Today I’m going to show you the Facebook Ads strategy we used in LUXMII (an online fashion store) to scale to $300K/month profitably.
Once you’re done reading this article, you will know EXACTLY what works and what doesn’t when it comes to Facebook & Instagram ads for clothing brands and how to get results like this:
If you have an online fashion brand and want to get past the $1,000,000 revenue mark, profitably AND with a healthy CAC (Customer Acquisition Cost) then THIS is the Facebook ads strategy to do it.
From audience targeting and creative development to budgeting and campaign scaling, you’ll learn how to replicate this success for your own brand.
Grab the Case Study below to see how it works.
For a detailed guide look at how we’ve helped LUXMII grow through multiple channels with a high-converting website, check out our full ecommerce growth strategy.
Introduction – The Brand
What if I told you that one of the most powerful tools for scaling a premium fashion brand from zero to $2M in annual sales is right at your fingertips?
It’s not about who you know, a stroke of luck, or a viral moment—it’s about mastering the art of Facebook Ads.
When we launched LUXMII, a high-end linen fashion brand based in Australia we had no prior brand awareness, a small Instagram following, and zero sales.
To be honest we didn’t think that we could scale a small side-project to this size, a healthy business that competes with lots of well-known brands.
Fast forward to today, and we’ve scaled the business to $2M in annual revenue, with Facebook Ads playing a pivotal role in our success.
How it all started (The Story)
Remember the good ol’ days when we used to set up an image or a carousel on Facebook Ads and then running on auto-pilot you listened to the cha-chings every other minute?
Yeah, me neither.
When we started advertising LUXMII (August 2021) it was all fun and testing. I thought “Ok let’s spend 3k and see what happens”.
Btw back then I built the website on Shopify in literally a day and immediately started running ads.
The catalog consisted of approximately 50 products and we – of course – did not have a product market fit.
But to my surprise the results were too nice:
We spent $3k and made $16k! Wow, that felt nice!
I surely thought that there is more to explore.
As you can see from the screenshot we used to test carousels vs videos and copies. Nothing much.
Over the next 4 months (Q4) we continued testing:
- Copies
- Ages
- Products
- Interests
Of course nothing of this is worth testing right now (2024) but back then we needed to split test everything in order to see who buys our products.
The results showed that going Broad (no interests) was working better than anything else.
Results of 2021 Q4:
Challenges
Stock Issues
As you can clearly see we had a successful first BFCM (Black Friday/Cyber Monday) launch with a nice lil dip during the Christmas period.
If you’re in fashion you know why this happened. For anyone else guessing…we ran out of stock!
It was a lesson we needed to learn but unfortunately repeated in 2022 and 2023.
But it ends well! We finally built our own atelier in Lisbon, Portugal and now everything is streamlined without any production issues or delays.
We manage our production end-to-end.
Seasonality
As we ran through 2022 we came across something that we did not like: Seasonality.
A decline in sales led us to see that Australia alone could not work for LUXMII.
We had a nice kick start but then we needed to re-evaluate and plan accordingly.
This was the defining a-ha moment we had in May 2022: Target the USA 🇺🇸
The idea was simple: adjust our targeting. Since when it’s winter in Australia people won’t probably buy, let’s switch to USA where it’s summer.
After re-designing the whole website we started testing the USA waters with whatever worked for us in Australia.
And to our disbelief… It worked!
Even though seasonality still hits us from time to time it has now been almost eliminated due to the 2 continents which have opposite seasons and the fact that our product catalog has expanded to more heavy-weight outfits and styles that are more suitable for colder months.
This expansion allowed us to attract customers year-round, smoothing out the seasonal dips in sales.
Let’s proceed to the creative stuff.
The “Fashion Funnel” Strategy: Crafting Ads that Convert
Just like assembling the perfect outfit requires layering the right pieces together, crafting a successful Facebook Ads strategy requires layering different elements to guide your audience through a seamless journey.
As every marketer had followed in the past, we decided to approach a full-funnel approach.
We created different ads for every step of the funnel.
Stage 1: Awareness – The Top of the Funnel
We leveraged all kinds of creatives for this stage where we were simply showcasing every outfit.
I wanted to think of our potential customers as window shoppers. Our ads were visually appealing and designed to grab attention immediately, much like a stunning window display that draws passersby into a boutique.
Images, carousels and short slideshow videos (yuck) showing the ease and elegance of our linen outfits.
As we discovered, carousel ads are incredibly effective at this stage. Having people scroll through our catalog allowed us to showcase our products, giving viewers a better sense of what our brand offers.
In late 2022, when we transitioned to video content, our engagement and conversion rates skyrocketed. We’ll dive deeper into how we created these videos later in the article.
Stage 2: Consideration – The Middle of the Funnel
As we were getting traction and more eyeballs on our website and products we started leveraging ads that would convince people about our quality.
At this stage, it was crucial to communicate what sets our brand apart.
That’s why we created variations of our ads including testimonials in the copies while targeting people who viewed our videos, website and social media posts.
Stage 3: Conversion – The Bottom of the Funnel
There’s not too much to talk about here.
We made sure to set up retargeting ads that would include an offer (10% discount) in order to convince people to buy.
These campaigns worked really well back then. Today we don’t have any kind of retargeting campaigns.
Building the Foundation – LUXMII’s Brand Identity and Market Positioning
At the heart of every successful marketing campaign lies a deep understanding of the brand’s identity and the market it serves.
Not for us.
Well not at first.
For at least 1 and a half years we did not quite understand the needs and characteristics of our core audience.
For LUXMII, defining who we are and who we serve was the first crucial step in crafting a Facebook Ads strategy that not only reached our audience but also resonated with them on a deeper level.
After a lot of research (sending surveys, emailing customers, getting reviews, studying our customers) and a lot of ads testing we had our answers.
Understanding Our Target Audience: Women Who Value Premium, Sustainable Fashion
In our minds, we knew our primary audience consisted of women aged 30-40+, who appreciate the finer things in life.
These women are often professionals or individuals with a keen sense of style, looking for high-quality, sustainable fashion that aligns with their values.
There were also a lot of times that their assistants made the order on behalf of them (wow!)
This understanding shaped everything from our ad copy to the visuals we chose, ensuring that every touchpoint with our audience reinforced LUXMII’s brand promise of luxury and sustainability.
Positioning LUXMII as a Premium Linen Brand
With an AOV of $470 and prices starting at $200, we positioned LUXMII as a premium brand. There was no room for people not willing to spend more than $200.
And to my surprise (and I hope yours) there are quite a lot of people in this segment.
Our ads didn’t just show clothes, they showcased craftsmanship and luxury. People are willing to pay more when something is almost tailor-made and exclusive.
Even with limited studio photos, we highlighted the details that made our products worth the price.
Building Trust with an Unfamiliar Audience
When we launched our Meta Ads, LUXMII had minimal brand awareness, with very little followers on Instagram.
This meant that our ads needed to do more than just sell products – they had to introduce our brand to a completely new audience and build trust from the ground up.
To build trust, we ensured that every ad reflected a consistent brand image.
Whether it was the color scheme, the tone of the copy, or the models we chose, every element was designed to align with the sophisticated, high-end image of LUXMII.
This consistency helped create a sense of reliability and familiarity, even for first-time viewers.
And we haven’t stopped doing that since then.
Copies and Speaking to our Audience
Our ad copy was simple and direct, highlighting the benefits of linen clothing and the exclusivity being a LUXMII customer.
We focused on clean, minimalist copies and visuals that resonated with our audience’s taste, making the product the hero of every ad.
By understanding who we were and who we were speaking to, we laid the groundwork for a successful Facebook Ads strategy. This was the foundation that allowed us to scale and grow.
Stitching the Strategy – From Initial Setup to Success
Here’s how we went from a blank slate to a $2M/year brand using Facebook Ads.
Our focus was clear: we needed sales.
We didn’t waste time on traffic or awareness campaigns. Instead, we went straight for conversion campaigns with the sales objective.
What we had:
- A variety of products: A catalog made of 50-60 different styles (dresses, tops & bottoms)
- An audience: Ladies over 35+ interested in elegant clothing
- A lot of high-quality photos and some backstage videos
- A high-converting website
The metrics:
- AOV in 2022 was at $209
- New customer CPA was at $109
- Healthy ROAS would be anything above 2.5-3
What we wanted:
- Promote our best selling dresses
- Have a ROAS above 3
- Identify winning creatives and targeting interests
- Optimize along the way
What we did:
We kept things straightforward.
Until we found our first winner videos we used to advertise a lot with images and carousels.
One campaign with multiple ad sets to test different creatives. Each ad set had 2-4 creatives, and as soon as we found a winner, we scaled it. The goal was to find what worked quickly and double down.
Targeting
As an Australian born brand up until mid 2022 we targeted only Australia.
As mentioned above, seasonality hit and we thought “Ok let’s move to another country” thus forcing us to target the big guy, USA.
Shifting our budget to focus on the U.S. became a game-changer.
Not only because people were spending more but we kept the same price amount but in USD. Which meant more profit.
If you’re not familiar with currencies, a dress that was sold for $150AUD in Australia, brought us $220AUD by having it priced at $150USD in the USA!
Brilliant!
As per the technical side we mostly targeted:
- Broad
- 10% Purchase Lookalikes
- 5% Add-to-Cart Lookalikes
- Interests
These were (and still are) the audiences that worked for LUXMII after lots of testing. Each brand has different winning audiences.
Creatives from 2021 until Sept. 2022
We started with simple studio photos and carousel ads.
The above carousel worked really well for several months. And I don’t think it was luck, even though we thought we were lucky.
The photos had 3 unique parts that made them work like a charm.
Key takeaway: Be very strategic and creative during your photoshoots. They play a major role not only for a good-looking website but also for your ads.
Customers really liked what they saw and it all comes down to 3 simple things:
- A very good product
- A stylish model wearing the clothes (she must look like someone your potential customer aspires to look like)
- A creative angle that creates contrast – for us it was the textured gray wall.
Video Creatives from Oct. 2022 and on
These carousels worked well enough to get us off the ground. But the real transformation came when we moved to video content in late 2022.
In October I found some video archives from the first photoshoot.
Let’s note something down here: The TikTokification hadn’t completely started and lots of brands (including us) didn’t leverage too many videos in their strategy.
So having found these videos – which were blurry and shot on an old iPhone probably – I decided to give them a go.
I created a short video showcasing the outfits at a fast pace and voilá!
IT WORKED MIRACULOUSLY WELL 🎉
Here’s the video that carried us on for at least a year:
https://www.facebook.com/luxmii.linen/videos/1101874857161530
Then I created a variation which worked equally well:
https://www.facebook.com/luxmii.linen/videos/1827141807619767
And finally I tried to create a second one from another photoshoot and BOOM, it worked again!
https://www.facebook.com/luxmii.linen/videos/681209763683351
How we Structure our Campaigns
From 2024 and onwards our campaign setup is pretty straightforward.
We have 2 types of campaigns for each region:
- A testing campaign (ABO)
- A scaling campaign (CBO)
The test campaign has multiple ad sets, each with 2-4 different creatives.
This setup allows us to test various angles & concepts making it easy to quickly identify the winning ads.
Scaling Methods
Once we find a successful creative, we scale it by both increasing the adset budget and transferring it into the scaling campaign.
For some of our top-performing creatives, we used cost cap bidding campaigns to maintain control over our costs while scaling.
This approach helped us ensure that our customer acquisition costs (CAC) stayed within a profitable range, even as we ramped up spending.
However we have stopped using this (now risky) method since Meta has not been reliable and has removed the cost caps twice this year, leading to a huge loss.
BONUS Method: There’s one guy who I’m lucky to have met, Konstantinos Doulgeridis, who explains a lot about scaling campaigns. I have tested his Crazy Method and it has worked for LUXMII.
What Doesn’t Work for us
Unfortunately, the A+ campaigns haven’t worked well for us but we’ll continue testing them until they do.
Any type of dynamic campaign is not working for LUXMII but I have seen clothing brands doing really well with Dynamic Catalogue ads and some Dynamic Creative adsets.
My opinion is that in order to test a Dynamic Catalogue campaign you need to have at least 500 SKUs – which we don’t.
Post 2024: The Shift from Interest Targeting to Creative Targeting
Finding the right audience and creatives was key to our success.
But when the landscape changed, so did our approach. Here’s how we adapted:.
Interest Targeting: The Early Days
As seen above, initially we relied heavily on interest targeting on top of broad and some lookalikes.
We targeted women interested in linen clothing, sustainable fashion, and similar niches.
This worked well—until Apple’s privacy update shook things up.
The Impact of iOS Privacy Update when Apple rolled out the update, made us rethink our whole Facebook ads strategy.
Our ability to target specific interests took a hit, and we realized we needed a new approach. That’s when we shifted our focus from interests to creative targeting.
To be honest I think this needed to happen. Marketing should not be easy and accessible to anyone who doesn’t want to put in the effort to stand out.
With the influx of dropshipping scammers and boring ads, I felt it was time for us to shine and get a bigger market share.
While paid ads helped us achieve rapid growth, diversifying our traffic sources with our ecommerce SEO strategy enabled us to build a sustainable long-term revenue stream and reduce reliance on paid channels.
Creative Targeting: Letting the Content Do the Work
We started using our creatives to define who saw our ads.
For example, by crafting ads like “3 office linen outfits,” we let Facebook’s algorithm do the heavy lifting in finding the right audience.
Check the ad below:
https://www.facebook.com/luxmii.linen/videos/3663060684010098
These types of ads target different needs thus different audiences. And to reach all these audiences we need more videos/concepts.
What We Learned
The move to creative-driven targeting wasn’t just a response to a challenge; it turned into one of our biggest strengths.
By focusing on what our ads said and showed, rather than who they were targeted at, we found new ways to connect with our ideal customers.
Scaling Content Production
Until the end of 2023, we produced 2-3 videos every five months, but as we saw the impact, we ramped up our efforts.
Today, we create and test approximately 30 videos per month. We have a full photoshoot session every quarter to shoot new products and ad videos for each one of them.
Here’s our process:
This volume allows us to continuously test and optimize our content, ensuring that we’re always presenting our products in the most compelling way possible.
What Works
Our most successful videos followed a simple formula:
a stylish woman in our target age range, wearing our best-selling designs, set against a unique background that contrasted beautifully with the clothing.
This combination consistently delivered strong results, proving that the right visuals can make all the difference.
Never Stop Testing: Our A/B tests
No matter how well we’re doing, I’m always hungry for more.
I confess, I’m an optimization maniac.
I never want to stop optimizing shit.
Here’s what and how we A/B things and optimized to keep pushing our Facebook Ads delivering results.
From the beginning, we were committed to testing different elements of our ads. We didn’t just test one or two variables—we tested everything. This included:
- Visuals: Static images vs. videos, different background colors, and filters.
- Ad Copy: Headlines with offers vs. headlines with a simple, elegant message.
- Formats: Carousel ads vs. single-image ads.
- Target Audiences: Different age ranges, geographic locations, and funnel or interest segments.
The Metrics we are (still) watching
Right now, we’re using TripleWhale and custom dashboards to check our daily results.
But even before that what matters the most to us is:
- ROAS: Our primary metric. Anything above a 3x ROAS is considered successful, while anything below 2x needed to be paused or adjusted.
- CAC/CPA: Our secondary metric. Even though sometimes the CPA is higher than normal we still want to have it under $200. With an average AOV of $480 we can still survive a higher CPA if only the ROAS is healthy.
- Cost Per Add to Cart: An early indicator of how well a new creative is performing. If this cost is too high, we know the creative won’t probably do well.
- Scroll-Stop Ratio: A custom metric we developed to monitor how effectively our ads capture attention. This helps us also optimize the initial 1-2 seconds of our videos. See how to set up the Hook & Hold Rate here.
Wrapping Things Up: What Works and Next Steps
Facebook has transformed LUXMII from a side-project to a multi-million dollar business that grows at least 100% YoY.
Even though we hate to say it, it’s still the No1 sales machine for LUXMII and every other ecommerce brand.
And even though it’s becoming more and more difficult to keep up with the changes and difficulties there’s one thing that will save you: adjusting. Daily.
The era of set-and-forget is long gone and in order to keep the business profitable I am monitoring the ads daily. And you should do it if you want to succeed.
Here are the key takeaways and my recommendations for other brands looking to replicate this success:
- Video Content is King: Switching from static images to videos was a game-changer. Videos allowed us to tell our brand’s story more effectively and connect with our audience on a deeper level. If you’re not using video yet, it’s time to start.
- Focused Budgeting: By concentrating our budget on conversion campaigns, we were able to maximize our ROAS and scale efficiently. Don’t spread your budget too thin – focus on what drives sales.
- Creative-Driven Targeting: By shifting to creative-driven targeting, we reached the right audience without relying heavily on data. This approach helped us maintain, and even improve, our campaigns performance.
- Never Stop Testing: Continuously test your creatives. What works today might not work tomorrow, so keep experimenting with new ideas, formats, and messages to stay ahead of the competition.
- Leverage Customer Feedback: Use customer feedback to refine your products and your messaging. Understanding what your customers love about your brand can help you craft more effective ads that resonate with new audiences.
- Keep it Simple: Don’t be overwhelmed by lots of campaigns. Keep 1 for testing new creatives and 1 for scaling the winning ones.
This facebook ads strategy helped us scale our meta ads to >$3 million total revenue (now on-track for $2 million per year)
With this Facebook ads strategy you can build a solid and profitable business in your market (without relying on agencies that take a huge cut of your sales and not delivering)
Grab the Case Study below to see how it works.
For a detailed guide look at how we’ve helped LUXMII grow through multiple channels with a high-converting website, check out our full ecommerce growth strategy.
Your Turn Now
You’ve now seen our Facebook ads strategy to scale your brand to $300k/month.
What you need to keep in mind is:
- Keep the Campaign structure plain simple
- Continuous Testing is Essential – Copies, Offers & Angles
- Always prioritize and focus on your creative strategy and production
- Keep an eye on your core Metrics
I know that this strategy is going to work as well for you as it did for us.
Want us to do it for you?
If you don’t have the time, expertise or team power to do all of the above by yourself, we’ll be very happy to help you.
Using our Facebook ads strategy, we can help you multiply your ecommerce profits, by actually running your ads more efficiently.
Book a call to get started.
