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Mad Digi

  • Digital Marketing

How We Cut Cost per Purchase by 65% for a New Fragrance Brand in Its First Month

  • 2 min read
How We Cut Cost per Purchase by 65% for a New Fragrance Brand in Its First Month

Overview

A new fragrance brand launched on Meta in December 2025. In its first month, each sale cost over Rs. 2,000 in ads, and the brand was barely earning back its ad spend at 1.2x ROAS.

We restructured the account to bring the cost of each sale down quickly, so the brand could grow profitably instead of paying to acquire every customer.

The approach

  1. The Strategy

    We focused on efficiency before scale:

    • Rebuilt the account around one always-on prospecting campaign (ABO) to test audiences and creatives side by side
    • Gave hero products their own campaigns, like White Oud + Warm Vanilla
    • Added retargeting (BOF) for visitors who had already shown interest
    • Started SEO on the new website so the brand could be found on Google from day one

    Lowering the cost per purchase first meant every later increase in budget made the brand more money.

  2. The Strategy

    We implemented a full-funnel Meta Ads strategy designed to systematically acquire, nurture, and convert customers.

  3. Funnel Structure

    • Top of Funnel (TOF): Broad and interest-based targeting to acquire new users
    • Middle of Funnel (MOF): Retargeting engaged users and video viewers
    • Bottom of Funnel (BOF): High-intent audiences including past purchasers
  4. Campaign Optimization

    • Rebuilt the account structure with clearlydefined campaign objectives
    • Introduced controlled testing frameworks forcreatives and audiences
    • Allocated budget dynamically based on performance
  5. Execution

    • Launched the  General ABO campaign in late December 2025
    • Ran a dedicated White Oud + Warm Vanilla product campaign
    • Tested creatives continuously and moved budget to the best performers
    • Built product pages and listings for Google search from scratch 
  6. Creative Strategy

    Creatives played a central role in scaling performance.

    We tested multiple formats including:

    • User-Generated Content (UGC)
    • Before & After visuals
    • Customer testimonials
    • Static creatives
  7. Key Insight

    UGC creatives delivered the strongest performance and were the primary driver of scalable growth.

Results

Within the first month, and across the first quarter of 2026:

  • Cost per purchase: Rs. 2,036 → Rs. 721 in one month (65% lower)
  • ROAS: 1.2x (Dec 2025) → 2.7x (Jan) → 3.4x (Mar 2026)
  • Q1 2026: Rs. 3.7L spend → Rs. 11.1L revenue (3.0x), 349 purchases
  • Hero product campaign: White Oud + Warm Vanilla, 288 purchases at 3.0x
  • SEO: from zero to steady organic traffic (≈250 Google clicks a month by mid-2026)

Key Insights

  • A new brand’s first month is for learning: fast creative and audience testing cut costs quickly
  • Product-focused campaigns gave Meta a clear signal and kept cost per sale low
  • Lower acquisition cost made it possible to grow spend 4x while improving ROAS
  • Starting SEO early builds a free traffic source alongside paid ads

Conclusion

By restructuring the account in the first month, we cut the cost of each sale by 65% and nearly tripled ROAS within a quarter.

For a new brand, getting efficient early is what makes profitable growth possible later.

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