Executive Summary
Not Another Detox Tea engaged Blue Sense Digital in February 2025 with unprofitable
customer acquisition (blended CAC exceeded first‐order gross profit). By overhauling their
paid‐media approach, we drove a 40% drop in blended CAC, tripled new‐customer volume
and transformed the brand into a profit engine – all within two months. In June (the fifth
month of our partnership), we delivered the client’s best month ever for sales, profit and
new‐customer acquisition.
Challenges
- Unprofitable Acquisition: Blended CAC sat above first‐purchase profit.
- Obscured Incrementality: Platform attributions and mixed “all‐customer” metrics masked true new‐customer impact.
- Limited Creative Testing: Low volume of new ads and a sub-optimal hit rate stalled scale.
- Fragmented Structure: Cold-prospecting campaigns were blurred with retargeting, diluting budget and data clarity.
Solutions
- Data Assurance & KPIs
- Switched to new-customer revenue only for all efficiency metrics (Acquisition MER).
- Removed one-day-view attributions; standardised on 7-day click to eliminate over-crediting.
- Built cohort-based CAC payback analysis to set a hard CAC ≤ first-order profit target.
- Technical Account Structure
- Segmented cold vs existing customer campaigns; excluded returning buyers from prospecting.
- Consolidated Google into lean brand search + non-branded Shopping with strict negatives.
- Turned off non-incremental objectives (Traffic, View-Content); focused Meta on conversions.
- Creative Velocity & Diversity
- Audited historical ads to define a “high-performer” spend threshold.
- Ramped up systematic testing to 20+ new creatives/month—grouped by concept & angle.
- Forecasted ad-level contribution profit to ensure each asset out-earned its production cost.
🚀 Results
- Month 2 Achievements:
- Blended CAC dropped by 40%
- New-customer volume tripled
- 30-day LTGP:CAC ratio improved from < 1 to 1.81×
- Profit contribution increased 4.47×
- Acquisition MER up by 50%
- Total media spend up by 74%
- Month 5 (June) Record Month:
- Highest sales month ever, with record nominal profit and record profit margin
- Best contribution margin and net profit percentage to date
- Acquisition MER reached an all-time high
- Total media spend scaled to an all-time high (2.2× since partnership began)
- First-time customer profit contribution up 3.6× versus month 1
- Year-on-year profit contribution up 11×
We’re thrilled to have driven profitable new-customer acquisition to such a degree that it now
outpaces the previous reliance on returning-customer revenue.
Ready to transform your business like Not Another Detox Tea did?
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