About the company
Kiwitools is one of Sweden's leading online retailers of tools. They offer a hand-picked range from well-known brands such as Makita, Martinez Tool Co, Diamondback and Hultafors. The business is based in Skellefteå, with a physical store and warehouse from which they supply tradespeople across the country with world-class equipment.
For the past year and a half we have had the privilege of managing Kiwitools' Meta Ads and taking responsibility for the development of their web shop.
Before
- Unsustainably high CAC
- No creative strategy
- No retargeting
- A store hard to navigate for a large range
After
- A robust, scalable Meta structure
- Continuous A/B testing of content
- A steady ROAS of 22 for 1.5 years
- 40% lower CAC
Results
Kiwitools' challenge was typical of a niche retailer with an extensive product range: driving profitable growth despite low margins. Growth was held back by an unsustainably high customer acquisition cost (CAC) and a store that was hard to navigate and never built for thousands of items. In other words, there was no room to scale even though the ads were generating plenty of sales.
Our work began by building a new Shopify site where usability and speed were the priorities. We then implemented a robust, scalable Meta structure. Through continuous A/B testing of both image and video material, combined with a retargeting strategy, we have reduced CAC by more than 40%. This combination of technical rebuild and data-driven advertising has produced a stable ROAS of 22 over the past year and a half. For a retailer in the tool industry, that ROAS has not just been a good number, but a decisive factor in being able to scale the business while staying profitable.
