Efficient expansion

THG Luxury brands already had a prominent shopping presence but recognized an opportunity to broaden their search reach across Google. However, historical data indicated a challenging hurdle: a higher cost-of-sale in search. The mission was to expand reach and seize growing demand while still maintaining performance targets.

With the strategic use of Squared.io's Add Queries Tool and AI Ads, THG Luxury brands rapidly advanced search, resulting in the creation of targeted, cost-efficient ads. They also furthered shopping performance by using Squared.io’s feed insights.

The opportunity

• While there was an opportunity to increase reach on THG Luxury brands search campaigns, they had historically delivered a higher cost-of-sale. To continue hitting cost-of-sale targets, they would need to ensure expansion was as efficient as possible.
• The team focused on increasing search investment around top-performing search themes before segmenting these to allow for hyper-targeted ad copy. This combination would help deliver a low CPC as well as high conversion rate.
• Given the high proportion of investment into shopping campaigns, by improving performance in this area it would allow for further expansion and testing in search.

The solution

• THG Luxury brands leveraged broad match and used Squared.io’s Add Queries Tool to action over 1,200 queries - helping to build out campaigns with top performers quickly and easily. The n-grams report enabled the team to swiftly identify and mitigate inefficient, low-volume queries at scale.
• As new ad groups were launched, Squared.io's AI Ads ChatGPT integration came into play, providing immediate ad copy suggestions which the team implemented to boost ad strength and performance.
• The insights from Squared.io's Merchant Centre, which included identifying missing product categories and size/colour data, enabled the team to swiftly enhance their product feed, resulting in improved delivery.

The results

The efficient utilisation of Squared.io's Add Queries Tool and AI Ads enabled THG Luxury brands to successfully tap into new areas of demand in search, culminating in a notable 10% year-on-year growth. This growth was achieved while simultaneously decreasing CPC by 5% across all accounts compared to the previous year. Consequently, cost-of-sale was reduced by 2.5 percentage points in the search, exceeding their targets. The team was also able to save 40% of time usually spent carrying out manual tasks.

• CPC: -5%

• YoY growth: +10%

• Cost-of-sale: -2.5 ppts

• Time saved: 40%