The Story

A longtime innovator in the crafting industry, Spellbinders Paper Arts products have inspired a generation of makers. Because they employed a full marketing team of expert creators, they initially envisioned a more consultative role for Matson Group. However, after our C.O.R.E. analysis, we uncovered two surprising findings that would result in unprecedented growth.

One of Spellbinders’ offerings is a die cutting machine, used to craft precise, intricate shapes in a variety of materials. The die cutting machine comprised a relatively small share of overall sales. As such, it was not consistently in stock and considered more of a “nice to have” than an essential component of the Spellbinders consumer journey.

What our analysis discovered was that the die cutting machine was actually a strong predictor of customer lifetime value. Those who purchased the die cutting machine were highly likely to subscribe to Spellbinders’ monthly crafting clubs, which offered early access to discounted seasonal designs. Realizing that die cutting machine purchasers were highly motivated to subscribe, we worked with Spellbinders to refocus operations and consistently keep the machine in stock. With the help of restructured Google and Bing ads, profits began to increase exponentially.

Additionally, our analysis revealed that crafting influencers were driving significant revenue, but there was potential for growth. By offering new incentives to influencers, Spellbinders was able to increase influencer-driven revenue after having previously assumed that these channels were already maximized.

We can help you delve into the consumer journey and gain the insights you need to take your business to the next level. Check out our Services page to learn more.