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Performance-based marketing strategy drives millions in revenue for Luksusbaby.dk

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In an ever-changing retail landscape, both online and offline, businesses must continuously adapt their strategies to remain competitive. The online store Luksusbaby.dk has embraced a performance-based marketing strategy to strengthen its market position, leading to significant growth and tens of thousands of orders annually.

Shifting economic conditions, including inflation, war, and rising energy prices, have impacted Danish consumers’ purchasing power, leading to declining retail sales both online and offline. This challenging market environment, particularly evident in the baby equipment and clothing sector, has intensified competition for businesses like Luksusbaby.dk. To navigate these conditions and drive sustainable growth, Luksusbaby.dk has recognised the need for a data-driven and results-oriented approach, ensuring maximum marketing efficiency and long-term success.

“Since the last couple of years, we have been tightening our efforts and competing more for customers than before. It goes without saying that our marketing strategy needs to be razor-sharp.”
CEO and founder of luksusbaby.dk, Morten Grabowski Kjær.

Expanding the marketing mix with affiliate marketing

Luksusbaby.dk refined its marketing strategy, to explore new channels to enhance visibility and customer engagement. One of the key additions to its marketing mix has been performance-based Affiliate marketing, managed by Daisycon.

“The people behind Luksusbaby are experienced business men who have an exceptional understanding of their target audience and their needs. However, they have not yet seriously measured their strength with the type of marketing and market access that we offer. So, we have been able to contribute greatly with our expertise and add a new and usable branch to their marketing setup.”
Michael Deleuran, Senior Sales Manager at Daisycon

Affiliate marketing enables Luksusbaby.dk to tap into a broad network of publishers, influencers, and media platforms that promote its products through targeted content. This ensures that marketing efforts reach the right audience at the right time, with a clear focus on measurable performance.

Since the start of the collaboration, results have quickly followed, and affiliate marketing has proven to be a profitable and scalable addition to Luksusbaby.dk’s marketing strategy.

“We want to be top-of-mind and present on as many platforms as possible to maximise our visibility to customers. The collaboration with Daisycon is our first experience with affiliate marketing, and like with any other form of marketing, we look at what we get for our money. Unlike other marketing forms, we know precisely what each penny brings in, and so far, it looks very promising.”
CEO and founder of luksusbaby.dk, Morten Grabowski Kjær.
Daisycon Luksusbaby.dk

Transparency and trust are crucial

Over the years, the people behind Luksusbaby have tried various marketing strategies, but they have only recently joined the affiliate marketing trend. The choice of Daisycon as a new partner is largely due to Daisycon’s approach being data-driven and transparent.

“We want integrity and sincerity when entering into agreements with external partners. We have found that with Daisycon, as the collaboration has been transparent, open, and honest from the beginning,” says Morten Grabowski Kjær. He adds:
“With external partners like Daisycon, customer service and contact with the people behind the scenes play a significant role in the experience. Martin and Daisycon are very proactive and make us feel secure as customers. 2023 has been another challenging year so far, but we trust our own and our external partners’ abilities to get us through to, hopefully, a profitable 2024.”

Information: Affiliate marketing

When a business enters into an affiliate marketing partnership with an agency like Daisycon, the agency helps the business reach potential customers by placing relevant affiliate links to the business’s online store on media and with influencers from the agency’s national and international network.

Affiliate marketing stands out from other typical online marketing disciplines such as Google Ads and social ads by being performance-based, where the advertiser only pays for orders that result from the agency’s affiliate campaign. The commission that is pre-established is a percentage of the order value, so the parties involved know what the collaboration will cost compared to the revenue generated.