Farallon Brands, a dynamic company specializing in high-quality baby products, sought SellCord’s expertise to help them expand their brand presence on Walmart Marketplace. As a trusted solution provider for Walmart Marketplace, SellCord’s full-service offerings include listing optimization, advertising management, variation strategy, rich media hosting, 1P and 3P management.
Farallon Brands, a dynamic company specializing in high-quality baby products, sought SellCord’s expertise to help them expand their brand presence on Walmart Marketplace. As a trusted solution provider for Walmart Marketplace, SellCord’s full-service offerings include listing optimization, advertising management, variation strategy, rich media hosting, 1P and 3P management.
This case study details how SellCord and Farallon Brands worked together to achieve a 50% increase in Farallon’s GMV on Walmart.com in less than 6 months.*
*All information and data is provided by the solution provider/seller.
GOALS
Sales growth
Enhance advertising efficiency
Strengthen market position
Expand product visibility and reach
The Strategical Breakdown
Tailored advertising approach
Farallon Brands came to SellCord with a list of goals. They had been running ads for a number of months; however, they were not achieving the RoAS goals they desired. Additionally, the ads were cannibalizing organic sales.
Opportunity
Farallon Brands wanted to iterate upon and optimize their advertisement strategy to scale their reach on Walmart Marketplace.
Solution
SellCord implemented a broad approach strategy that focused on maintaining low average Cost Per Click (CPC) which proved instrumental in bolstering overall campaign efficiency.
They conducted a catalog breakdown by each item’s lifecycle and its category within Walmart. This new grouping provided data on a category level, enabling SellCord to determine the areas with the most opportunity: The categories with the least sales.
SellCord relaunched Farallon’s ads with the newly selected categories and saw immediate success. In the first month of running ads (July) GMV increased by 50% MoM all while maintaining a RoAS of over $4—something they had previously never achieved.
Outcomes:
- Sales growth: 54% increase in the third quarter (Jul-Sep)
- Breakthrough performance: First-time achievement of RoAS exceeding 3:1 since launching on Walmart Marketplace
Pricing strategy optimization
Since POCO (Phase-Out & Close-Out) items make up 50% of their total marketplace sales compared to the standard 15% across other marketplaces, they sought to improve their sales on their Active items, especially new launches.
Opportunity
Farallon Brands needed a competitive pricing strategy to attract and retain customers.
Solution
SellCord implemented consistent and competitive pricing strategies within Farallon’s product category, focusing on stronger launch plans for new items and a more aggressive approach for Active items to boost their rankings. By ensuring that Active products received proper investment and promotion, they aimed to enhance organic sales growth. The POCO items performed better on Walmart.com due to their everyday low pricing, but also because SellCord prioritized promoting the entire catalog and ensuring all products were showcased correctly and competitively priced.
Outcomes:
- Improved competitiveness in the baby products category
- Contributed to overall sales growth and increased market share
Consistent listing optimization
Opportunity
Farallon wanted to improve their products’ listing quality to achieve higher visibility and conversion rates. Their challenges included missing attributes and copy that wasn’t optimized for Walmart’s requirements. By improving their content on the backend, they hoped to maximize sales potential and ensure their listings were fully compliant and competitive in on Marketplace.
Solution
SellCord worked with Farallon to optimize their listings according to the latest standards from Walmart Marketplace, including the rollout of Item Spec 5.0, a new specification for identifying missing attributes. This initiative ensured that products were accurately categorized, especially product types, which play a crucial role in ranking outcomes. The team used Walmart’s updated process to pinpoint gaps and ensure that each item was fully compliant and current, which contributed to a higher listing-quality score.
Outcomes:
- Overall Listing Quality Score (LQS) increased from 81% to 90%
- Content and Discoverability score improved from 88% to 91%
- Ratings and Reviews score rose from 70% to 82%
Takeaways
1
An advertisement strategy that focuses on maintaining low Cost Per Click (CPC) and relaunching ads based on data-driven insights can improve campaign efficiency.
2
Embracing Walmart’s Everyday Low Price (EDLP) philosophy across your catalog can significantly enhance product visibility and appeal to Walmart customers.
3
The implementation of Item Spec 5.0 significantly improved listing-quality scores through enhanced product discoverability and compliance.
