by-step:

Sugatan’s Advertorial Innovation for Hey Bud

  • Controversial-Topic Messaging Arc,
  • Original Copywriting, &
  • Proven Landing Page Sequence/Format

KEY RESULTS:
Spent: $48,512.37
Link CTR: 3.03%
Revenue: $106,727.21
ROAS: 2.20

ADDITIONAL VALUE:
Added a viable, scalable acquisition method.

Sugatan’s GFX Ad Innovations for Hey Bud
  • Leveraging Bundles for Higher AOV & attract higher-quality traffic,
  • Original Copywriting,
  • Implementing short-form video/gfx mix content,
  • Data-driven implementation of frameworks that are proven

KEY RESULT:
Link CTR% Facebook – 0.36% —> 1.18% (+0.82%);
Link CTR% TikTok – 0.70% Average

ADDITIONAL VALUE:
Graphics Ads’ purpose is to drive enough performing ads that de-risks high dependency on performing video ads. They’re relatively fast to produce while generating a volume of performing ads that support the account’s monthly average revenue threshold as we scale to new monthly revenue averages.

Added TikTok as a viable scalable acquisition channel

One of our first priorities early on was to add TikTok as an acquisition channel because we quickly understood that Hey Bud’s product had high demonstrability appeal for the platform. It had the potential to easily catch the viewer’s attention as long as we executed on content that followed direct-response principles.

One of the key drivers of TOF revenue was actually a simple decision: create video ads for both TikTok & IG Reels, killing two birds with one stone.

If you watched our Video Ad YouTube breakdown, then you’ll see that what worked best in Facebook Ads Manager also worked best inside TikTok.

KEY RESULT:
+37% Revenue

ADDITIONAL VALUE:
New scalable acquisition channel. Reduced risk by diversifying acquisition channels.

Implemented Sugatan’s advanced & unique Ad Buying Methodology

Our goal is to find the perfect balance between high-quality traffic and the right CPM cost optimized for ROI-positive scale, which requires multiple elaborate & comprehensive tests of campaign structures, targeting objectives, & creative testing. For Hey Bud, their ad account was structured by an amateur Ad Buyer who was ad buying based on a basic structure without any independent thinking or analysis customized for Hey Bud. We find this to be a common theme amongst many ad accounts we audit so this was mostly expected. In addition, Hey Bud’s founders were at the cusp of completing their setup of European and U.S. fulfillment centers which gave us the opportunity to target additional geographical markets. But first things first… we needed to improve their campaign structures.

Now accepting applications for our True Performance Creative Bundle
100 Total Ads delivered to you to supercharge your performance. Apply here to be considered

Creative bundle application

 

SHARE: