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Crazy Dog T-Shirts Target Case Study: +229% Revenue Growth & 8.7% TACoS
CDT was battling a material decline in revenue and decreasing market share. They tested countless solutions, including hiring and firing a number of consultancies and ad managers — none of which were able to meet or exceed their goals. Within 6 months of partnering with Adverio, CDT had recovered a significant double-digit percentage year-over-year loss and has since sustained a substantial double-digit year-over-year revenue and profit gain on multiple marketplaces.
Product Category: Softlines > Apparel (Novelty Tees)
Brand Objective: The brand was already selling on Target and without paid media support. The objective in March 2025 was to activate Target Ads to accelerate growth, dominate the graphic tees category, and prove the channel could scale profitably under TACoS guardrails.
40% Growth on Amazon US
480% Growth on Amazon CA
229% Revenue Growth on Target
We used several other advertisers with no real results. With Adverio, we saw a huge revenue jump. It’s been a perfect partnership for me".
The Challenge
No Target ads prior to mid-March 2025 — sales were organic-only, limiting growth potential.
The category (graphic tees) is highly competitive, dominated by licensed brands and discount players.
Leadership needed proof that Target Ads could be incremental drivers of growth and margin, not just cannibalization from Amazon.
The mandate: stand up a profitable Target Ads program from scratch and scale sustainably.
Adverio’s System — Marketplace Multiplier Engine
Ad Program Launch (March)
Built full-funnel Target campaigns — branded, PDP, seasonal, and category placements.
Tentpole Playbooks
Father’s Day, July 4th, Circle Week, and Halloween activations with profit pacing built in.
Smart Pricing Strategy
MSRP +% with % promo discount, creating a margin-safe perception of value.
Review Syndication
Brought in 900+ external reviews (Walmart + DTC site) into Target to boost conversions.
The Results
Profitability gains
TACoS compressed from 16.4% → 8.7%, while ROAS climbed to nearly 4.0, well above early benchmarks.
Ad-driven contribution
Paid media contributed an incremental gross revenue lift of 229% via Target.com topline, validating ads as a standalone growth lever.
Category leadership
In graphic tees, CDT captured 62% impression share and 50% click share by June — dominating its lane within 90 days of ad launch.
The Lesson
Starting ads on an existing channel isn’t about testing volume — it’s about building a profit-first growth engine. With Adverio’s Marketplace Multiplier Engine, Target.com sales went from a passive sales channel into a category-dominating, margin-controlled growth engine in less than six months.
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