How Flux Footwear grew welcome series revenue by 46% with Fondue

“Fondue is one of the best tools to add dollars to your bottom line — and increase conversion rate too.” - Isaac Mertens, co-founder at Flux Footwear

About 

Flux Footwear makes adaptive training and running shoes that move with the foot instead of against it. By mimicking the experience of walking barefoot, Flux's innovative product design builds strength and flexibility through everyday activity.

Challenge 

Acquiring new customers without the stale 10% off coupon

Flux was built on innovation – both in their product and their business strategy. So, to stay true to their brand, the Flux team didn't want to attract leads with the same tired 10% off coupon as every other brand. 

The trouble was alternative rewards like giveaways didn't attract new customers at the same rate as offering a lower price. The only thing that secured more customers was a bigger discount. 

With this in mind, Flux started looking for a fresh discounting strategy that could serve their larger company goals, like building community, driving revenue, and increasing customer retention. That's when they found Fondue. 

“Flux has always operated differently than other brands, and we’re always searching for more ways to innovate – including how we discount. Fondue plays a big part in this.”

Solution

Fondue secures repeat customers by offering CashBack as store credit

With Fondue's CashBack solution, Flux offers a bigger welcome series discount and secures more new customers -- without cutting deeper into profits. That's because the promise of 20% back (rather than 10% off) is inherently more enticing, driving more leads to sign up for email and place their first order. 

But unlike with traditional coupon codes, not every shopper cashes out the offer. Those unclaimed offers increase the brand's profits, allowing them to leverage the extra revenue to further deepen the deal.

Even better, Fondue helps Flux identify their most loyal customers and focus their marketing efforts. How? By letting shoppers choose between getting 30% back as a Flux store credit or 20% as cash (most opt for the store credit because it’s the bigger offer). 

Someone who opts for the store credit will almost certainly buy from Flux again. With this segmentation, the Flux team can invest more resources into building these long-term relationships – rather than acquiring new customers or winning back churned shoppers. 

This not only increases their average customer’s lifetime value but improves Flux's marketing efficiency. (After all, retaining customers costs 5x less than acquiring a new one, and return customers spend 67% more per order on average.)

“We found that not only did Fondue increase enticement in the immediate moment, it increased enticement for the returning customer as well.”

Results

Fondue grew Flux’s email and SMS lists by more than 80%

Since adding Fondue to their marketing strategy, Flux has seen massive community growth, including: 

• 81% more email signups
• 80% more SMS signups 
• 46% more welcome series revenue

But Fondue has done more for Flux than boost signups and conversions. With our CashBack offer, Flux has a stand-out welcome flow offer that captures the data needed to keep shoppers engaged on owned channels and incentivizes repeat purchases. That's why Flux plans to grow its community with Fondue over the long haul.

“The 20% CashBack was different. It wasn't something they were seeing everywhere else.”