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Digital Supply is a premium online retailer of home and lifestyle products. They had a strong paid acquisition engine but were leaving money on the table by underutilizing their email channel. Despite a growing subscriber list, email contributed less than 5% of total revenue before partnering with SmartMail.

The Challenge

Before working with us, Digital Supply faced:

  • Underperforming flows: They only had a basic Welcome Series and a single Cart Abandonment email that was converting poorly.

  • Low email revenue contribution: Less than 5% of revenue came from email despite tens of thousands of subscribers.

  • No segmentation or personalization: Every campaign was sent to the full list, resulting in declining engagement and unsubscribes.

They knew email could be more profitable but lacked the time, expertise, and infrastructure to scale it properly.

The Strategy

Our approach was to rebuild email as a performance channel from the ground up. This meant addressing structural weaknesses while introducing new revenue opportunities:

  1. Lifecycle-Centric Approach – Instead of treating email as one-size-fits-all, we mapped out Digital Supply’s entire customer journey. From first-time browsers to loyal repeat buyers, we identified touchpoints where automation could drive purchases and build long-term value.

  2. Fixing Deliverability & Engagement – With declining open rates and high unsubscribe rates, our first step was improving inbox placement and relevance. We implemented sunset policies, engagement tiers, and subject line testing to restore trust with the list.

  3. Creative-Driven Segmentation – We knew generic blasts weren’t enough. We segmented audiences by behaviors (browsers, cart abandoners, VIPs, dormant users) and created campaigns tailored to each group. This allowed us to maximize ROI without overwhelming subscribers.

  4. Data-Backed Experimentation – Beyond flows, we layered in A/B testing across subject lines, send times, hero imagery, and CTAs. This systematic experimentation allowed us to refine strategy month over month, creating compounding gains.

  5. Bridging Paid + Email – With rising CAC, we aligned email with Digital Supply’s paid acquisition strategy. Every new customer brought in through ads was nurtured via high-converting flows, turning acquisition spend into profitable lifetime revenue.

The Solution

In the first 45 days, we expanded Digital Supply’s automation program from 2 basic flows to 9 highly-optimized flows, each designed to solve a specific business problem:

  • Welcome Series (Rebuilt): Expanded from 1 → 3 emails with storytelling, product education, and a first-purchase incentive delivered in the hero banner.

  • Cart Abandonment (Rebuilt): Added 3 stages (1 hour, 24 hours, 72 hours) with escalating urgency, reviews, and limited-time discounts.

  • Checkout Abandonment: Separate from cart, focused on users who reached checkout but didn’t complete. Messaging included trust signals, payment reminders, and shipping reassurance.

  • Browse Abandonment: Targeted visitors who viewed products but didn’t add to cart. Personalized dynamic product blocks were key here.

  • Post-Purchase Thank You Flow: Strengthened customer relationships with branded storytelling, usage tips, and referral incentives.

  • Replenishment Flow: Based on product lifecycle, nudging buyers to restock before they ran out. This became one of the highest LTV drivers.

  • Win-Back Flow: Triggered after 90 days of inactivity. Combined discounts, fresh product drops, and emotional copy to revive dormant customers.

  • VIP Customer Flow: Exclusive offers, early access to sales, and personalized content for top spenders. Increased loyalty and repeat purchase rate.

  • Product Review Flow: Automated requests for UGC and reviews, building trust and social proof to fuel future conversions.

Campaign Program Enhancements:

 

  • Introduced a content-led campaign calendar balancing promotional pushes with lifestyle content.

  • Launched seasonal campaigns that tied into holidays and product launches, segmented by purchase history.

  • Added A/B tests around CTA placement, subject line emojis, and image-led vs text-led creatives.

Creative & Technical Improvements:

  • Designed responsive templates with consistent brand look and feel.

  • Optimized mobile-first layouts to cater to the 70% of traffic coming from mobile.

  • Integrated Klaviyo with onsite data to power personalization blocks (dynamic recommendations, “recently viewed” sections, social proof).

The Results

The transformation was dramatic — email evolved from a background channel into a primary driver of revenue growth:

  • 48x ROI in the first year: For every $1 spent on SmartMail services, Digital Supply generated $48 back in revenue.

  • 36% of total revenue now comes from flows: Email became a foundational revenue engine rather than an afterthought.

  • Engagement doubled: Open rates climbed from 12% → 29% within 90 days thanks to segmentation and improved deliverability.

  • Revenue diversification: Before SmartMail, 90% of sales came from paid ads. Now, email consistently delivers 7 figures annually, lowering reliance on volatile ad costs.

  • Customer loyalty boost: VIP and replenishment flows increased repeat purchase rate by 22%, helping Digital Supply stabilize revenue month-to-month.

Instead of being an underutilized channel, email became the profit center of the business — fueling growth, lowering acquisition risk, and unlocking repeatable revenue at scale.

Results

48x

ROI on Email Spend

69%

Email Open Rates

41%

Click Through Rate

325%

Increase in Email Conversion Rate

adamverbnic

“For every dollar we paid them, SmarMail delivered $48 back in revenue from their campaigns. Work with them!”

Adam Verbenic

Founder, Digital Supply USA