Meta Ads Google Shopping TikTok • Ecommerce / Fashion • 6 months

LuxeCoat Fashion Scaled Meta Ads to €180K/Month Revenue

A DTC fashion brand went from €30K to €180K monthly revenue by mastering creative testing, audience expansion, and full-funnel Meta advertising.

€180K (from €30K)
Monthly Revenue
4.2x
Blended ROAS
+380%
New Customer Revenue
28% (tested 120+ ads)
Creative Win Rate

Context

LuxeCoat Fashion is a DTC brand selling premium outerwear and layering pieces online. Shopify-based, shipping across Europe. Before working with us, they had strong organic social presence and a loyal customer base, but paid advertising had been inconsistent — bursts of spending followed by pauses when ROAS dipped below targets.

Monthly revenue was around €30K with €4K in ad spend. They wanted to scale aggressively but had been burned by a previous agency that scaled spend without maintaining profitability.

Funnel type: Ecommerce (DTC fashion) Average order value: €145 Customer LTV (12 months): €290 Target blended ROAS: 3.5x (we exceeded consistently)

Constraints

  • Budget: Starting at €4K/month, scaling to €45K/month over 6 months
  • Tracking: Shopify + Meta Pixel configured. No Conversions API initially. iOS attribution gaps of roughly 30%
  • Creative: Strong photography but limited video. Founder did some UGC but no systematic production
  • Seasonality: Fashion — strong in fall/winter (Aug-Jan), softer in spring/summer

Hypotheses & Experiments

Hypothesis 1: Creative testing at volume will find scalable winners

The brand had only tested 8 ad creatives total. In our experience, you need to test 50+ before identifying formulas that can absorb significant spend.

Experiment: We built a systematic creative testing framework — testing 10-15 new creatives per week across hooks, formats, and messaging angles.

Hypothesis 2: UGC-style content will outperform polished brand photography

Fashion tends to live in the polished end of creative. But Meta’s algorithm often rewards authentic, relatable content over studio perfection.

Experiment: We produced UGC-style content alongside the existing brand photography. Real people wearing the coats, filmed on phones, with genuine reactions and styling tips.

Hypothesis 3: Full-funnel structure will enable scaling without destroying ROAS

Scaling just prospecting campaigns causes CPM to spike and ROAS to decline. A full-funnel approach (prospecting + retargeting + retention) allows more aggressive top-of-funnel spending because the retargeting and retention layers recover margin.

Experiment: We built a three-layer campaign structure: cold prospecting (60% of budget), warm retargeting (25%), and customer retention/upsell (15%).

Week-by-Week Progress

Weeks 1-3: Implemented Conversions API. Restructured campaigns into the three-layer funnel. Launched first creative testing batch of 20 variations. Weeks 4-6: Identified first 3 winning ad concepts. UGC “try-on haul” style videos outperformed studio photos by 2.5x on CPA. Retargeting immediately profitable at 8x ROAS. Weeks 7-10: Scaled winning creatives. Budget increased from €4K to €12K. ROAS held at 4.5x. Added Google Shopping for brand and high-intent terms. Weeks 11-16: Continued creative testing — 60+ creatives tested by this point. Win rate stabilized at 22%. Budget scaled to €25K. Launched TikTok as additional prospecting channel. Months 5-6: Full scale. Budget at €42K/month. 120+ creatives tested total, win rate 28%. Revenue hit €180K/month. TikTok contributing 15% of new customer revenue at better CPI than Meta.

Results

MetricBeforeAfter (Month 6)Change
Monthly Revenue€30,000€180,000+500%
Monthly Ad Spend€4,000€42,000+950%
Blended ROAS3.2x4.2x+31%
New Customer Revenue€12,000€57,600+380%
Returning Customer Revenue€18,000€122,400+580%
Creatives Tested8 total120+
Creative Win RateUnknown28%
Average CPM (Meta)€12€9.80-18%

What Did Not Work

  • Broad interest targeting without strong creative: Early broad targeting campaigns had CPAs 2x higher than refined audiences. Broad only worked after we had winning creative — then the algorithm could find the right people without us specifying interests.
  • Discount-led creative: “20% off” ads drove high click-through but attracted discount shoppers with low repeat purchase rates. We shifted to value-based messaging emphasizing quality, sustainability, and style.
  • Static carousels: Product carousel ads were our worst performing format consistently. The algorithm and audience both preferred video and single-image formats with strong visual hooks.
  • Scaling budgets by more than 20% at once: Every time we increased budget aggressively (30-50% jumps), campaigns tanked for 3-5 days. We learned to scale gradually — max 20% every 3 days.

Takeaways

  1. Creative volume and testing velocity are the number one growth lever for DTC brands on Meta. You cannot outsmart the algorithm — you need to feed it better creative.
  2. UGC outperforms polished content for most direct-to-consumer brands. It is not about low production quality — it is about authenticity. People trust people more than brands.
  3. Full-funnel structure enables scaling. Prospecting alone gets expensive at scale. Retargeting recovers margin. Customer retention maximizes LTV. All three must work together.
  4. ROAS can improve as you scale if your creative testing is strong. Counterintuitive, but true — better creative lowers CPMs and increases conversion rates, which can offset the diminishing returns of higher spend.

Want Results Like These?

Book a free strategy call and we will show you exactly how we would approach your campaigns.

Book a Free Strategy Call