While KX Pilates were focused on further growing their studio network, it also presented a key challenge in the digital campaign delivery. In a conventional digital campaign setup, the media budget is typically allocated by demand and population – leaving some outer studios with less value from their marketing budget. We needed to work on a solution that was both high-performing and equitable for individual studios. In addition to driving stronger memberships and pack-purchases, we needed to maximise the brand awareness beyond the current pilates and fitness market.
The previous campaign strategy took an unbiased approach to geographic targeting in the delivery. We identified the opportunity to produce a more tailored and cost-effective delivery by structuring the budget allocation according to demand and opportunity.
We leveraged audience insights and consumer behaviour research to create a system that dynamically set geographic targets based on their proximity to central locations. This was largely based on a higher willingness to travel in further distanced suburbs. In addition, this strategy allowed us to more effectively capitalise on higher audience availability in central areas and their resulting affordability.
To expand the brand while maintaining traffic relevance and lead quality, we needed to increase the campaign targeting in a more strategic manner. Qualitative and quantitative research was performed across the current member profiles, and this was expanded with focus groups and for members from a range of locations.
Based on the results of this research, coupled with insights from the website, social media audience data and general industry analysis, we were able to deliver a more accurate expansion strategy. As a result, rather than focusing on fitness-specific targets, we were able to expand across numerous additional target areas. In addition, the research produced enabled us to craft adverts that were both more engaging and more likely to to drive a conversion.
The social media campaigns produced substantial improvements in cost-effectiveness across all channels. For instance, across Facebook, with a 22.1% lower spend we were able to produce 113.2% more traffic – reflecting a 63.5% cheaper average cost-per-click even after just one month.
This higher affordability was largely due to the higher audience relevance, with the average click-through-rate increasing 162.7%. When looking at longer time-frames, the results were even more notable. For instance, the average click-through-rate was 227.4% higher while the average cost-per-click was 55.8% cheaper.