New Age Floral Case Study

Case Study

New Age Floral Taps the Power of Subconscious AI to Gain Messaging Clarity, Reduce Risk and Speed Up Time to Revenue

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Customer Background

Company: New Age Floral

Industry: Floral Design

Established in 2020, New Age Floral is a proud leader in the floral design industry's sustainability movement. The company's journey began with a simple goal: to eradicate unsustainable floral design products, like green foam bricks, by offering natural alternatives that prioritize our planet's well-being.

The company's groundbreaking product, the OshunPouch®, stands as a testament to its commitment to innovation and sustainability.

The Challenge

Over the past several years as inflation spiked and tariff wars made importing and pricing uncertain, New Age Floral faced economic challenges that led to flat sales. To address the problems, they embarked upon a journey to discover the reasons for the decline and understand which messages would most resonate with florists, distributors and consumers.

The company needed answers to critical questions:

The Solution

To find answers to their questions, New Age Floral worked with Fractional CMO Aaron Ziemann who collaborated with Subconscious AI Advisory Partner Michelle Seay Baker using the following methodologies:

Sample size: 125 respondents on the final experiment, with sample sizes varying across multiple preliminary experiments.

Phase 1: Determine the Most Important Features

High-level experiments were run to assess whether brand names, prices, or various product features were most important to customers.

Feature Importance Chart

Price emerged as the most important factor consumers would consider when purchasing eco-friendly floral foam.

Phase 2: Test Compostability Messaging

Experiments were rerun with a narrowed feature focus to determine if "home compostable" and "commercially compostable" could be differentiated and which would resonate more strongly.

Feature-Level Importance Chart

Home compostable products emerged as the stronger preference among eco-conscious consumers.

"This research is instrumental in shaping the final pieces of our marketing strategy, messaging, positioning, and creative direction," said Aaron Ziemann, New Age Floral CMO.

Phase 3: Determine Optimal Price Points

The price ranges New Age uses currently were entered to uncover which prices would cause consumers to be more likely to purchase the product.

Price Impact Chart

Sales would start to drop off if products are priced over $100. The optimal price to maintain market share: $60.

Phase 4: Test Messaging and Slogans

A new experiment was designed to focus on the most important features (brand, price, compostability type) and test specific slogans and supporting ad copy to decide which ones to test in real-world campaigns.

Messaging and Slogan Testing

While eco-conscious consumers prefer "Certified True Compostability," "The Flat-Pack that Pays for Itself" appealed to both eco-conscious and pragmatic consumers, suggesting broader market appeal.

Phase 5: Market Simulation and Price Optimization

Using the Market Performance Simulator, the team experimented with numerous scenarios comparing Oshun Pouch to competitors at various price levels to understand how price changes would impact market share and revenue.

Demand as a Function of Price

The demand curve showed clear price sensitivity. Market share peaks at $60 and declines steadily as price increases.

Willingness to Pay Analysis

Willingness-to-pay analysis revealed which messaging, brand positioning, and price combinations would maximize customer value perception.

Key Findings

Through a series of agile, iterative experiments, the team learned that:

"This study highlights the value of Subconscious as a game changer for informing strategic decisions," said Michelle Seay Baker, APR. "Working with Aaron was an excellent demonstration of how a collaborative approach between humans and a powerful AI tool can bring clarity to product positioning and marketing messaging in challenging market conditions." Michelle Seay Baker, APR

Results and Impact

Cost Savings

New Age Floral saved approximately $65,000 in research costs that a traditional research agency would have charged for similar research.

Reduced Risk

With this causal research capability, New Age Floral gained access to predictive insights based on consumer behavior rather than static survey data, making campaign launches less risky and more profitable from day one.

Faster Time to Revenue

Access to insights within a few weeks, rather than several months, gave New Age Floral the opportunity to launch new campaigns and begin increasing sales and revenue much faster than traditional research would allow.

Conclusion

Facing a challenging sales environment with inflation and tariffs in flux, and the need to differentiate in a market with misleading "green" claims, New Age Floral needed a cost-effective way to understand consumer purchase behavior and optimize their marketing and messaging strategy.

In a groundbreaking human-AI collaborative effort, Michelle Seay Baker, APR, and New Age Floral's Fractional CMO Aaron Ziemann were able to help the company save $65,000 in research costs and bring clarity to strengthen strategic marketing direction, reduce campaign launch risk, and increase the potential for rapid revenue growth.

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