A startup in the meal kits industry based out of Canada. The startup is focused on the vegetarian niche and after 2 years of operations, the executive team has decided to pursue sustainable growth in 2021. In a competitive meal kits sector with over 150 competitors and 2 deep pocketed public traded companies, the executives were eager to find their marketing edge to compete sustainably.
The client is a bootstrapped and founder led meal kits producer in Canada. Customer acquisition had been mainly centered around organic social media marketing. In a budget tight environment for the startup, the executives had decided to start paid Ads but they wanted to understudy the strategies of the top competitors in one of the paid media channels in order to carve out their unique position to drive valuable customer acquisition.
We researched the social media Ads assets of top competitors — GoodFood and HelloFresh — for the months of April to extract the weaknesses in the Ad strategies of these players that the client can capitalize on. These were some of our findings:
- We noted that the Vegetarian Meal Kits space is a niche that is not receiving much attention from the studied competitors. None of them ran Ads targeted at the customer segment interested in this meal choice in Canada. We recommended to the client that therein lies their opportunity to run Ads with the potential for a wider reach at low cost per mille.
- We understudied the Ad Sets of a larger player in the US in a similar niche — Purple Carrot (https://www.purplecarrot.com/) — and noted that the offers in their Ads copy were mainly focused on the Health Benefits of vegetarian meal kits and the convenience of their products. Based on this, we recommended to the client that they could also lead with the benefits of their products rather than offering credits in their Ads Copy like other big players in the industry do.
- We also analyzed Landing Pages of Purple Carrot and noted that the firm indeed offered a 25% discount on first order for visitors. From this, we deduced and recommended to the client that offering a reasonable discount for first timers may be a great strategy to remove hesitation from visitors that clicked through the Ads from placing an order. We opined that like Purple Carrot had done, not leading with the incentive on Ads asset means that only high quality potential customers who already bought in to the proposition of the products would have clicked through to the landing page instead of freeloaders with little loyalty. Thus, we strongly suggested adopting the same strategy and testing conversion.
- Furthermore, we carried out customer sentiments on the top competitors that our client could leverage on to stand out in the marketplace.
- For GoodFood, we observed a trend of dissatisfaction with customers because of how difficult it is to pause order delivery or cancel the service outrightly. We informed our client to prioritize seamless user experience that deviates from what the competitor does.
- For HelloFresh, the common theme of relevant dissatisfaction from customers were low options with Vegetable meal kits. With this fact, we again emphasized to our clients that aggressively leading with the proposition of being the go to vegetarian meal kits provider is a great strategy to test out.
We pride ourselves in being a partner that buys into the goals of our clients. This carried through in our collaboration with the Canadian vegetarian meal kits startup where we went above and beyond to not analyze the Ads assets of their competitors but also proposed recommendations to the executives based on our deductions.
So get in touch with us today (firstname.lastname@example.org) and let’s work together to help you make sense of your competitive landscape and how you can stand out to excel in the marketplace.