Case Study • Apparel
Blue Way Merges Online-Offline Consumer Insights, ups ROAS 15X
Problem
OMO manager’s ecommerce Return On Ad Spend not paying offSolution
Find online shopper’s preferred attributes for better POS merchandisingResults
BLUE WAY
Blue Way Jeans began in Japan, the birthplace of the world’s best denim brands. Selvedge and raw denim originated there and to this day Japanese material processing and design taste set the standard for blue jean lovers everywhere.In 1979, Blue Way moved to Taiwan and upgraded their production with innovative dying and washing technologies. In recent years they’ve become a force in the Asian Streetwear world with embroidered imagery on their jeans, wild T-shirt designs and athleisure wear. Their look is as timeless as the steady stream of young people that continue to love what Blue Way makes.But staying timeless these days isn’t just about what you sell, it’s also about how you sell — especially when it comes to ecommerce. Executive assistant Eric Huang heads the company’s OMO effort, a big responsibility in an age when competition to provide a holistic online-offline experience is make or break.
Problem
OMO manager’s ecommerce Return On Ad Spend not paying off
Blue Way faced problems that are common among many fashion retailers. The ads they were paying for on Facebook, Google and Instagram were becoming more expensive and cutting into their margins too deeply. They hired advertising and SEO agencies and even started an affiliate program but the results were the same. The traffic they were getting was good but their onsite conversions weren’t justifying the ad spend.
Ecommerce platform not so hot
Onsite, they were relying on their ecommerce platform’s recommendation system which showed shoppers “Hot Items.” But like many recommendation systems at this level, the hotness of the items is actually based on large segments of shoppers, not individual preferences. Shoppers these days, especially Gen Z, want retailers to show them they know them.
With this in mind Eric Huang set out to evaluate new tools for doing 1-to-1 online preference analysis and truly personalized onsite recommendations. The idea was that the unique consumer insights from the website and would lead to better recommendations and higher conversion online while also letting him know which products to push offline.
Solution
Get online shopper’s preferred attributes for better POS merchandising
The Rosetta AI Personalization Experience Platform helped Blue Way get a better understanding of their first-party data. The platform analyzes what shoppers see in the products they click, and creates preference profiles that are used to recommend items at just the right time in the customer journey.
Preference analysis data drives more conversions
By transforming onsite data into individual profiles, the Blue Way website can automatically decide which products a shopper is personally interested in and then cross sell additional products, effectively raising average order value.
Just before a shopper is about to check out, the “you may also like” in-page carousel recommender box shows items that match the shoppers individual preferences.
Ready made recommender box templates can be chosen quickly on the handy backend dashboard or fully customized to match Blue Way website look and feel.
You can also offers promotional pop-ups to first time site visitors, engaging them immediately. And then as they browse and the preference profile builds, personalized promotions are offered when the hesitant shopper detection feature senses that a shopper intends to exit the site.
Results
When Blue Way started using the Rosetta AI Personalization Experience Platform, conversion rates increased by 3.78x. Average Order Value went from $105 to $130, increasing by almost a quarter. Most importantly though, ROAS increased and remained at 15x and the OMO strategy Blue Way sought was implemented successfully.