The Goal
Sum Digital, a San Francisco digital advertising agency, spotted an opportunity in TikTok's evolving platform for a high-end accessories brand. This two-year journey (2022-2023) was not just about amplifying a brand; it was about escaping the duopoly of digital advertising to deliver cost-effective sales.
The Solution
Beginning in 2022, and backed by a US$1 million budget, we produced a respectable 2.4 Return On Ad Spend (ROAS) and a 2.5% conversion rate. But it was 2023 that marked a turning point. With a renewed relationship with TikTok's Agency Strategy Team, abundant product inventory, and a $3 million budget, we explored TikTok's newest campaign types along with tried-and-true methods we knew would deliver results.
Our repertoire expanded, as did our results, most notably through the success of Video Shopping Ads (VSAs), which made the brand's beautiful in-feed video ads shoppable. After seeing a decline in ROAS from evergreen Value-Based Optimization (VBO) feed ads mid-year, we shifted budget over to the new VSA ad unit, resulting in a 30% increase in ROAS while seeing 10% stronger conversion rate.
An example of TikTok’s new Video Shopping Ads.
Later in the year TikTok introduced the ability to retarget site users with video shopping ads as well, which yielded a 7+ ROAS through Q4. This combination allowed for increased scale through a wider audience and higher interaction on ads within TikTok.
But the strategy wasn't merely about amplifying paid content; it was about cultivating a genuine brand presence. This approach paid off. The brand's organic following on TikTok nearly doubled, from 180,000 to 368,000, reflecting a content strategy that was as authentic as it was strategic.
The Success
The results from 2023 tell the whole story. We achieved a ROAS of 3.8 (58% increase year over year) and a conversion rate of 4.1% (64% increase). Our bold increase in investment, combined with best-in-class merchandising and proper agency support, paid off handsomely, showcasing Sum Digital's ability to navigate the latest offerings of social media marketing with style.
“Working on these campaigns has been an incredible journey the past year. The support from our TikTok agency team to allowlist us for new ad units and detailed reporting made scaling the business possible in so many ways - always testing and tweaking. The products themselves are top-notch, seamlessly blending quality and style, which made them fun to promote. I’m grateful for the unwavering support from both the brand and creative teams and the TikTok agency support team, who together made this success possible.”
Photo by Kelli McClintock on Unsplash