Backbone leverages Prescient’s MMM to increase revenue by 86%

Learn how Backbone uses Prescient’s scenario modeling and Halo-Effects to optimize their clients’ ad spend and keep their marketing dynamic.

About

Backbone Media was born from the idea that you can fuse a passion for an outdoor, active lifestyle with a profession advocating for brands you believe in. Today, the team of over 100 runners, skiers, dog lovers, and all-around outdoor enthusiasts amplifies brands through public relations, media planning and buying, social media, and affiliate marketing.

Coop Sleep Goods is a fast-growing, innovation-driven home-goods company. Their direct-to-consumer offerings include adjustable memory-foam pillows and other bedding accessories.

Challenge

Backbone needed an MMM to triangulate their existing marketing data

Connor Jackson, Backbone’s Media Director, explains that his team had a reliable marketing insights stack to help Backbone handle its high volume of performance media buying across Google, Meta, and other channels. The Backbone team knew a powerful Marketing Mix Model (MMM) would give them visibility into metrics they can’t track comprehensively with pixels. This granular data would also help Backbone confirm which campaigns pulled in the most incremental revenue and help them gain deeper insights into high-performing campaigns.

The MMM would be a powerful validation tool to gut-check their marketing instincts and post-purchase survey data. But, the traditional MMM Backbone considered for Coop were too expensive and took up too many resources. Then Backbone discovered Prescient.

Solution

The Backbone team was impressed by the immediacy and simplicity of Prescient’s insight delivery. They quickly received the revenue numbers and Halo-Effects for each sales channel and campaign.

Benefit #1: Prescient enables near-instant calibration of spend

With Prescient, Backbone updates the MMM daily to optimize ad spend across all channels. For a business where promotional periods, marketing campaigns, and product launches move quickly, this near-instant optimization helps Backbone’s fast-growing client, Coop Sleep Goods, hit monthly, weekly, and daily budget goals — with far less work.

To make campaigns more efficient over time, Backbone uses Prescient to study the effects of past marketing spend and then applies Prescient’s scenario modeling tool to project forward and calibrate spend preemptively. This isn’t possible when onboarding new pixel-based solutions because they cannot access past data.

Benefit #2: Prescient verifies Backbone’s post-purchase survey data

Layering Prescient into Backbone’s marketing stack has been the key to unlocking higher ROAS.

The MMM helps validate post-purchase survey data by assigning explicit dollar values to campaigns and channels that may be hidden from last-click or MTA solutions. This functionality is a great validation for post-purchase data as well as a safety net. If survey data stacks up to Prescient modeling, they can lean in with confidence; if the data doesn’t correlate, they can adjust spend on campaigns that may be inefficient.

Benefit #3: Amazon Halo-Effects show Backbone the full ROAS story

As marketers representing brands selling on Shopify and Amazon, understanding the Halo-Effects of the campaigns individually and collectively is a game-changer for Backbone. With Prescient, they can see the complete story of their ROAS and help their clients understand where their ad spend has the most effect.

Results

Prescient increased Coop’s spend by 111% for an 86% revenue bump

Prescient’s MMM data indicated that Meta’s impact on Coop’s ROAS was over 3.5x higher than the platform reported. So Backbone increased Coop’s Meta and overall ad spend accordingly to nearly double overall revenue. Take a look at the numbers:

• 86% revenue increase
• 111% in overall spend during Memorial Day sale
• 41% outperformed their internal revenue forecast

For Backbone, being able to study and scale ad spend across channels quickly and cost-effectively has helped them deliver better results to clients. They look forward to continuing to use Prescient to make fast, confident budget allocation decisions that drive client’s growth.