D2C MATTRESS AND BEDDING ECOMMERCE COMPANY

Tuft and Needle, the Original Online Mattress Retailer, Improves Email Revenue by 181%

When Tuft & Needle founders Daehee Park and JT Marino set out to create the world’s first direct-to-consumer mattress and bedding brand, reducing bottlenecks in the buying process like inconsistent skews, pushy sales reps, poor customer service, etc. was a top priority. Their streamlined approach was quickly noticed by more traditional sleep brands: a merger with Serta Simmons Bedding meant they’d need to rethink their technology stack in order to scale.

181%

Increased Email Revenue
Within the First Year

578%

Increase in
Traffic YOY

40%

Increase in
Automation Workflows

180%

Increase in
Segments

BUSINESS

Tuft & Needle is a direct-to-consumermattress and bedding brand owned by Serta Simmons Bedding. The company was founded on July 19, 2012 by Daehee Park and John-Thomas Marino.

HEADQUARTERS

Phoenix, AZ // USA

INDUSTRY

Ecommerce & Manufacturing

THE CHALLENGE

Using a Legacy System to Communicate with a Massive Customer Base

As Tuft & Needle rapidly began to grow with the merger of Serta Simmons Bedding, they realized they needed a solution that would scale with them. Their legacy solution (a basic ESP)  limited the team to batch-and-blast email campaigns with no ability to leverage historical data or natively host their product catalog to deliver product recommendations. In addition to that, they had no ability to export their first-party data to any external system for deeper analysis on campaign performance, resulting in a loss of data and insight.

THE OBJECTIVE

Move from Batch-and-Blast to Personalized, Automated User Journeys

Tuft & Needle needed a scalable and accessible solution that could integrate with their product and content catalogs, align with the strict brand guidelines, and collect all their first-party data to activate across their campaigns. Their team went through a rigorous technical evaluation involving members from IT and engineering to ensure the solution they selected was going to be a long-term partner, not something they would change two years down the road.

In short, Tuft & Needle wanted to:

  • Activate first-party data across systems for deeper analysis to better optimize email elements and campaign performance
  • Quickly build branded emails that easily pull in product recommendations blocks for mattresses, bed frames, and bedding
  • Become more agile and efficient by developing highly-targeted email campaigns, while freeing up creative capacity to build new segments and templates
  • Identify and engage customers more effectively by leveraging AI to build granular customer segments such as net promoters, queen size mattress owners, or those likely to purchase

“Blueshift’s recommendation engine is great and easy-to-use. I have the ability to plug in our recommendation blocks into any email template with ease, and still customize the design to our specific brand guidelines.”

Strategy

Sophisticated, Personally Relevant Journeys Tailored to Each User

As Tuft & Needle rapidly began to grow with the merger of Serta Simmons Bedding, they realized they needed a solution that would scale with them. Their legacy solution (a basic ESP)  limited the team to batch-and-blast email campaigns with no ability to leverage historical data or natively host their product catalog to deliver product recommendations. In addition to that, they had no ability to export their first-party data to any external system for deeper analysis on campaign performance, resulting in a loss of data and insight.

The following capabilities were essential to Tuft & Needle’s success:

Single Customer View
Gave them complete views of every user based on the unification of all data,
such as onsite activity, campaign engagement, and catalog interactions

Predictive Intelligence
Allowed the team to scale and be more aggressive in their outreach by
targeting high-intent-to-purchase customers with relevant content

Advanced Segmentation
Gave them the ability to build granular segments based on any datapoint,
such as mattress owners, new users, newsletter signups, and birthdays

1:1, Personalized Experiences
Boosted the success of email campaigns such as mattress sleep trials,
product brochure requests, welcome series, abandoned cart, referral bonus and catalog upsells

Results

181% increase in email revenue within the first year

17% increase in AOV

578% increase in traffic YOY

40% increase in Automation Workflows

180% increase in Segments

Next Steps

In a little more than a year since the acquisition, Tuft & Needle has grown exponentially and has no plans to stop. They are now looking to increase their number of automated campaigns by 75%, freeing up their time to work on new marketing initiatives. The company also plans on using Blueshift to improve their paid advertising efforts by delivering cohesive and consistent messaging across Facebook and Google.

“I would recommend Blueshift to any company that is struggling to find the ability to segment on every quality and event they collect on their customers. If they don’t have the ability now, they should strongly consider moving to a system that allows them to do something actionable.”

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