How Catalina Crunch increased new customer growth by 30% with SourceMedium

About

Catalina Crunch is not your average all-natural snack brand. Their products are proudly keto-friendly, vegan, and zero-sugar, the trifecta of healthy goodness.

And they’re a CPG heavyweight, too, having expanded from DTC to being sold in 40,000+ retailers nationwide in a short period.

Behind the company’s rapid expansion is Nick Osborn, its Head of Growth. Nick is a steadfast, no-nonsense builder who has been with Catalina Crunch since day one and has played an instrumental role in the brand’s evolution from “DTC upstart” to “omnichannel powerhouse.”

And for Nick, leveraging data is the secret sauce to success.

In this case study, we’ll unpack how:

1. Nick stumbled upon SourceMedium ‍

2. How SourceMedium uncovered the company’s data blindspots ‍
3. Implementing the platform helped boost sales and new customer growth

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“If we were a startup fundraising, I’d use SourceMedium’s data in pitch decks.”***

## The challenge

Before he used SourceMedium, Nick didn’t realize that Catalina had substantial blind spots regarding data and how that was negatively impacting the company’s revenue.

“We didn’t even know that one of our products accounted for almost half the company’s new customers,” noted Nick.

He was missing a gold mine of metrics because Catalina’s legacy data tools weren’t accurately integrating their data from the swath of sales channels they were selling in.

Nick set out to find the right platform to integrate, organize, and analyze the data coming in from multiple sources and give him the power he needed to make growth decisions.

“If I have a data question, my default response is first to check whether SourceMedium’s platform can answer that question for me.”

The solution

Being the self-starter he is, Nick was simultaneously getting acquainted with SourceMedium’s functionality.

And that’s when the “aha” moment arrived…

While playing around in SourceMedium’s dashboard, Nick uncovered that Catalina’s two limited edition flavor drops accounted for 5.5% of the company’s new customers. In 2023 that number has accounted for 15% of new customers across 5 limited flavor drops.

What’s more impressive is that Nick found out:

1. The LTV of limited-time flavor drops over 12 months is 10% higher than new customers who did not come in from limited offers ‍

2. The repeat purchase rate is a whopping 91% higher for limited offer customers

This wasn’t simply a data gap; it was a business opportunity that changed how Catalina uses data to make business decisions. In 2024, Nick and the Catalina team plan on increasing the limited-time flavor drops to 9.

Nick began using SourceMedium to understand a first-time customer’s follow-up purchase patterns. He used that information to tailor a product and email strategy to increase visibility and revenue.

In addition, Nick has utilized SourceMedium to automate his Customer Acquisition Cost (CAC) analysis for their Amazon business— a tedious task that previously involved maintaining an 800,000-row spreadsheet.

“When I discovered that these many new customers were buying seasonal flavors, I used this insight to push our executive leadership team to launch more seasonal flavors. It was a huge business decision, but it worked out!

The results

Catalina Crunch has been able to make confident, pragmatic decisions with SourceMedium at the data helm. A few areas where the data platform has helped their business:

• GMV growth

** **Catalina Crunch has seen a 48% growth in online GMV since it began working with SourceMedium.

• **New customers **

** **They’ve seen a 30% growth in new customer growth since onboarding with SourceMedium.

• Channels tracked

Nick and his team are using SourceMedium to track 29 sales channels, half of which are core to their business.

Now that Nick has used SourceMedium’s powerful tooling, he won’t consider switching to other tools. Where many players in the eComm data space focus on CAC reporting, SourceMedium is the only holistic solution.

“I don’t need to spend money on anything else. SourceMedium stands on its own. It’s not just a tool; it’s a platform that covers every touchpoint.”