gold juwellery Tiffany's

Revamping the Digital Proposition of a Prestige Brand

Diversifying and boosting Tiffany's channel revenues

Client

  • Tiffany's

Services

Challenge

When world famous jewellery makers Tiffany & Co noticed a decline in search interest in its ecommerce sites, it didn’t just sit and hope for things to improve - it took action fast, and approached WTC’s Commerce Data Management division with a brief to revamp its digital offering.

The challenge was to diversify and boost channel revenues by optimising underdeveloped categories. Tiffany’s wanted a solution that could be rolled out quickly across global markets, so it was important that we developed a flexible and scalable framework that could be adopted and adapted efficiently.

Inspiration

With the world at their fingertips offering more choice, convenience and competition than ever before, consumers hold all the cards in digital commerce. It has never been so hard for brands to cut through the crowd and secure long-term customer loyalty.

In this case, that was its own inspiration - how to make a household name brand like Tiffany’s, world-renowned for luxury, style and quality, break through the digital noise.

The company already had a number of Google Shopping ad campaigns up and running, but it was felt that these were not performing as well as they could do. Project partner, WPP’s Wavemaker, advised that ad campaigns could have a much bigger impact on revenues if they were given a better strategic framework and were built on optimised feeds.

That’s where Wunderman Thompson’s expertise came in.

Solution

A new strategic framework for ad campaigns was developed with the goal of increasing revenues. The focus was on optimising campaign feeds and reorganising how traffic was directed from search campaigns, increasing the chances of customers landing in places most relevant to their intentions.

Our Commerce Data Management (CDM) team was responsible for building and testing the new feeds, developing a framework that would achieve better standardisation and categorisation by product and material across multiple markets in various languages.

This involved building in capabilities to apply automated custom rules and overrides to give greater control and flexibility to campaign management, allowing targeted campaigns based on the optimised feed logic.

Finally, Wavemaker revamped the way products were labelled and organised within campaign feeds, working with Tiffany’s marketing team to organise category listings into bestsellers and non-bestsellers, and arranging everything by price point. This also helped to optimise towards conversions and provided valuable insight into product performance.

Growth

The new campaigns were initially launched in UK, Italy, Germany and France. Comparing year-on-year performance for the period immediately after launch, the headline figures were impressive - order volumes increased by 29%, revenues increased by 35% and return on ad spend went up by 29%.

The key to these figures was making ad campaigns more relevant, ensuring they appeared in more search results and therefore creating more opportunities for customers to click through to the brand’s ecommerce sites.

In the first month following launch, shopping ads appeared in 74 million more searches than in the same period the previous year, a 48% increase. That led to a 52% rise in traffic from ad campaigns going through to ecommerce sites. And because better targeting led to a higher click-through rate per add, average cost per click fell by 31%. When balanced against the increase in conversions, that meant Tiffany & Co benefitted from a 19% fall in cost per acquisition.