The Importance of Oversaturation

Industry
Online food ordering & delivery
Market
B2C
Country
Australia

Delivereasy is a New Zealand owned food delivery service, that focuses on efficiently delivering your favourite restaurants’ meals to your door.

At a glance

$10,000+

reduction in ad spend

14.38x

increase in ROAS

The campaign

The challenge was understanding their brand positioning in a competitive service offering to obtain profitable customers and orders.

To grow, Delivereasy needed to spend smarter.

Tracking: We needed to understand where revenue was coming from, how much interaction customers had with the company, and how much to spend to keep them coming back.

Audience
Impressions
Ad click rate
Ad clicks
Clicks to site
Click to site %
18-34
107,715
5.51%
5,936
560
9.43%
35-44
82,162
7.29%
5,990
735
12.27%
45-54
69,280
11.94%
8,274
996
12.04%
55-64
54,468
16.63%
9,059
1,046
11.55%
65+
58,901
23.40%
13,785
1,656
12.01%
Broad travel interest
134,680
9.81%
13,207
1,433
10.85%

Testing:

Using a conversion lift test we determined which conversions are caused by ads and which wouldn’t have happened without them.

We found that the majority of our ads aren’t delivering any meaningful value to the business. Even though there was positive ROI on our ads, these sales would likely happen with or without our ads displaying.

Execution:

We’ve proven to generate further ROAS we need to align our spend on driving awareness and the different purchasing behaviour of each region.

Using regionalised historical data we were able to bid on the optimal amount of times each individual audience needed to see an ad before purchasing.

The results

Tracking, testing and execution allowed us to balance frequency, spend more effectively and generate greater return.

We were able to reduce spend from $15k+ in August 2018 to under $5,000 in March 2019.

Once we could track revenue in January 2019, we were able to highlight what regions were driving the majority of revenue and reduce over-spend even further.

Using regionalised frequency bidding we were able to launch into new markets, and further establish the brand in existing markets. Overall leading to an increase in ROAS from 0.24x in January 2019 to 3.45x in March 2019.

Channel
Passport application starts
Media investment
Cost per new application
Gmail
172
$4,491.72
$26.11
Display
92
$4,452.58
$48.40
Total
264
$8,944.30
$33.88
$10,000+
reduction in ad spend
14.38x
increase in ROAS

More of our work