The pandemic has changed the way brands sold their products and the way consumers shop. Due to the increase in internet and smartphone usage , the Indian e-commerce market saw a huge boost. It is expected to grow to US$ 188 billion by 2025, and reach US$ 350 billion by 2030.
Founded in 2015, boAt Lifestyle is one of the biggest winners in the current e-commerce D2C category. Today, the company is the fastest-growing consumer electronics brand in India, and the fifth biggest wearable brand in the world. The secret to this success lies in their ‘experimental DNA’ and their desire to keep learning and growing.
Like most D2C brands, boAt too faced issues in conversions and new acquisitions. Their plan of site-wide promotions or blanket promotions to lure in new customers came with a major setback– they would have to run a number of sales each month that actually increased the customer acquisition cost and overall conversion cost. The team suffered revenue loss as they ended up offering discounts to users who did not even need them.
Realising this was not a sustainable, profit-driven growth plan, they decided to fix this leaky bucket quickly by offering discounts to users who really needed them in order to accelerate conversion. boAt realised that personalised promotions are a smart way to identify the users and give discounts to only those who are less likely to convert otherwise.
The Namogoo breakthrough
The question remained – How could boAt manage their discounts to acquire new customers and still remain profitable? Growth was a critical element, and profitable growth more so. As a constantly growing brand, boAt has always aimed to find technological solutions that guide them in their growth journey. They were looking for something that could optimise their overall discounts and deliver a good customer experience.
Onnivation, who have been using the best of Israeli deep tech ecosystem to drive digital transformation in Asia, played a significant role in offering them a solution. Based on the team’s research, they realised that boAt needed Namogoo’s Intent Based Promotions for immediate results and ROI.
Namogoo is the world’s first Digital Journey Continuity platform, helping over 1,000 brands shape their customer journeys to fit each and every shopper’s needs. The Israel-based company has an array of solutions to help brands increase conversion, revenue, and maintain their brand perception. Through these efforts, they ensure that no customer journey is interrupted.
Their Intent-Based Promotions leverage AI/ML to predict shoppers’ intent by considering each visitor’s unique signals and behaviour in real time, to offer them promotional discounts in accordance with their intent. This first-of-a-kind solution doesn’t just help brands increase their revenue, but also offers customers unstoppable journeys. With solutions like this, brands can reduce their promotion costs while achieving an increase in revenue.
The business impact
Almost immediately after the partnership, boAt began to see results. The team was able to save margins and decrease the average discount rate. Namogoo’s Intent-Based Promotions enabled boAt to optimise their promotions and deliver the best ROI along with conversions.
The brand saw a 25 percent increase in conversion rates, 10 percent reduction in cart abandonment, and the discount average decreased from 18 percent to 6 percent. Along with an industry leading solution that changed the way they offered discounts, boAt found great customer service from team Namogoo. The partnership also allowed the boAt team to finally focus on other things apart from their monthly or weekly sale like before.
To grow any business, brands need to have the right partnership. Namogoo came into the industry with the same thought process. They have been very supportive and understanding towards the boAt team’s problems. Unlike a vendor or client relationship, the two companies are guiding and supporting each other towards growth.
While Intent-Based Promotions are the beginning of this partnership, the journey is far from over. boAt soon plans to go live with Remarkety, a leading e-commerce data-driven marketing platform that Namogoo recently acquired. Alongside this, boAt is also working with them on their Customer Journey OS. The unique technology that Namogoo brings can offer brands a competitive advantage, without putting additional pressure on resources. As far as boAt goes, this partnership will only get richer and deeper with time.