Case Background
Viking is a personalized gift studio dedicated to bringing surprises to users' lives. After nearly two years of effort, by collaborating with designers and artists, they have infused interesting elements into their products and expanded multiple product lines such as blankets and throw pillows. At this stage, Viking's goal is to achieve more website conversions at a lower paid conversion cost.
Solution
VBO stands for Value-Based Optimization, which helps advertisers find users who are more likely to make high-value conversions under the target.
During the campaign, Viking first conducted a performance comparison test in the North American market between two strategies: VBO-Highest Value and non-VBO ad groups (Lowest cost bid ad groups). The practical results showed that using the Highest Value strategy helped Viking achieve more website conversions at a lower paid conversion cost.
In terms of campaign budget, the historical conversion cost in the Viking account was $40-$80. Tuke for Business recommends allocating at least 5 times the CPA budget for a single ad group to ensure the ad group has sufficient budget for learning when the campaign starts.
Finally, using already validated high-quality creatives is the optimal campaign strategy. It is important to note that each ad group should have at least 3 different high-quality creatives running, combined with the VBO strategy to reach target audiences with higher conversion value.
Marketing Results
The VBO-Highest Value strategy helped Viking achieve better conversion results, with ROAS showing a significant increase of 58%, website conversions increasing by 33%, CVR increasing by 49%, and CPP decreasing by 25%.
Short answer for decision makers
This TikTok business signal should be used as a planning prompt, not a standalone trend. The practical question is whether your brand has the market readiness, creator supply, Shop conversion path, paid-media structure, and reporting cadence to act on it now.
Key facts
- Market signal: TikTok marketing Case Studies
- Published: January 26, 2024
- Source transparency: the original source linked in this article
Tuke recommendation
Choose one market, one product group, one creator cohort, and one KPI for the next operating cycle. Then align creative testing, TikTok Shop optimization, live commerce readiness, and weekly reporting around that single decision.
What should brands do with this TikTok signal?
Brands should translate the signal into a focused operating test across creative, creators, TikTok Shop readiness, paid media, and reporting before increasing budget.
How does Tuke Marketing evaluate this kind of news?
Tuke Marketing reviews platform news through market timing, category demand, creator supply, commerce readiness, and measurable growth actions.
When should a team contact Tuke about this topic?
A team should contact Tuke when it needs to turn a TikTok market signal into a practical launch, creator, advertising, live commerce, or reporting plan.
Source transparency: Tuke cites the original source linked in this article and adds its own operating analysis for brands evaluating TikTok growth decisions.