PPC Case Study: +30% Conversions with Margin Tracking via Google and Bing Ads

About

My Next Mattress is a family-run business and a seasoned player in the UK mattress industry, trading for 30 years, including online. They aim to separate themselves from the competitive and saturated market by achieving the highest customer service standards.

Despite their longstanding reputation, the company faced a gradual YoY revenue decline. The decision to switch from their previous PPC agency to our team was driven by the need for an innovative approach that could revamp their PPC campaigns and deliver stronger and more sustainable growth.

Objectives and expectations

As My Next Mattress faced declining revenue and flaws in their PPC strategy, our engagement began with a comprehensive reassessment of their goals. 

Their previous campaigns had not strategically emphasized products that could drive higher profitability, and there was a noticeable lack of precision in how budgets were distributed across campaigns. In addition, the previous strategy lacked clear, actionable insights derived from data, making it difficult to track progress and allocation of ad spend.

Our main objective for the project was an increase in POAS (Profit on ad spend) and overall revenue, so we set the following strategic goals:

• Restructure My Next Mattress ads account
• Prioritize high-margin products and campaigns
• Improved efficiency in ad spend allocation
• Establish clear, measurable YoY improvements tracking
• Introduce a more data-driven and strategic approach to PPC management.

The main KPIs to track were revenue, spend, POAS, and conversion rate.

Our approach

We wanted to leverage advanced data analytics to drive decision-making and campaign optimization. Here’s how we restructured My Next Mattress ads account:

Implementing margin tracking

We implemented margin tracking within Google Ads and Bing Ads to gain a clear view of the profitability of different products by calculating the margin directly within the advertising platforms.

Focusing on high-margin products

With margin tracking in place, we could accurately identify which products offered the highest returns. These insights enabled us to focus our PPC efforts on high-margin products, ensuring the advertising spend was tied to the highest potential profits.

Optimizing ad spend

Understanding which products and campaigns were delivering the highest returns allowed us to prioritize them in our advertising strategy. That also meant identifying and reducing spending on less profitable campaigns, resulting in a more efficient allocation of the advertising budget and a higher overall revenue while reducing monthly ad spend. 

The entire approach was based on a thorough data-driven strategy, which included continuous monitoring and analysis of campaign performance against our KPIs, allowing for real-time adjustments and optimizations. 

Results

With a focus on high-margin products and efficient campaign optimization, we ensured that all ad spend was maximized for return. My Next Mattress’s PPC campaigns were finally bringing the results they had hoped for:

• ROAS increased by 30% on average MoM
• 30% increase in conversions
• Cost decreased by 16%

Are your PPC efforts not bringing the results you want? Don’t hesitate to reach out and get a free consultation with practical suggestions on the next steps from our PPC specialists.

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