OTTO

OTTO boosted high-value orders by using AppDiscovery

AppDiscovery efficiently found users who would make meaningful purchases in OTTO’s shopping app and unlocked new growth with a multi-campaign strategy.

Marketing Objective

User Acquisition

Background

OTTO is Germany’s largest online shopping platform, with over 17 million products including apparel, furniture, electronics, and more. Users can access exclusive offers and deals from a huge number of top brands, all in one place.

Location

Hamburg, Germany

Company Size

6,000

Founded

1949

OTTO

The Challenge

Acquire high-LTV shoppers at scale

With numerous shopping apps in the market, zeroing in on users who will make purchases, rather than window shop, is key for offsetting acquisition costs and growing revenue. For OTTO, UA success hinges on achieving a high install-to-order rate and average order value, ultimately maximizing ROI.

The Solution

AppDiscovery accurately targeted users who deliver strong ROAS

OTTO is interested in profitable UA, which comes in different shapes and sizes—particularly because OTTO’s shopping app offers products in many categories, spanning a range of price points. They want high-value users that will purchase expensive products, as well as a high marketplace share-of-voice, which entails acquiring lower-value shoppers at scale.

AppDiscovery helped OTTO achieve their holistic growth goals with a multi-campaign strategy that includes Cost per Install (CPI) and Cost Per Order (CPO) campaigns to acquire shoppers at scale, as well as ROAS campaigns that seek out the biggest spenders. OTTO was able to run these campaigns with minimal upfront learning costs, and because the campaigns are automated, they required very little manual intervention. The success of these campaigns was propelled by a high-impact custom playable ad produced by SparkLabs, AppLovin’s in-house creative agency.

With this approach, OTTO was able to capitalize on their full potential for profitable scale and high ROAS.

The Results

OTTO tapped into a strong source of profitable users

AppDiscovery efficiently found and converted users who elevated OTTO’s average order value. As AppDiscovery’s AI-based advertising engine continued to learn and adjust, D7 ROAS increased 82% over the course of the year.

Seeing this strong performance, OTTO significantly increased their spend on the platform, resulting in nearly a 3x increase in new customers from their AppDiscovery campaigns. The resulting scale was impactful: the CPO campaign on iOS brought in 2x the number of new customers as the average of OTTO’s UA channels.³

In Summary

Significant source of high LTV users

AppDiscovery consistently delivered users who elevate the average order value, and the CPO campaign delivered twice as many new customers as the average of OTTO’s UA channels.

Hit goals with increasing efficiency

Due to AppDiscovery’s powerful targeting and learning capabilities, OTTO was able to quickly reach their ROAS goals at a growing scale.

AppDiscovery is one of our top sources on iOS for high-value traffic.

Working with AppLovin has been a low-effort, high-impact avenue to meet our growth objectives. AppDiscovery’s AI-based advertising engine is highly automated, so we don’t need to put significant resources into launching, monitoring, or tweaking our campaigns. The system is able to pinpoint the right users with increasing efficiency to grow the volume and average order value of purchases made through our app.

Marian Bucher
App Growth Expert

¹ AppLovin: Jan 1–31 to Oct 1–31, 2023
² AppLovin: Jan 1–31 to Oct 1–31, 2023
³ AppLovin: Aug 23–Sept 3 to Sept 11–17, 2023