140% revenue growth with a 6x improvement on repeat customers within the first year
About
Obvious Wines is a California-based startup featured on Shark Tank, that launched in 2018 with the goal of making high quality wine accessible, straightforward and approachable. The Obvious Wines collection combines high quality wines, fair prices, sustainable and environmentally-friendly practices and informative labels. Their transparent and simple approach has effectively removed the barriers most people encounter when trying to find and enjoy exceptional wines.
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Challenges
The wine industry is very competitive, with large aggregators in the space. It is estimated that 79% of wine customers have no brand loyalty. If brand loyalty exists at all, it’s only because some consumers are averse to risk by switching brands. Increasing the lifetime value of a customer requires additional marketing to engage acquired customers. Advertising for alcohol is constrained by policy across all or most advertising platforms, leading to disapprovals, restricted remarketing and limited reach.
Strategies
Since its inception, Obvious Wines has focused on reaching consumers through physical stores, door-to-door sales, restaurants and ecommerce. Recent events have highlighted a growing consumer trend and appetite for online shopping across many verticals historically reached through physical stores. Our goal is to explore the viability of direct to consumer sales as a permanent segment of the Obvious Wines business and to increase website sales through Google Ads at a ROAS of 1.6x or above.
Industry
ecommerce:
Sustainable & Vegan Wines
Services Used
- Paid Media
