How Hulken increased revenue per user by 20% with Monocle
Discover how Hulken partnered with Monocle to fine-tune its incentive strategy and increase revenue.
20%
increase in ARPU
10%
increase in CVR
10%
increase in AOV
about
Hulken is a globally recognized D2C brand known for its multipurpose, reusable, and lightweight rolling tote bags. After its feature on Good Morning America and a subsequent collaboration with Poosh (a lifestyle brand founded by Kourtney Kardashian), Hulken has experienced explosive growth — becoming an overnight social media sensation.
"Monocle helped us optimize every metric of the conversion line. We now have a system in place for determining which customers to offer incentives to and how much to offer them."
The Challenge
Hulken sought to optimize its incentives without risking revenue loss
Although Hulken was profitable from the outset, its team still wanted to make the most of every dollar. Co-founder and CMO Alex Schinasi understood that promotional incentives could help the brand scale rapidly but needed a way to gauge the impact of its offers. And she was wary of the haphazard spending that comes with a one-size-fits-all approach.
Not only could the wrong promotion strategy cut into the brand's profits, but they also risked supply-chain issues. Without top-level insights into customer intent, Alex worried that offering too many discounts could lead to unpredictable stock depletions. So, she looked for a more nuanced way to integrate customer incentives into Hulken's already successful email marketing strategy in order to sidestep these concerns.
That's when the team found Monocle.
"It's very easy to blindly spend on marketing without thinking through the key metrics that will lead to profitability. Every dollar counts to optimize margins."
The Solution
Monocle's data-driven approach points Hulken toward the most effective customer incentives
After onboarding, the Monocle team conducted a thorough overhaul of Hulken's lifecycle marketing email strategy, specifically focusing on offers made in welcome and abandonment flows. They hoped to better understand customer behaviors so they could present the best offer when it mattered most.
Monocle's analysis produced a comprehensive data set that allowed Hulken's marketing team to determine:
- Which customers needed an incentive in order to convert
- Which incentive to offer for max ROI (i.e., 10% vs. 15% vs. free shipping)
The test yielded surprising results: Most customers were willing to convert without any incentive at all, while many more converted at 10% off rather than the typical 15%.
Such insights have substantially increased Hulken's revenue, more than making up for the cost of the tool. Plus, thanks to Monocle's informative data dashboard, Hulken tracks its hard-earned ROI and iterates on the findings.
Monocle helped optimize Hulken's spend, ensuring incentives were only offered to users who needed an extra boost to convert, which also helped alleviate Alex's concerns about potential supply chain issues.
"Before Monocle, we were offering discounts left and right without any strategy. But Monocle helped us optimize our discount strategy to ensure that we were only offering discounts to customers who need them the most for conversion."
The Results
20%
increase in ARPU
10%
increase in CVR
10%
increase in AOV
The Results
With an actionable incentive strategy in place, Hulken increased both CVR and AOV by 10%
Since partnering with Monocle, Hulken's team has the bandwidth to optimize its customer incentives into a dependable growth channel — without diluting the brand or threatening its bottom line.
Here's a recap of everything Hulken has achieved with Monocle's help:
- 20% increase in ARPU
- 10% increase in CVR
- 10% increase in AOV
Armed with a scalable foundation, the brand is eager to apply Monocle's data insights to additional flows and see the returns.
"With Monocle, you know exactly how much you're saving and exactly how much value the product brings; it's a no-brainer. I'm excited to apply Monocle's insights across other marketing initiatives."
