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Yannick Wittenauer
Published on 9 September 2020
Pandacraft is a native French digital brand, featuring among the top 10 youth subscription brands. Each month, subscribers receive a hands-on activity and an educational magazine.
Pandacraft has grown through Facebook/Instagram and Google Search acquisition levers, and only uses YouTube for branding – the platform is over-consumed by kids and their parents, with 3 youth channels in the top 10 YouTube channels worldwide.
A conviction: Pandacraft needs to take its use of YouTube to the next level and combine branding and performance to continue to grow.
A certainty: to integrate the platform into its acquisition levers, and to aim for a cost-effective CPA for new customers.
Pandacraft’s priority is the back-to-school period, that is conducive to subscription purchases for children.
Pandacraft is a brand that invests in content and has videos in stock that are used on Facebook/Instagram or on its website.
The preliminary step is to select the most relevant videos to generate performance, using the scoring of the Creative YouTube Index. These are then optimized in post-production using VideoRunRun’s Creative Suite, to get as close as possible to YouTube performance standards (by the way, you can test your videos here).
VideoRunRun used in managed SaaS is configured to compete against combinations of variants that mix :
VideoRunRun technology operates on YouTube’s Direct-Response format: TrueView For Action, designed for brands that want to generate at least clicks and at best sales.
The KPI from the start was sales/subscriptions.
VideoRunRun automatically generated and launched 1,500 sub-campaigns mixing all these variants in France, focused 100% on new clients.
The purpose of these 2 weeks of testing:
Once back to school, the great results obtained encouraged Pandacraft to continue its campaigns throughout Q4 and until Christmas, another strategic period to sell subscriptions for children.
Since January 2020, Pandacraft has decided to let its campaigns run continuously on the VideoRunRun algorithm, based on 2 videos without any notion of seasonality: “evergreen” videos that can generate performance and sales to new customers, with a structure of problem / solution / proof / incentive to click, etc., without any reference to back-to-school or Christmas.
This ongoing approach allows continuous feedback of data and insights on videos and campaigns.
Worst to Best: difference between the best and worst combination of variants tested
vs CPA acquisition target for new clients
each € spent
brought in 6 times more
In phase 1, the test demonstrated a 300% variation in performance between the worst and best combination of variants on the sales KPI.
The target Cost Per Acquisition (CPA) has been reduced to a fifth, thanks to the VideoRunRun algorithm, largely surpassing expectations on the funnel entrance, to reach a ROAS of 5.9 on the ongoing phase.
80% of the sales on YouTube are made on new customers, on top and in the middle of the funnel.
Convinced by the profitability and scalability on YouTube – 1 year of profitable campaign acquisition – and confidence in video creatives, Pandacraft decided to invest in a new video designed for performance in year 2.
Ongoing campaign, results, and insights to follow…
With an ever-increasing budget and new target markets, YouTube has more than ever become a pillar of the Pandacraft marketing mix, allowing the brand to break free from its back-to-school and Christmas addiction.
Long live evergreen videos and campaigns 😉
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