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EspañolThe power of Allegro Ads: How to generate over 1.5 million PLN in ad sales in just 9 months
The Client
BAWI is a leading supplier in the office and stationery sector. The market is highly competitive, dominated by low-ticket items such as basic office supplies, scissors, and writing instruments.
The case of this school and office supplies retailer presented us with a rather unique scenario. Alongside fierce external competition, we also had to navigate the internal competition stemming from the client’s own secondary seller account.
The Challenge
Following the end of their contract with a previous marketplace agency, BAWI’s management board encountered several roadblocks on the Allegro platform:
- Strategy misalignment: Struggling to adapt the right sales strategy for Allegro’s dynamic environment.
- Knowledge gaps: A lack of internal expertise regarding Allegro Ads optimisation.
- Budget inefficiencies: Ineffective allocation and utilisation of the advertising budget.
- Stagnant sales: Poor conversion rates despite having a highly competitive pricing structure.
- Margin miscalculations: Difficulties in accurately calculating sales profitability and ROI.
- Account health: Struggling to maintain excellent account quality metrics and meet all platform requirements.
The Solution
Allegro Account Audit
We kicked off our partnership with BAWI by conducting a thorough audit of their Allegro seller account. By analysing all key performance areas, we identified the brand’s strengths as well as the critical bottlenecks requiring immediate improvement.
Based on these insights, we mapped out a tailored action plan and timeline designed to boost product ranking and maximise profitability.
Strategy and execution
The client opted to partner with us exclusively for Allegro Ads management. They chose to implement the remaining structural changes recommended in our audit using their internal team.
Although advertising works best synergistically with fully optimised listings, we rose to the challenge, managing the ad strategy while leaving the storefront and listing optimisation in the client’s hands.
Maximising visibility
Our primary focus was to aggressively promote their inventory and capture market share. We utilised the two most powerful visibility tools on the platform:
- Allegro Ads campaigns (Sponsored Offers)
- Promoted Listings (Highlight badges)
Allegro Ads campaign structure
After setting a clear target of 1 million PLN in ad-generated revenue for the current year, and defining our strategy, we moved on to the data analysis required to build robust campaigns. Using historical sales data, category insights, and competitor analysis, we executed the following steps:
Structured the campaigns around core product categories.
Harvested and matched high-converting keywords using the Campaign Planner.
Developed strict budgets and CPC (Cost-Per-Click) bid strategies, tailoring them precisely to specific ad groups.
Display Ad strategy
Graphic campaign sales value over time
Once the CPC campaigns began to gain significant momentum, we introduced Display Ads into the mix. This wasn’t just a method for visual brand promotion; it was a strategic play to appear directly on competitors’ product listings.
When the client decided to increase their base prices, which caused standard CPC campaigns to naturally slow down, the Display Ads provided us with more room to manoeuvre, successfully buffering the drop in overall sales volume.
CPC campaign sales value over time
The core CPC campaign launched on 13 April 2023. After just a few days of bid adjustments, it became highly profitable, closing the year with 1,449,625.45 PLN in generated sales.
The key to this success was meticulous campaign preparation and a highly strategic approach to CPC bidding for promoted offers.
The Results
Both campaigns (CPC and Display) worked in tandem to generate a total sales value of 1,580,667 PLN, exceeding the client’s 2023 advertising target by over 58%.
CPC advertising result
Graphic advertising result
The ripple effect on overall sales
Once we launched the partnership and successfully rolled out our strategy, we triggered the anticipated growth cycle – perfectly timed to capture the lucrative Back-to-School peak season in August.
Following an exceptional August, the client decided to sharply increase their retail prices (by 30-40%) in September. Naturally, this resulted in a noticeable dip in sales volume throughout October. Despite this pricing friction, we closed 2023 with a total overall revenue of 7,293,440.88 PLN, driving a massive 110% YoY growth compared to 2022 (3,460,520.10 PLN).
Notably, Allegro Ads generated 20% of the total sales volume, meaning our campaigns directly boosted overall revenue by 22%.
The journey continues
Our partnership with BAWI is ongoing. As a modern marketplace agency, we continuously adapt and optimise all promotional elements to keep pace with the ever-changing seller conditions on Allegro.
We believe that data-driven, collaborative work yields tangible, scalable results for our clients.
Would you like to achieve similar results with us?
Let's talk about growing your sales across marketplaces!
