+93%
YoY Revenue Growth
+87%
YoY New Customer Rev.
+73%
YoY Contribution Margin
-14%
YoY Blended CAC
+59%
YoY Meta Ad Spend
+27%
YoY Meta ROAS (1d Click)
Founded in 2016 by a husband-and-wife team in Brisbane, Australia, Luvo Store quickly established itself as a standout in the beauty accessories market. Identifying an underserved niche, the brand's thoughtfully designed products resonated with consumers, fuelling rapid growth and cementing Luvo's position as an innovative leader in the beauty space.
Luvo Store partnered with Factor to elevate their Meta Ads performance beyond what founder-managed efforts could achieve. With founders running thin handling marketing alongside other responsibilities, and despite having built an impressive in-house content team (evidenced by their standout Instagram presence), they needed specialised expertise to: 1) develop a paid-specific creative strategy that would outperform their organic approach, and 2) implement a financially-sound scaling methodology that avoided the typical profit erosion seen when increasing ad budgets. The ultimate objective was clear: grow revenue by scaling Meta Ads while improving—not compromising—profitability.
Solution
As always, Factor deployed our proven Meta Scaling System for Luvo Store—a comprehensive triple-pronged approach combining Meta Ads, ad creative and financial growth strategy.
Meta Ads
First, we restructured Luvo's Meta Ad account away from scattered, audience-based campaigns toward a streamlined, product-led campaign structure with 7-day click attribution settings. This fundamental shift aligned with Meta's own best practices and eliminated the reliance on potentially misleading view-through conversions. By organising campaigns around product categories rather than audience segments, we created clearer performance signals and more efficient budget allocation—essential for scaling without diminishing returns.
Ad Creative
Next, we implemented our high-volume creative testing methodology, working directly with Luvo's talented in-house content team. Being Brisbane-based ourselves, we collaborated on-site during production shoots, providing creative direction to ensure each asset was optimised specifically for paid social performance. This collaboration bridged the gap between Luvo's organic content expertise and Factor's conversion-focused paid media knowledge. We established a continuous production cycle of diverse creative formats—from lifestyle UGC to high-production product videos—testing hundreds of variations monthly to maintain fresh, high-performing assets and prevent the ad fatigue that often plagues scaling accounts.
Growth Strategy
Lastly, we deployed our financial tracking and forecasting system for Luvo Store. This included setting up our profit tracking dashboard to track critical financial metrics daily, not just vanity marketing metrics. By building cohort-based models that accurately projected returning customer revenue alongside new customer acquisition costs, we created data-driven financial forecasts that resulted in realistic, achievable targets being set. This approach allowed us to present Luvo's team with multiple growth scenarios each month, comparing the potential outcomes of different spend levels, and selecting the most profitable and probable path forward—ensuring that increased ad spend actually translated to bottom-line growth.
The integrated approach of our Meta Scaling System eliminated the guesswork and ambiguity typically associated with scaling, replacing it with a proven framework for profitable growth.
Results
+93%
YoY Revenue Growth
+87%
YoY New Customer Rev.
+73%
YoY Contribution Margin
-14%
YoY Blended CAC
+59%
YoY Meta Ad Spend
+27%
YoY Meta ROAS (1d Click)
Luvo Store experienced remarkable growth in our first year of partnership. Our integrated approach delivered 93% year-over-year revenue growth and 73% contribution margin growth. Despite increasing Meta ad spend by 59%, efficiency metrics improved rather than declined—a rare achievement when scaling spend aggressively. The foundation of this success was our rigorous creative testing process, producing hundreds of diverse assets from lifestyle UGC to high-production content. This continuous supply of fresh, diverse creative allowed Luvo Store to maintain efficiency (ROAS) even at significantly higher spend levels.
