Slumberland Re-imagines Marketing Efficiency

Optimizing Slumberland's Marketing Efficiency with Advanced Analytics

Slumberland Furniture, a stalwart in the American Midwest with over 120 locations and a legacy dating back to 1967, encountered a pivotal challenge in optimizing its marketing efforts. Despite having a robust presence and significant market share, Slumberland’s advertising strategy was at a crossroads, burdened by an inefficient media spend and an outdated attribution model that favored top-of-funnel awareness over conversion-focused tactics. The reliance on inaccurate cross-channel attribution tools and a heavy dependence on platform-attributed data led to inefficiencies in their marketing strategy, necessitating a shift towards more conversion-focused media channels.

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The Pivot Towards Data-Driven Marketing

In response, Plytrix introduced a data-driven approach to improve Slumberland's marketing efforts. Plytrix conducted extensive analysis on Slumberland’s historical marketing efforts and leveraged Databricks Lakehouse, Fivetran, and the open-source MMM framework Robyn to craft a Marketing Mix Model (MMM) that effectively quantified the efficacy of Slumberland’s advertising efforts.This model provided new insights into the effectiveness of different media. The solution was comprehensive in that it quantified the impact of online and offline marketing efforts on both in-store and online purchases. Plytrix leveraged the MMM to create a monthly budget optimizer allowing Slumberland to navigate its marketing strategy with precision, ensuring that each marketing dollar was invested wisely. Additionally, a Power BI Sales Trend Dashboard was implemented, providing real-time insights across a variety of KPIs.

Resources were shifted to where they yield the most impact

The insights uncovered by the MMM led to a significant shift towards a more balanced and intent-focused marketing approach. Slumberland saw a noticeable reduction in the use of low-return advertising platforms, redirecting efforts towards channels that demonstrated higher ROI. This not only streamlined Slumberland's marketing operations but also contributed to a positive shift in sales trends, underscoring the impact of adopting a data-driven marketing strategy.

The partnership between Slumberland and Plytrix highlights the importance of leveraging advanced analytics to enhance marketing efficiency. By focusing on strategic resource allocation and informed decision-making, Slumberland has set a new standard for its marketing endeavors, ensuring continued growth and improved competitiveness.