Overview
Chewy is a premium pet food brand dedicated to improving the lives of pets and their parents. Launched in 2011, Chewy combines the tailored services of a local pet store with the convenience of eCommerce. With more than 20 million active customers, Chewy generated over $10 billion in net sales during the 2022 fiscal year.
The Challenge
Chewy needed to scale its Sponsored Products Program and partnered with Dentsu agency, Merkle, who launched ads through Pacvue’s platform to manage campaigns, budgets, and bids. As an early adopter of Chewy Ads, Pacvue and Merkle were able to take advantage of less competitive opportunities for their client. The result has been an increase in average monthly sales and improved return on Ad Spend.
The Solution
Pacvue enabled the brand to scale its Chewy Ads program utilizing Share of Voice (SOV) to gauge what percentage of the search and browse results they were winning and to understand the full scale of growth opportunity. Merkle set up bid optimization rules on the premium pet food brand’s campaigns to prioritize spending on the highest efficiency terms, saving the team time on optimizations, and allowing them to focus on their client’s overall Chewy Ads strategy.
The Results
The Merkle team who manages clients across various retailers on Pacvue are consistent adopters of our automated rules to improve performance.
As Merkle scaled the brand’s advertising via Pacvue bid rules, budget management and SOV tools, the average monthly sales grew 90% and the average Return on Ad Spend improved by 50%. This allowed Merkle to drive more growth with their client’s advertising dollars.
“Pacvue has been key to scaling our premium pet food brand’s Chewy Sponsored Products program. Sales volume and efficiency have improved notably since onboarding. Campaign management is streamlined, allowing the Merkle and client teams more time to focus on big picture strategy and optimizations. Pacvue’s unique SOV reporting has also helped inform strategy with more visibility to competition.” –Luc Watson, Associate Manager eRetail, Merkle
“Since incorporating Pacvue into our Chewy Ads platform management, we’ve seen significant improvement in execution and efficiencies. These include improved ROAS, improved monthly sales, SOV reporting, and automated optimizations. Our business continues to reap the benefits of this service. Chewy is a major retail partner of ours where our target customers are shopping. It was important that we were early adopters of onsite ad offerings to help accelerate our brand’s growth on Chewy.” – Director of Ecommerce at Premium Pet Food Brand
