At a Glance
The Commercial Challenge
Revenue growth had plateaued, and the instinctive response — increasing paid-media budget — risked simply diluting efficiency rather than solving the underlying issue: an undifferentiated product and channel mix.
Diagnosis
Product and channel-level analysis showed spend was concentrated in a small set of high-competition, low-margin categories, while stronger-margin products were under-promoted.
Strategy
- Restructure the product feed to separate margin and demand tiers.
- Rebalance Shopping/PMax budget toward higher-margin, under-promoted categories.
- Expand into Amazon as a complementary, lower-CAC channel for select products.
- Set ROAS targets per product tier rather than one blended account-level target.
Results
Figures shown are illustrative pending final client verification, dated evidence and written approval.
Business Impact
Growth came from a smarter product and channel mix rather than proportionally higher spend for NordicNest Home — protecting margin while expanding revenue.
Why It Worked
1. Feed structure is strategy
Algorithmic campaigns can only differentiate what the product feed lets them see.
2. One blended ROAS target hides the picture
Tiered targets by margin surfaced where budget was actually being wasted.
3. Channel diversification reduces risk
Adding Amazon reduced single-channel dependency.
We grew without watching our efficiency numbers slide — that was the real win.
— Lukas Richter, Head of Ecommerce, NordicNest Home (placeholder — pending brand permission, see Content Assets A09)
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