LG Electronics, advertising agency MediaWise and Criteo partner to drive retailer sales
Bukalapak is an Indonesian tech commerce company with a mission to create a fair economy for all. Through its online and offline platforms, Bukalapak provides everyone with options and opportunities to get more out of life. Since 2010, the company has been serving more than six million online sellers and 100 million users.
Up against large competitors with bigger marketing budgets, Bukalapak has to be strategic in allocating its resources, channeling efforts where they will deliver the most returns. For the retailer, that includes focusing on its app.
According to Osbert Poniman, Bukalapak’s Head of Performance Marketing, “Bukalapak focuses on sustainability, and on things that matter the most. For us, that’s attracting quality sellers and quality buyers, and doing strategic marketing based on data. We don’t do anything based on hype or a temporary trend.”
Bukalapak wanted to increase the number of monthly and daily active users for its app, as well as increase average order value. But with its wide variety of products and offerings, Bukalapak needed an ad tech solution that could ensure they targeted and reached users with high precision and relevance.
They also needed a solution that would continuously adjust and optimize campaigns based on performance to reach their specific objectives. Bukalapak wanted a partner who could achieve all of this outside of walled gardens.
To meet their needs, Bukalapak chose Criteo’s app retargeting solution. When asked why they chose Criteo, Poniman explained, “Criteo is the only consistent provider in the open internet, and they offer wide reach and scale. We were most impressed with Criteo’s AI in targeting quality users, and the vast and valuable data from the Criteo Shopper Graph.”
Using data as its guide, Bukalapak and Criteo evolved the app retargeting campaign over time to meet various objectives in 2019, from driving a 17% increase in return on ad spend (ROAS) to retaining monthly purchasers and reengaging dormant customers. After assessing performance, they switched to the revenue optimization model which automatically adjusts the campaign to adhere to a set revenue goal and saw their average order value doubled to 98% year over year (YoY).
On the heels of the app retargeting campaign’s success, Bukalapak is exploring Criteo’s app install solution to help it acquire new app users. In addition, to grow and sustain shopper engagement, Bukalapak recently became the first Indonesian company to deploy Criteo’s Reseller Program to help merchants on its site to re-engage shoppers with co-branded, personalized dynamic ads across channels, delivered at the right time. This in turn supports its monetization business with advertising revenue from their sellers and brands.
When looking at the challenges ahead, Poniman is optimistic: “Ecommerce will keep growing, but also faces growing privacy concerns. We expect Criteo can help us address the challenge and be able to reach quality users with relevant ads while still complying with the global standard and conventions.”
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