Expand the market by optimizing sales effectiveness on E-commerce

Overall, Cuckoo’s search volume increased by +3.15% year-over-year (YoY) in 2022, while the industry demand declined by -15% YoY. By the end of the year, the market showed improvement in Q3 and Q4, however, a notable trend at that time was the aggressive inventory clearance by various brands.

In the context where the NMV (Net Merchandise Value) of e-commerce platforms fluctuated in “frequency” with the demand in 2022; Shopee led the market (55%), followed by Lazada (35%), and Tiki showed a slight decline. Moreover, Shopee and Lazada were considered the best choices peaking in Q3 and Q4. Although Cuckoo’s market share on e-commerce platforms was not too large, there was still an opportunity for the brand to expand by focusing on Q3 and Q4 annually and allocating resources according to the invested platforms.

Geographically, Hanoi and Ho Chi Minh City are the two markets holding the most market share in the industry (about 55%), with the South contributing to the industry’s demand and the North focusing more on Cuckoo. Therefore, to increase revenue, Cuckoo needs to focus more on the months with significant industry activity, particularly in Q3 and Q4. Additionally, Cuckoo should maintain strong demand in the North and intensify efforts in the high-demand Southern market.

PMAX played a pivotal role in developing the strategy and deploying advertising across multiple channels, analyzing the strengths and weaknesses of each channel to deliver a comprehensive effect when combining these channels.

Off-site: The goals were to drive traffic and convert orders, with different allocations for each phase and different audience segments. An analysis combining multiple factors (objectives, audience, creative content, advertising forms, etc.) was used to identify the most effective combinations and push them in each campaign.

On-site: Combining automated campaigns with self-adjusting budget allocations based on performance to achieve the best results. Trends in product searches were regularly updated throughout the day to boost or reduce investments timely.

By integrating on-site and off-site strategies, the budget was flexibly allocated based on actual performance. The campaign was conducted in five phases:

• Phase 1: Understanding the brand, product, and potential customer segments to propose and advise on a general online approach, including on-site and off-site advertising activities, campaign operations, promotional programs, and supporting activities for the best results.
• Phase 2: Detailed planning in terms of numbers along with the execution direction to achieve the goals.
• Phase 3: Consulting and proposing strategies for product promotion, content and image transmission, and promotional programs before each campaign. Directly operating advertising on-site and off-site.
• Phase 4: Integrating optimization objectives for each phase. Regular analysis and action to optimize the project.
• Phase 5: Reporting results and key learnings from the campaign.

Solutions

• E-commerce
• Branding

Services