In short
In the first year, ads brought the store AUD 61,080 in revenue (≈ €39.3k) on a budget of AUD 11,124 (≈ €7.2k): every dollar invested returned 5.49. Returns grew with every season. In March 2023, roughly the same budget as in July 2022 (around AUD 1,000) brought in 47% more revenue.
Starting point
The store operates in Sydney’s competitive flower delivery market. We launched ads in April 2022. In the first full month, May, every advertising dollar returned AUD 2.55 in revenue.
The goal was to get a steady flow of orders from ads and reach a level of return that would allow the business to scale.
What we did
- Launched and ran Google Ads, and tested Meta Ads at the start. From July 2022 we focused the whole budget on Google Ads.
- Optimised product feeds and ad campaigns.
- Launched ads for new gift boxes.
- Prepared campaigns in advance for the holidays, when demand for flowers and gifts peaks.
- Tracked ad spend, conversions and revenue every week and adjusted campaigns.
Results
The first year: April 2022 – March 2023
| Metric | Value |
|---|---|
| Ad budget | AUD 11,124 (≈ €7.2k) |
| Revenue from ads | AUD 61,080 (≈ €39.3k) |
| Revenue per AUD 1 of ads | AUD 5.49 |
Returns grew: May–July 2022 and January–March 2023
| Metric | May–July 2022 | January–March 2023 | Change |
|---|---|---|---|
| Ad budget | AUD 3,438 (≈ €2.3k) | AUD 2,662 (≈ €1.6k) | −23% |
| Revenue from ads | AUD 11,755 (≈ €7.8k) | AUD 21,135 (≈ €13.0k) | +80% |
| Revenue per AUD 1 of ads | AUD 3.42 | AUD 7.94 | ×2.3 |
The budget fell by a quarter, while revenue from ads grew by 80%. Each period includes one major holiday for the flower business: Mother’s Day in May and Valentine’s Day in February.
Same budget, more revenue: July 2022 and March 2023
| Metric | July 2022 | March 2023 | Change |
|---|---|---|---|
| Ad budget | AUD 991 | AUD 1,019 | +3% |
| Revenue from ads | AUD 4,239 | AUD 6,225 | +47% |
| Revenue per AUD 1 of ads | AUD 4.28 | AUD 6.11 | +43% |
Neither month has a major holiday, so they can be compared directly.
Highlights
- Best month by revenue, December 2022: AUD 9,337 (≈ €6.2k) on a budget of AUD 1,058, i.e. AUD 8.82 for every advertising dollar.
- February 2023, the month of Valentine’s Day: AUD 16.56 in revenue for every advertising dollar.
How we calculated
- Source: weekly advertising reports.
- Revenue is income from orders that analytics attributed to ads, not the store’s total revenue.
- Revenue was recorded in the reports from April 2022 to March 2023. Later reports contain spend and conversions without revenue, so those months aren’t included in the calculations.
- Amounts are in Australian dollars (AUD), and percentages are calculated in AUD. Euro equivalents use the ECB annual average rate: AUD 1.5167/€ in 2022, AUD 1.6288/€ in 2023.
