In this case study, we examine our collaboration with Gorillas, a grocery delivery company operating in prime locations in Europe and the UK. Gorillas faced high rider acquisition costs in key markets, including the Netherlands, UK, and Germany. To address this challenge, we conducted a comprehensive analysis of historical data, evaluated cost per lead and conversion rates for various channels, implemented paid search ads, optimized paid social campaigns, and tested different communication positioning strategies. Through these efforts, we successfully reduced rider acquisition costs and improved efficiency. This case study provides insights into the client background, the solution implemented, and the achieved outcomes.
Client Background: Gorillas is a grocery delivery company providing on-demand services in prime locations across Europe and the UK. While experiencing significant growth, Gorillas encountered high rider acquisition costs in their key markets, which posed challenges to their operational efficiency and profitability.
To address the high rider acquisition costs, our growth marketing studio devised a multi-faceted solution that involved a deep dive into historical data, strategic channel evaluation, and implementation of targeted advertising and communication strategies.
Deep Dive into Historical Data: We conducted a thorough analysis of Gorillas' historical data to evaluate cost per lead and conversion rates for each marketing channel. This analysis allowed us to identify the most effective channels and optimize the allocation of resources accordingly.
Paid Search Ads: We implemented paid search advertising campaigns to target users actively searching for grocery delivery services in the Netherlands, UK, and Germany. By leveraging relevant keywords and optimized ad copy, we aimed to capture the attention of potential riders at the moment they expressed interest in this service.
Optimized Paid Social Campaigns: Through careful targeting and continuous performance optimization, we maximized the effectiveness of paid social campaigns. By leveraging demographic, behavioral, and interest-based targeting, we reached a highly relevant audience and minimized wasted ad spend. This approach enabled us to efficiently acquire new riders at a lower cost.
Testing Different Communication Positioning: We tested various communication positioning strategies to optimize the messaging and creative elements used in rider acquisition campaigns. By conducting A/B tests and analyzing performance data, we identified the most compelling positioning to resonate with potential riders and drive higher conversion rates.
Outcomes: The implementation of our strategic solution led to significant outcomes for Gorillas:
Reduced Rider Acquisition Costs: By analyzing historical data, optimizing marketing channels, and implementing targeted advertising campaigns, we successfully reduced rider acquisition costs in the Netherlands, UK, and Germany. This improvement allowed Gorillas to allocate their resources more efficiently and improve their operational profitability.
Improved Efficiency and Conversion Rates: Through continuous monitoring and optimization, we achieved improved efficiency and conversion rates across paid search and paid social campaigns. The strategic targeting and optimized messaging helped attract and convert a higher number of potential riders, resulting in a more streamlined and cost-effective acquisition process.
Our collaboration with Gorillas enabled us to address the challenge of high rider acquisition costs in key European and UK markets. By conducting a deep dive into historical data, optimizing marketing channels, implementing paid search and paid social campaigns, and testing different communication positioning, we achieved significant reductions in acquisition costs and improved efficiency. These outcomes not only enhanced Gorillas' operational profitability but also positioned them for sustained growth and success in the competitive grocery delivery market.
Aiste Juknaite, Director of Growth
We were struggling with multiple delivery force campaigns across numerous markets and they reverse the trend. Got us the performance we needed.