Founded in 2015, boAt is the fastest-growing consumer electronics brand in India, and is the first Indian online retailer to be named the fifth-biggest wearable brand in the world.
The D2C team at boAt was aware that using promotions to increase sales was necessary. However, they discovered that the most commonly used type of promotion in eCommerce, site-wide promotions, was actually teaching their customers to expect and wait for promotions and discounts in order to purchase.
Namogoo’s Intent-Based Promotion solution was the answer they were looking for. By identifying the real-time intent of each shopper, boAt was able to serve promotions only to those who needed them, thereby increasing revenue and saving margins by reducing discount costs.
The Problem: Site-Wide Promotions Damage Margins and Conversions
Having to work with narrow margins, boAt wanted to increase revenue without sacrificing margins from shoppers who visit their site organically. They understood that they have three issues with their site-wide promotion strategy. The first issue was that their promotions were not personalized. Second, site-wide promotions accustomed their audiences to discounts and ultimately negatively impacted their brand perception. Finally, giving discounts to shoppers who don’t need them to convert resulted in lost margins.
The team at boAt needed to find an alternative and smarter promotional strategy.
The key is to be smart and create personalized promotions tailored to consumer needs. With Namogoo, we realized that it’s indeed possible to drive more sustainable business growth that positively impacts our bottom line and gives our customers the deals they are looking for”.
Saurabh Bhandari, VP D2C at boAt
The Solution: Personalize Promotions for Organic Traffic with Intent-Based Promotions
Namogoo’s Intent-Based Promotions, which personalizes promotions in real time by delivering the minimum discount needed to convert shoppers at the optimal moment in their journeys, was exactly the solution they needed. Not only were they able to strike the right balance between offering discounts and maintaining a healthy brand perception, but they were also able to improve important business KPIs, such as conversion, cart abandonment, revenue per visitor, and more.
“The biggest challenge we faced before Namogoo was having consistent revenue without increasing promotion costs”.
Mohit Yadav, Growth Lead at boAt
The Business Impact: boAt Increases Conversion Rate and Saves Margins
Shortly after launching their first campaign with Intent-Based Promotions, boAt was able to save margins and decrease the average discount rate.
These results included:
- 25% increase in conversion rates
- 66% decrease in average discount rate
- 10% decrease in cart abandonment
Conclusion: Say Goodbye to One-Size-Fits-All Promotions
The boAt team was able to meet their KPIs through the use of Namogoo’s Intent-Based Promotions. This allows them to give up site-wide promotions and increase conversion rates delivering promotions that are aligned with the intent of their online shoppers and lower shopper expectations around waiting for discounts to make purchases.