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How Sports Direct increased conversion rates by 61% while reducing campaign costs
The Brand
Sports Direct is Europe’s largest retailer of sports and fitness footwear, clothing, and equipment. What began as a UK high-street store has grown into a leading international retailer serving millions of customers every week across 24 countries.
Driven by its mission to champion the legend in everybody, Sports Direct offers products across football, running, training, cycling, swimming, and other sports, helping customers perform at their best.
Challenge
Improving campaign efficiency by incorporating margin and stock data.
Sports Direct had already built strong data-driven Meta campaigns using ROI Hunter’s Product Insights and Template Editor.
The brand wanted to incorporate first-party business data, including product margin and stock availability, into its existing product segments to improve profitability and avoid wasting spend on unsuitable inventory.
Solution
Refining product segments with margin, stock, and cross-channel performance data.
Sports Direct connected additional business data to its catalog through ROI Hunter, allowing the team to combine margin and stock information with product-level performance data from across its advertising and analytics channels.
The brand refined its Best Sellers and Hidden Gems segments by excluding selected brands, requiring products to have margins of at least 35%, and removing products with out-of-stock variants. This ensured budget was directed toward available, profitable products with strong sales potential.
The insights and level of support provided by ROI Hunter have been first-class, and a large part of our improved performance is due to the team’s knowledge of the platform and understanding of our objectives.
Higher conversion rates, lower acquisition costs, and significant revenue growth.
By applying more precise product-level rules, Sports Direct improved the efficiency of both its Best Sellers and Hidden Gems campaigns.
The strategy delivered:
+61% Conversion Rate
-33% CPA
-28% CPC
The refined campaigns enabled Sports Direct to reduce campaign spend by €25,500 while increasing revenue by €2.3 million. The brand also improved its Best Sellers conversion rate by 45% and significantly reduced wasted spend on low-margin or unavailable products.
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