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Jan 20, 20212 min read

How OUAI quadrupled ROAS with Klarna.

Klarna K logo

by Klarna

Retailers use Klarna at the top of the funnel to get striking results. See how OUAI boosted its ROAS 4X by promoting Klarna alongside its products.

  • 4X ROAS

  • 5% increase in average order value

  • 28% more add-to-carts

  • 30% increase in clicks

About.

OUAI is a haircare line composed of chic, modern essentials founded by celebrity hairstylist Jen Atkin. OUAI (pronounced “way”) believes that the OUAI to good hair starts from within. OUAI’s haircare products are sulfate-free and employ smart keratin to repair and improve hair strength.

The challenge.

Early in 2020, facing an uncertain economic environment, OUAI was looking for a new way to address accessibility by enabling customers to purchase premium hair products and tools, while paying over time. OUAI implemented Klarna’s Buy Now, Pay Later (BNPL) solution to drive new consumers and make its products more affordable. With this new value prop, OUAI’s next challenge was to ensure shoppers were aware that they had the ability to pay in 4 interest-free payments over time.

The solution.

Klarna’s extensive partner network allows us to take our retailers’ businesses to the next level and produce quality results. We teamed up with MuteSix, a leading digital marketing agency, on a mission to boost OUAI’s conversion rate and turn their visitors into loyal customers.

“Since Klarna has existing brand awareness and alleviates the friction of cost, the ads we ran for OUAI featuring Klarna messaging drove more traffic to OUAI’s site, converted more first time buyers, and increased OUAI’s average order value.”
– Adena Merabi, Head of Strategic Partnerships at MuteSix

Strategy.

MuteSix ran a split A/B test, testing OUAI’s creative both with and without Klarna messaging. Klarna was used in the body copy as well as within text overlays. The test was a month long, with equal spend going towards each version of the ad.

Results.

Together with MuteSix and OUAI, we confirmed that promoting Klarna and our retail partners’ joint proposition improves the efficiency of marketing activities. MuteSix was able to drive 30% more clicks to OUAI’s site with effective social ads highlighting Klarna’s BNPL messaging. With Klarna’s interest-free payment tool available at checkout, we saw 28% more add-to-carts and an overall 4x ROAS for OUAI.

To see what else our merchants are saying, check out our case studies. Download the full OUAI case study here.

Ready to increase your average order value and drive conversions?

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