WELDING SUPPLIES CASE STUDY

DROPPING MAILCHIMP FOR ZAIUS DRIVES 126% INCREASE IN REVENUE

The Company

Welding Supplies from IOC (Indiana Oxygen Company) is the oldest welding supply company in the United States. Based in Indianapolis, Indiana, they are the leading source for all welding supply needs, including equipment, accessories, and protective gear.

The Challenge

Before Zaius, Welding Supplies relied on not one, but two separate systems to execute behavioral marketing campaigns. They used Mailchimp for welcome campaigns, but the tool could not execute cart and browse abandonment campaigns due to a poor integration with Magento. So they were forced to invest in 4Cite as well. The two siloed systems couldn’t work together, leading to uncoordinated messages and extra work— all at twice the cost. And even with two email service providers (ESPs), Welding Supplies was still not able to accomplish their goal of in-depth segmentation and personalized campaign execution.

The Solution

Given that welders have very specific product needs, Welding Supplies was an ideal candidate for a solution that could granularly segment customers and send highly targeted campaigns. They consolidated and upgraded to a single B2C CRM with Zaius.

By bringing customer data and campaign execution together in a single platform, Welding Supplies now runs a lot more than just welcome and abandonment campaigns. They now have automated lifecycle campaigns triggered based on customers’ buying stage. For example, customers who haven’t engaged with their brand in the last year receive winback campaigns. They also run replenishment campaigns to encourage reorders of their consumable products at the moment they run out. Zaius allows the team to test everything from subject lines to website signup forms which then correspond to different welcome series for customers—something they never could have done on Mailchimp.

“My favorite aspect of Zaius is the flexible, highly customized segmentation. It has been such a welcome change for us,” says Justin Yoder, Director of Ecommerce. “To give you an example, if we want to send a newsletter offering a free pair of gloves with the purchase of a helmet, we can exclude customers who already bought a helmet in the previous 45 days. That way we don’t get calls from ineligible customers asking for their free pair of gloves.”

The Results

Since switching to Zaius, Welding Supplies has not only dramatically cut costs by consolidating to one platform, but has also driven significant revenue gains. With the help of their agency SmartClick Advertising, the company has seen a 126 percent increase in revenue year-over-year since moving from Mailchimp to Zaius. Overall, Welding Supplies has seen a 176X return on investment.

Behavioral campaigns have proven to be extremely lucrative for the company. While these campaigns make up just four percent of Welding Supplies’ email volume, they drive 76 percent of their overall email revenue. The average revenue per message of their behavioral campaigns is 73 times that of their promotional campaigns. With results like that, it’s no wonder they plan to add more behavioral campaigns in the future.

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“My favorite aspect of Zaius is the flexible, highly customized segmentation. It has been such a welcome change for us. To give you an example, if we want to send a newsletter offering a free pair of gloves with the purchase of a helmet, we can exclude customers who already bought a helmet in the previous 45 days. That way we don’t get calls from ineligible customers asking for their free pair of gloves.”

Justin Yoder

Director of Ecommerce, Welding Supplies from IOC