At a time when customer acquisition costs are going through the roof, DTC wine brand Wine Insiders has seen a 151% increase in net-new customer acquisition in a single quarter through its partnership with gifting platform Nift Networks.
Wine Insiders, which was recently acquired by Full Glass Wine Co., began working with Nift to find new customer acquisition channels, in an industry where marketing is already made complex by varied state alcohol regulations. Nift’s gift network helps customers from its partners — which include companies like Afterpay, iHeartRadio, Mindbody, Meetup and ParkMobile — discover and try new products and services such as Wine Insiders. Customers from participating partner companies are matched, through proprietary AI, with gift offers from local and national brands that they might be interested in.
Through the Nift network, Wine Insiders reaches more than 38 million consumers at key lifecycle moments and is matched with those most likely to be interested in its offering. Nift now accounts for 25% of Wine Insiders’ customer acquisition mix.
“We saw a boom cycle during COVID where many ecommerce companies suffered from declining sales and an excess in inventory,” said Louis Amoroso, CEO of Full Glass Wine Co in a statement. “Nift helps orchestrate offers with what works best for their customers, and it’s become one of the most important retention tools we’ve used, with an average conversion rate of over 10%.”
Prior to using Nift, Wine Insiders utilized a variety of traditional channels, from digital ads and direct mail to Sunday inserts in order to bring in new customers. But many of those traditional channels were increasing in cost, decreasing in effectiveness or both, so Wine Insiders turned to Nift to supplement its efforts and generate “consistent acquisition at a reliable cost.”
“It’s a win-win strategy — consumers get the joy of discovering a valuable new brand and receiving a gift, while advertisers tap into a highly engaged audience at a highly efficient cost,” explained Elery Pfeffer, CEO of Nift Networks in a statement.