ABOUT THE BRAND
In the trending drinkware space, BrüMate stays ahead of the curve
BrüMate, a powerhouse in the drinkware and cooler industry, has rapidly become a staple for consumers looking for innovative solutions to keep their beverages at the perfect temperature. Known for its bold designs and cutting-edge technology, BrüMate has established itself as a leader in the nine-figure market, continually pushing the boundaries of the DTC model.
In the competitive landscape of ecommerce, BrüMate stands out with its innovative approach to enhancing customer engagement and sales efficiency through its mobile app. Recently, Hans Harris, the Director of Growth at BrüMate, shared insights into how a mobile app not only fortified the brand’s marketing strategy but also provided a cushion against the rising, volatile costs of customer acquisition.
THE CHALLENGE
In response to rising CAC and CPMs, BrüMate seeked a more cost-effective and reliable marketing strategy
Like many DTC brands, BrüMate faced the dual challenges of rising customer acquisition costs (CAC) and dependency on third-party platforms like Meta, which often led to fluctuating cost-per-impressions (CPMs) and unreliable marketing outcomes. The volatility of external advertising platforms prompted BrüMate to seek a more stable and cost-effective marketing channel that the BrüMate team could fully own and control.
Additionally, Hans recognized the need for a platform that offers a more personalized and engaging customer experience designed to maximize LTV.
"Having the app lets me be more aggressive on acquisition because it’s a reliable and efficient sales channel that increases our MER. It's a huge safety blanket when it comes to scaling the most expensive channels."
Hans Harris, Director of Growth at BrüMate
THE SOLUTION
Push notifications allows BrüMate to effectively retarget shoppers with a diversified acquisition strategy
BrüMate partnered with Tapcart to develop a mobile app that would serve as a reliable and efficient sales channel, independent of third-party ad platforms. The app was designed to leverage push notifications—a cost-effective alternative to SMS and email marketing—to enhance customer retention and engagement.
Hans explains the transformative impact of the app, which has been instrumental in BrüMate’s retargeting efforts and diversifying acquisition strategies.
"As Director of Growth, my role is mainly focused on net-new acquisition, and we find that we can count on the app's revenue quality and relatively inexpensive nature, which has built a super resilient base of monthly revenue. This has actually allowed us to be a lot more aggressive in paid acquisition since we have all this returning revenue that’s nearly freely acquired."
Hans Harris, Director of Growth at BrüMate
THE STRATEGY
With the app, BrüMate can be more aggressive on acquisition because it’s a reliable sales channel that increases MER
Introducing the app has led to a remarkable improvement in MER. By circumventing high CPMs and reducing reliance on platforms like Meta, BrüMate has been able to maintain a robust margin. Harris notes, “We also offer exclusive experiences where one prong is offering a 10% discount; you have to go to the app… we use this to take advantage of opportunities in paid social.”
In response to advertisers’ common problem on DTC Twitter of what to do when CPM is high and can’t trust meta, Hans finds the app gives him additional margin to lean into. He can continue to “weather the storm” without breaking the bank. The app is a huge safety blanket when it comes to scaling the most expensive channels.
App exclusive strategies target high-intent customers
Exclusive app-only promotions and early access sales have been key strategies for BrüMate. This approach has quadrupled forecasted app downloads and consistently supported BrüMate’s revenue streams.
"It’s pretty incredible as a growth marketer to see what power that retention and quality of revenue resilience can do in unlocking additional revenue on the growth side,” adds Harris.
For some new collections, BrüMate does app exclusive products or colorways. For example, they’ll put an exclusive color that is only available in the app. At a given time, the team may have more than one app-exclusive product or colorway to incentivize app downloads and purchases through the app.
Hans’ advice? If you can incentivize downloads you’ll be ROI positive.
Push notifications are much more scalable compared to SMS
To Hans, push is a far better communication tool than SMS. The BrüMate team uses push to build a relationship with customers through on-brand messages that aren’t always about selling, but instead inspirational.
"On a percentage basis, push is significantly cheaper and the engagement gap is widening. For any campaign, we see push first, then email second, and SMS is bottom of that list. It’s not nearly as scalable."
Hans Harris, Director of Growth at BrüMate
Prime real estate on the phone lets the brand stay top of mind
The app has the benefit of uninterrupted attention and logo-showcasing real estate. Harris shares, "The app is a great tool to be up to date with everything that’s going on with BrüMate. Any campaign they have, it lands directly on the lock screen."
THE RESULTS
The app drives resilient revenue
The BrüMate app quickly established itself as a resilient revenue generator, contributing 10% to 20% of monthly sales at a very low cost. This efficiency has enabled BrüMate to allocate additional margin towards scaling other marketing channels without jeopardizing financial stability. App users, more than non-app users, come back more often and spend more which really helps the LTV.
Increased marketing efficiency ratio (MER)
As mentioned, the app's success has led to a significant increase in BrüMate's MER, allowing the brand to be more aggressive in its marketing efforts and take advantage of high CPM situations it might have otherwise passed on,
Exclusive experiences and higher engagement
By offering app-exclusive promotions and products, BrüMate has successfully increased app downloads and engagement. For instance, during the Memorial Day Sale, BrüMate exclusively launched high Average Order Value (AOV) products on the app, significantly enhancing customer Lifetime Value (LTV).
"If you care about top-line revenue, then you should care about developing resilient revenue coming through your app because it unlocks so many ways you can scale the business that I think you would be unable too without that sales channel supporting - whether it’s 10% of your monthly revenue or 20% high end that’s coming to you at a very cheap cost."
Hans Harris, Director of Growth at BrüMate
Key takeaways
- Increased Conversion Rates and AOV: The BrüMate app led all sales and distribution channels in conversion and average order value, thanks to its tailored user experience and exclusive offerings.
- Cost-Effective Customer Engagement: Push notifications proved to be a cheaper and more effective method for engaging customers, surpassing the performance of traditional channels.
- Enhanced Customer Retention: The app's exclusive content and promotions have not only increased downloads but also boosted customer loyalty and retention, contributing to a higher lifetime value.
- Boost in Revenue: The reliable and efficient nature of the app-based sales channel allowed BrüMate to be more aggressive in paid acquisition strategies, supported by the solid base of app-generated revenue.
Future plans for BrüMate's app
Looking ahead, BrüMate plans to continue leveraging its mobile app to introduce new products and exclusive promotions. The app’s role in the company’s omnichannel strategy is expected to grow, potentially contributing up to 20% of monthly revenue. Future plans include utilizing the app for early access to new collections and exclusive color options, further enhancing the VIP experience for app users.
BrüMate's commitment to innovation and customer engagement through their mobile app not only sets a high standard in the DTC space but also underscores the importance of mobile commerce in today's market. As Hans Harris aptly put, if an eight or nine-figure brand values resilient revenue streams and scalable business models, investing in a mobile app is not just beneficial; it's essential.
Ready to wow your customers with an elevated mobile experience?
ABOUT THE BRAND
In the trending drinkware space, BrüMate stays ahead of the curve
BrüMate, a powerhouse in the drinkware and cooler industry, has rapidly become a staple for consumers looking for innovative solutions to keep their beverages at the perfect temperature. Known for its bold designs and cutting-edge technology, BrüMate has established itself as a leader in the nine-figure market, continually pushing the boundaries of the DTC model.
In the competitive landscape of ecommerce, BrüMate stands out with its innovative approach to enhancing customer engagement and sales efficiency through its mobile app. Recently, Hans Harris, the Director of Growth at BrüMate, shared insights into how a mobile app not only fortified the brand’s marketing strategy but also provided a cushion against the rising, volatile costs of customer acquisition.
THE CHALLENGE
In response to rising CAC and CPMs, BrüMate seeked a more cost-effective and reliable marketing strategy
Like many DTC brands, BrüMate faced the dual challenges of rising customer acquisition costs (CAC) and dependency on third-party platforms like Meta, which often led to fluctuating cost-per-impressions (CPMs) and unreliable marketing outcomes. The volatility of external advertising platforms prompted BrüMate to seek a more stable and cost-effective marketing channel that the BrüMate team could fully own and control.
Additionally, Hans recognized the need for a platform that offers a more personalized and engaging customer experience designed to maximize LTV.
"Having the app lets me be more aggressive on acquisition because it’s a reliable and efficient sales channel that increases our MER. It's a huge safety blanket when it comes to scaling the most expensive channels."
Hans Harris, Director of Growth at BrüMate
THE SOLUTION
Push notifications allows BrüMate to effectively retarget shoppers with a diversified acquisition strategy
BrüMate partnered with Tapcart to develop a mobile app that would serve as a reliable and efficient sales channel, independent of third-party ad platforms. The app was designed to leverage push notifications—a cost-effective alternative to SMS and email marketing—to enhance customer retention and engagement.
Hans explains the transformative impact of the app, which has been instrumental in BrüMate’s retargeting efforts and diversifying acquisition strategies.
"As Director of Growth, my role is mainly focused on net-new acquisition, and we find that we can count on the app's revenue quality and relatively inexpensive nature, which has built a super resilient base of monthly revenue. This has actually allowed us to be a lot more aggressive in paid acquisition since we have all this returning revenue that’s nearly freely acquired."
Hans Harris, Director of Growth at BrüMate
THE STRATEGY
With the app, BrüMate can be more aggressive on acquisition because it’s a reliable sales channel that increases MER
Introducing the app has led to a remarkable improvement in MER. By circumventing high CPMs and reducing reliance on platforms like Meta, BrüMate has been able to maintain a robust margin. Harris notes, “We also offer exclusive experiences where one prong is offering a 10% discount; you have to go to the app… we use this to take advantage of opportunities in paid social.”
In response to advertisers’ common problem on DTC Twitter of what to do when CPM is high and can’t trust meta, Hans finds the app gives him additional margin to lean into. He can continue to “weather the storm” without breaking the bank. The app is a huge safety blanket when it comes to scaling the most expensive channels.
App exclusive strategies target high-intent customers
Exclusive app-only promotions and early access sales have been key strategies for BrüMate. This approach has quadrupled forecasted app downloads and consistently supported BrüMate’s revenue streams.
"It’s pretty incredible as a growth marketer to see what power that retention and quality of revenue resilience can do in unlocking additional revenue on the growth side,” adds Harris.
For some new collections, BrüMate does app exclusive products or colorways. For example, they’ll put an exclusive color that is only available in the app. At a given time, the team may have more than one app-exclusive product or colorway to incentivize app downloads and purchases through the app.
Hans’ advice? If you can incentivize downloads you’ll be ROI positive.
Push notifications are much more scalable compared to SMS
To Hans, push is a far better communication tool than SMS. The BrüMate team uses push to build a relationship with customers through on-brand messages that aren’t always about selling, but instead inspirational.
"On a percentage basis, push is significantly cheaper and the engagement gap is widening. For any campaign, we see push first, then email second, and SMS is bottom of that list. It’s not nearly as scalable."
Hans Harris, Director of Growth at BrüMate
Prime real estate on the phone lets the brand stay top of mind
The app has the benefit of uninterrupted attention and logo-showcasing real estate. Harris shares, "The app is a great tool to be up to date with everything that’s going on with BrüMate. Any campaign they have, it lands directly on the lock screen."
THE RESULTS
The app drives resilient revenue
The BrüMate app quickly established itself as a resilient revenue generator, contributing 10% to 20% of monthly sales at a very low cost. This efficiency has enabled BrüMate to allocate additional margin towards scaling other marketing channels without jeopardizing financial stability. App users, more than non-app users, come back more often and spend more which really helps the LTV.
Increased marketing efficiency ratio (MER)
As mentioned, the app's success has led to a significant increase in BrüMate's MER, allowing the brand to be more aggressive in its marketing efforts and take advantage of high CPM situations it might have otherwise passed on,
Exclusive experiences and higher engagement
By offering app-exclusive promotions and products, BrüMate has successfully increased app downloads and engagement. For instance, during the Memorial Day Sale, BrüMate exclusively launched high Average Order Value (AOV) products on the app, significantly enhancing customer Lifetime Value (LTV).
"If you care about top-line revenue, then you should care about developing resilient revenue coming through your app because it unlocks so many ways you can scale the business that I think you would be unable too without that sales channel supporting - whether it’s 10% of your monthly revenue or 20% high end that’s coming to you at a very cheap cost."
Hans Harris, Director of Growth at BrüMate
Key takeaways
- Increased Conversion Rates and AOV: The BrüMate app led all sales and distribution channels in conversion and average order value, thanks to its tailored user experience and exclusive offerings.
- Cost-Effective Customer Engagement: Push notifications proved to be a cheaper and more effective method for engaging customers, surpassing the performance of traditional channels.
- Enhanced Customer Retention: The app's exclusive content and promotions have not only increased downloads but also boosted customer loyalty and retention, contributing to a higher lifetime value.
- Boost in Revenue: The reliable and efficient nature of the app-based sales channel allowed BrüMate to be more aggressive in paid acquisition strategies, supported by the solid base of app-generated revenue.
Future plans for BrüMate's app
Looking ahead, BrüMate plans to continue leveraging its mobile app to introduce new products and exclusive promotions. The app’s role in the company’s omnichannel strategy is expected to grow, potentially contributing up to 20% of monthly revenue. Future plans include utilizing the app for early access to new collections and exclusive color options, further enhancing the VIP experience for app users.
BrüMate's commitment to innovation and customer engagement through their mobile app not only sets a high standard in the DTC space but also underscores the importance of mobile commerce in today's market. As Hans Harris aptly put, if an eight or nine-figure brand values resilient revenue streams and scalable business models, investing in a mobile app is not just beneficial; it's essential.
