Previous
Next
Accelerating Growth In Difficult Market Conditions
In this case study we’ll explore how this web 3.0 company leveraged Fractional CMO Insights & Growth Advisory to achieve accelerated growth during a down market.
The Situation In 155 Words
If you’re in business you realize that the future of our economy is anything but stable. Huge increases in growth have led to extremely challenging times. And it seems as though the situation may get worse.
If you’re familiar with the financial and cryptocurrency markets, you’ll understand that this is doubly true. Wild bull runs up are followed by stomach wrenching drops down. It is not uncommon to have prices fall by +80% in mere months, user interest in the space evaporating at the same time.
How then, do you stimulate growth in difficult periods, while reducing your customer acquisition cost (CAC)?
This is the exact question Coinberry had asked us as the crypto winter approached. Here’s how we helped them achieve explosive growth while reducing their customer acquisition cost (CAC) at the same time.
NOTE: Based on our marketing work & Fractional CMO advisory, we helped Coinberry explosively grow until their $38.5-million acquisition in 2022.
Situation Challenges
The Challenge
The cryptocurrency market has taken off like a rocket.
Dozens of companies have been propelled to stardom. Valuations of ideas are in the tens of millions and higher.
Prices have increased +1,700% and are still climbing. Coinberry, a cryptocurrency trading platform in Canada launches, looking to ride the wave and propel themselves into the future.
Only it doesn’t happen.
Instead, prices continue to climb for two more months, before imploding in a sharp drop down.
Their growth grinds down. Interest evaporates. The entire market is very slow. Very uncertain.
50% Drop In Bitcoin Price
With Bitcoin prices decreasing by over 50%, people are worried it could get worse. They sit on the sidelines, waiting.
70% Drop In Search Interest
Google search data drops 70% during this time period. Interest has nearly completely dried up.
Unsustainable Customer Acquisition Cost
With a CAC above sustainable levels the question was could it be reduced while improving growth?
Situation Challenges
Additional Considerations
With an uncertain market, they were concerned about the future of their business. Additional questions such as “Where should we focus our marketing efforts?” or “What marketing channels should we pursue?” and “How much should we allocate to each?” were top of mind.
Although market conditions were getting worse, they saw the opportunity for long term success.
And so did we.
Here were some of the high-level strategic goals that we considered.
Goals
High Level Goals
With market conditions changing, we knew we had to act fast. Money was being spent with little results, and the fate of the business lied in getting through this difficult downturn. Here were some of the high-level goal considerations:
- Growth in a down market
- Re-establish forecast & projections (users, capital allocation, resource allocation)
- Growth execution plan – what were the steps to progress forward
- Reduce customer acquisition costs
- Accelerate the flywheel of growth
What We Did
Our Solutions
We started by leveraging insights in our Fractional CMO & Growth Advisory service. Gaining insight into the company, all marketing spend was cut down to the bare minimum. This gave us the ability to save the firm money, while performing our 360 Degree Marketing Strategy.
Here are a number of highlights of our entire development of their marketing and growth strategy, their company strategy, and their execution plan.
Growth Advisory
We worked closely with the co-founders and executives to develop ownership and insights of all marketing activities.
Category Research
Conducted extensive category & industry research to identify underutilized marketing channels for growth.
Audience Awareness
Revamped audience insights and assumptions. We leveraged user interviews, surveys, new tracking and A/B testing to uncover new insights about users.
Analytics Focus
Assessed all marketing activities from an analytical perspective. Used data to identify areas for immediate improvement in conversion optimization and growth.
Core Messaging & PR
Shifted core messaging. Established an entirely new PR campaign to build awareness and gain more social proof for the platform.
Paid Media Experimentation
Created a tiered paid marketing plan. Covered traditional platforms (Google, Facebook), and expanded into display, influencers, newsletters and more.
Insights & Analytics
Our Results
With ongoing insights from the Fractional CMO & Growth Advisory the team was able to follow a systematic approach to marketing success.
We were able to reduce overall marketing spend on channels that were not bringing value, while uncovering opportunities in areas that were previously thought too expensive.
We shifted the way the entire team thought about marketing experimentation, customer acquisition costs, and cashflow. Ultimately we were able to speed up the velocity of cash, which enabled us to further amplify marketing efforts.
Insights & Analytics
Results Highlights
In a down market we helped Coinberry grow exponentially, while reducing their cost to get one customer (CAC). It was a success that helped put them on the path of fantastic growth.
NOTE: They ended up working with us for +3-years, and were ultimately acquired for +$38-million based on the strategies and growth we were able to achieve for them.
+5,500% Growth TTM
During this time period we were able to achieve +5,500% growth in just under 12-months. Note: We continued this trend with additional work over the next 2-years, allowing them to grow a total of over 11,000% (110x).
CAC Lowered by +74%
Leveraging data and insight, we were able to systematically reduce their customer acquisition cost by +74%. This allowed us to re-invest the saved capital into speeding up additional growth.
Streamlined Growth
Our Fractional CMO & Growth Advisory work helped streamline their marketing and growth engine. The work done here, allowed them to continue accelerating throughout the downturn, while others struggled.
Find out how we can put solutions
like these to work for you.
Find out how we can put solutions
ike these to work
for you.
We’d love to chat.
Trusted by
