Introduction
In today’s competitive e-commerce landscape, art supply retailers face the challenge of not just attracting customers but encouraging larger purchases. Trekell Art Supplies has successfully implemented a tiered gift-with-purchase strategy using the AOV Free Gift app, resulting in remarkable growth in average order value and customer satisfaction. This case study explores how Trekell transformed their customer experience and boosted revenue through strategic gift incentives.
Trekell is a premium art supply retailer that specializes in providing dependable supplies for artists at all levels. Founded with a commitment to quality and innovation, Trekell has built a reputation for offering cutting-edge products that empower artists to transform their imagination into reality.
Challenges
Despite strong product offerings and brand recognition, Trekell faced several challenges that limited their growth potential:
- Limited Cart Value: While Trekell maintained a steady customer base, the average order value remained lower than desired. Customers often purchased only what they immediately needed rather than stocking up on supplies.
- High Customer Acquisition Costs: Like many specialty retailers, Trekell faced significant costs in acquiring new customers, making it essential to maximize the value of each customer relationship.
- Inventory Management Complexities: Seasonal fluctuations and artist preference changes created inventory management challenges, with some premium products moving more slowly than anticipated.
- Competition from Large Retailers: Mass-market retailers and online giants with lower prices presented constant competitive pressure, making it difficult to compete solely on price point.
- Limited Customer Loyalty Programs: Prior to implementing AOV Free Gift, Trekell lacked a structured rewards system to incentivize larger purchases and repeat business.
Solution Implementation
Campaign structure
Trekell implemented a comprehensive Gift with Cart Value strategy using the AOV Free Gift app, creating nine distinct campaigns with increasing cart value thresholds:
- $50: Panel sample or
- $85: Artist brush sets or Precision Erase
- $100: Artist brushes for watercolor painting or Brush care sample sizes or Mystery imperfect panel
- $125: Short handle artist brushes – for watercolor, oil and acrylic
- $150: Brush protector in style
- $250: Floater panel, Wooden canvas and Frame
- $500: Raw baltic birch panel
- $750: 7-Piece brush set for all media
- $1,000: Gothic arch altar panel – Wooden painting canvas
To be specific, the brand utilizes these strategic features of AOV Free Gift:
- Product Selection: Gifts were carefully selected to complement customers’ purchases and introduce them to new product lines
- Value Perception: Each gift tier offered genuine value, encouraging customers to reach the next threshold
- Seasonal Adjustments: Gifts were periodically updated to align with seasonal trends and inventory needs
- Customer Experience: The popup format created an interactive element that enhanced the shopping experience
Results
Since implementing the AOV Free Gift app, Trekell has experienced substantial positive outcomes across multiple business metrics:
Direct Business Impact
- Increased Average Order Value: 38% increase in AOV within 3 months since implementation
- Inventory Optimization: Improved movement of slow-moving inventory when used as gift options
Long-Term Benefits
- Brand Perception: Enhanced reputation as a premium, customer-centric brand
- Marketing Efficiency: Reduced need for deep discounting to drive sales
- Community Building: Strengthened artist community through shared experiences with exclusive gifts
Key Takeaways
Trekell’s success with the AOV Free Gift app illustrates several valuable lessons for specialty retailers:
- Strategic Gift Selection is Crucial: Trekell’s careful selection of gifts that complemented their product offerings and appealed to their target audience was fundamental to their success. Each gift served as both a reward and an introduction to new products.
- Tiered Thresholds Drive Incremental Sales: The progressive structure from $50 to $1,000 created multiple “milestone moments” that encouraged customers to add items to reach the next threshold. This psychology of achievement drove significant incremental revenue.
- Customer Choice Enhances Engagement: By implementing a popup display allowing customers to select their preferred gift and variants, Trekell increased customer engagement and satisfaction. This element of choice created a more personalized experience.
- Consistent Execution Builds Expectation: Running the campaigns consistently for over six months allowed customers to anticipate and plan for these incentives, incorporating them into their purchasing decisions.
- Analytics Drive Optimization: Regular analysis of campaign performance allowed Trekell to adjust thresholds, gift selections, and presentation to maximize results over time.
Conclusion
Trekell Art Supplies’ implementation of the AOV Free Gift app demonstrates how a thoughtfully structured gift-with-purchase strategy can drive significant business results. By creating a tiered incentive system that aligns with their brand positioning, Trekell has successfully increased average order value, enhanced customer loyalty, and optimized inventory management—all while providing additional value to their customers.
For specialty retailers looking to increase average order value without resorting to margin-eroding discounts, Trekell’s approach offers a proven blueprint for success. The combination of strategic gift selection, tiered thresholds, and customer choice creates a compelling incentive that benefits both the retailer and their customers.