Route to Market
Competitor Mapping
Testing/research was completed to assess CAC for different paid acquisition channels. A16Z published work surrounding waitlist to paid conversion and concluded 5-25%. We recognise hardware is likely on the lowest end of this range and have defined our waitlist to future-purchase conversion at 5% for this analysis.
Adjacent Company Analysis
Following competitor mapping, top-brands in adjacent sectors were analysed to understand what marketing techniques leads to success (or failure):
This analysis provided valuable insights into what worked and what didn’t within our target market. It indicated that short-form content on platforms such as Instagram and TikTok would be the most effective channel to begin building awareness and engagement.
Social Media Marketing Strategy
A16Z article
Testing/research was completed to assess CAC for different paid acquisition channels. A16Z published work surrounding waitlist to paid conversion and concluded 5-25%. We recognise hardware is likely on the lowest end of this range and have defined our waitlist to future-purchase conversion at 5% for this analysis.
Initial Ad Spend (Meta)
Website Clicks
Waitlist Sign-Ups
£9.52
Billboard Spend
£0.08
Avg. cost
/12 second play
119
Plays
High St Ken - JCDecaux
3,001
Implied Reach
For further analysis of billboard strategy see P&L model.
Ad Views
Website Clicks
Waitlist Sign-Ups
Meta Ads Manager allowed Hibearnate to rapidly pilot test CAC using Facebook Ads (without having a Facebook account)
YouTube was shown to be a strong referring domain for many Adjacent Companies and so will be a major part of future advertising. The original advertising plan does not feature large amounts of YouTube adveritising in Y1/Y2 as short form content is the best first touch point whilst YouTube is better for more mature companies. Research which investigated over $1m of YouTube ads produced clear average, and interquartile ranges for CPC values. For more information see P&L.
Another high-referring marketing technique is Reddit, this was shown in our Adjacent Companies analysis. Reddit has a range of possible ad formats including conversation-style placements which sit within reddit posts, in addition to classical image/video ads which sit at the top of pages. Paid Reddit ads have been shown not to be effective with implied CAC values over £100 - see P&L for detailed breakdown.
Ad Views
Website Clicks
5
Waitlist Sign-Ups
A range of testing was completed to assess CAC for a range of paid acquisition channels
Conventional methods of advertising, physical flyers were a great way of getting the brand out there. Additionally the creation of these flyers was a good opportunity for' behind the scenes' marketing.