Over the past few years, the cannabinoids market in the US has seen significant growth. Several states have legalized cannabis for medical and recreational use, leading to a surge in cannabis-related businesses and a wider social acceptance with an increasing number of consumers incorporating them into their wellness routines.
Delta Extrax, the flagship brand of Savage Enterprises, is one of the companies that have taken the increased consumer interest as an opportunity for the development and sale of various hemp extracts and cannabinoid products.
As part of their growth strategy, Delta Extrax was looking for ways to increase the average order value (AOV) and drive incremental sales across their online shop without occupying their internal development resources. But what would the best way be to achieve that goal?
The Power of Partnerships: How Advertiser, Agency and Tech Partner Unlock Growth Together
In the dynamic world of digital marketing, strategic partnerships have enormous potential for unlocking growth and increasing success - and this proved true in this particular case. The affiliate marketing agency ThriveOPM, that operates several affiliate marketing programs via the Awin and ShareASale platforms, including Delta Extrax', knew just the right partner: Particular Audience.
Particular Audience is an AIaaS (Artificial Intelligence as a Service) provider featured in Awin's tech partner directory that offers seamless integration through the ShareASale and Awin MasterTag. With just a few clicks, brands can effortlessly incorporate Particular Audience's cutting-edge technology and leverage the performance-driven nature of the affiliate channel. Through this setup the partnership between Delta Extrax and Particular Audience operates on a CPA basis through Awin and ShareASale, eliminating any additional monthly costs.
Using AI-based 'Wisdom of the Crowd' to increase AOVs through Product Recommendations and Bundles
For achieving Delta Extrax' goals, Particular Audience leveraged their strategy of Collaborative Filtering to quantify customer behavioral data. This involved the AI analyzing product views and purchase histories to identify correlations and patterns. Using these insights, the AI then recommends additional products to customers based on their browsing and buying behavior. Consequently, Delta Extrax could curate personalized product bundles tailored to each customer's preferences, resulting in unique and compelling offerings.
How Particular Audience's widgets increase Delta Extrax' AOVs during the customer journey:
- Customer views product: AI recommends other products the customer might like on page
- Customer adds products to cart: A pop-up will show the customer more products they might find interesting
- Before checkout: A bundle of items related to the latest product added to cart will be triggered and the customer can add those via one click to the cart
The Results
Within 12 months, Delta Extrax was able to increase their key KPIs with Particular Audience's AI bundle solution:
- boost the sitewide AOV by 33%
- increase the average UpT (unit per transaction) by 22%
- drive over $140,000 worth of sales
- attribute over 17,700 transactions to the solution
Moreover, Delta Extrax improved the product discovery across their entire product range, reduced manual efforts within the team and optimized deliveries through shipping more items per order.
What started as a means of improving AOV became an ongoing partnership that improved Delta Extrax' broader ecommerce performance. Through Awin and ShareASale, the cannabinoid brand was able to easily adopt Particular Audience’s effective bundling solution without upfront integration costs and in a low risk pay for performance environment - two key benefits of enabling technology partners via the affiliate channel.
Learn more about Particular Audience in this webinar recording today and get in touch with our team here if you are interested in working with them.
