As a new brand in a competitive space, expectation was that
Molecule would not be profitable in the first 1-2 months.
While month one was nearly break-even, month two saw
Molecule’s ROAS rise to approximately . . .
case studies
Launching a Profitable “Disruptor” Brand
Challenge
Molecule, a new mattress company, is breaking into the competitive field of industry “disruptors” – companies selling mattresses online rather than through a traditional store. DFO was tasked with building the Molecule mattress brand while keeping sales profitable on a Cost Per Acquisition (CPA) basis.
Strategy
After discussing profitability with the client, we settled on a CPA of their bed sheets, a complementary product designed to introduce consumers to the Molecule brand. We also advised tracking the Return on Advertising Spend (ROAS), as any sales of the mattress would significantly skew our CPA target.
