The challenge
The brand has served Taiwan’s underwear market for decades and became the market leader with its well-known hosiery, investing in world-class machinery and technology to make the best products. In recent years it has expanded into sportswear, breathable antibacterial lines and seamless ranges. The underwear market is fiercely competitive and prices vary widely, so breaking through and building long-term loyal customers were the challenges of a business at a plateau.
Three funnel stages to unlock growth
Many brands focus their media investment on conversion ads and overlook that conversion momentum depends on a wide pool of new visitors. Advertising needs a long-term view: a healthy marketing structure and good content are what combine sales with customer relationships. CloudAD recommended setting strategy and tools stage by stage through the funnel.
Stage 1: Awareness, spreading word of mouth
CloudAD found that shoppers value real experience when choosing underwear. We recommended adding unboxings, reviews and emphasis on special features such as antibacterial treatment to ad tools and creative to increase purchase intent, and using influencer recommendations and word-of-mouth unboxings to extend organic reach from the customer’s point of view.
- Influencer recommendations: professional athletes and entertainers with large followings explained the product features, raising brand visibility.
- Word-of-mouth unboxings: because underwear choices relate to season and body shape, CloudAD planned varied angles for different customer groups, joining discussions in relevant forums on common topics such as body changes and breathability to raise the brand’s profile.
Stage 2: Consideration, reusing niche audience profiles
Traditional retail often scatters discounts to drive conversions, which trains shoppers to wait for sales, costing margin now and eroding the brand over time. CloudAD believes only the right customers deserve price incentives: first target precise, relevant audiences, then win them over with product features and keep the brand’s value.
- Reusing influencer audiences: from the response to influencer and word-of-mouth content, CloudAD identified the right angles and audience profiles for each product line and used the ad systems to find lookalike audiences resembling influencers’ followers.
- Avoiding creative fatigue: click-through rate and cost per click are closely linked, and people have little patience for content they see repeatedly, so click-through rates drop quickly. CloudAD recommended creative led by real-world testing, with offers in a supporting role, returning to the product itself to motivate purchases.
Stage 3: Action, reusing first-party data
Underwear is worn next to the skin, so shoppers choose carefully and loyal customers are stickier than for most consumer goods; regular repeat purchases compound over time. But the average order value is close to everyday goods, so to raise the conversion value of its ads, CloudAD recommended building on a stable base of existing customers while using ad systems to reach potential customers, increasing purchase frequency and overall revenue.
- Defending existing customers: with repeat purchase as the main goal, CloudAD used GA4 to study repurchase cycles for remarketing and excluded audiences who had just bought, spending budget where it counted. Given privacy changes, we also ran search ads so that people searching for related products on Google are reminded to buy again.
- Winning new customers: to increase purchase frequency, CloudAD recommended continuously feeding first-party lists to Google and Meta ad systems to strengthen machine learning matching, finding potential customers who behave like existing members and steadily growing the brand’s base of supporters and maximising the return on ad investment.
Results
- Higher share of sales from new customers
- Cost per conversion down 16.11%
Growing sales does not have to mean a price war: with the right strategy, communicating what the product really offers delivers strong sales while protecting the brand’s value, so if you need help planning or running ads, get in touch.
