Expansion into foreign markets

GATOMO

Key highlights:

The beginnings of cooperation

We started working with Gatomo in the autumn of 2021. First, we took over the client’s advertising in the Hungarian market, where the company needed help with low profitability and stagnant sales.

After the cooperation was established, we first reviewed all the current campaigns and made the first optimizations based on our experience, and within a few weeks, the first results and a rise in sales had already followed.

We tested different Pmax campaign setups until we found a campaign that started to perform healthily relatively quickly. We set up a system on Facebook that quickly identified winning products within the existing portfolio.

Setting up an integrated strategy

We quickly realised that just changing the way we advertise was not enough. It is always necessary to look at the whole picture in a much more holistic way. So we prepared a list of sales tools or CTAs (CALL TO ACTIONS) for the client to improve conversions on the website. After just one month of cooperation, we doubled and then tripled their sales.

Finding the winning products

In Q1 the next year we were hitting our ROAS targets, but we were not entirely satisfied with the growth rate over that period. We took another look and defined the main “drivers” of sales. Together with the client, we set up a process of systematic testing of new products (finding winners) and started to work together much more systematically on testing new products. This soon yielded excellent results, as just two weeks after the start of testing we found a new winner, which had a significant impact on the new sales uplift.

Expansion into other foreign markets

As the client was satisfied with the results, we agreed to expand into other foreign markets. Together, based on our analysis, we selected the Czech Republic and Slovakia as the next target markets. We helped the client with advice on how to handle the expansion to new markets from an accounting point of view (whether or not a local tax number was required), with translations and later with customer support. Thanks to our experience in foreign markets, we were able to offer the client quick and cost-effective solutions to all the operational problems they faced when opening new markets.

Results

The results followed quickly and after just 14 days we were already achieving rapid sales growth in the Czech market, with ROAS over 4. This really encouraged us and gave us more confidence to raise our advertising budgets and we were able to far exceed the total sales level the company was achieving overall.

We quickly started talking about opening up new markets and started to prepare our growth strategy for the upcoming year.