How Hanalei Optimized Conversions With Apteo

Apteo helped Hanalei optimize the top and bottom of their funnels by using data to identify new marketing and sales opportunities. See how they improved CPMs by 50% and grew AOVs using our insights.

Hanalei creates gentle, restorative skincare products inspired by Hawaii’s lush, tropical landscape and native botanicals. As an up-and-coming brand, they are constantly focused on improving all stages of their funnel, from acquisition to purchase to retention and beyond. Facing challenges with optimizing acquisition and retention, they used Apteo’s automatic segmentation and marketing features to improve key metrics and boost sales.

“Apteo helped us find so many holes and opportunities in our marketing efforts, specifically for email, SMS and our website. Since using their powerful AI analytics, we've been able to hyper-target our customer base and have seen great results. The team is very responsive and supportive.”

Pam Lee
Hanalei E-Commerce + Digital Marketing Manager


Hanalei brings innovative, cruelty-free skincare products to customers around the world. Their founders work hard to bring the love that they feel for Hawaii to all the products they create. With a compelling story, engaging visual assets, and diverse product line, they are well-poised to grow a world-class skin and beauty brand.

But being in a competitive and crowded industry poses several challenges to a growing brand. In order to stand out, the company knew they needed a comprehensive marketing strategy that could optimize all stages of the funnel, from acquisition, to retention, to advocacy. Facing increased costs of acquisition, a desire to increase engagement with their customers, and challenges with automating cross-sells and upsells, the company turned to Apteo to implement a data-driven approach to their marketing.

Optimizing The Funnel With Data

Hanalei worked with Apteo to use their zero and first party data to understand their customers and create a series of optimizations that boosted their marketing efforts. After installing Apteo from the Shopify app store, they received a series of insights and recommendations that helped them create new marketing campaigns and changes to their Shopify store that helped them grow sales.

Top of the funnel

Hanalei, like most ecommerce stores, was struggling to optimize top of the funnel acquisition after the iOS privacy updates of 2021. They faced challenges with serving ads to new audiences that had a high likelihood of engagement within a limited budget. The ads that they were running had high CPMs and subpar CTRs.

To improve their key metrics, they used their Big Spenders segment from Apteo, created for them automatically as part of their account, as the basis for a lookalike audience on Facebook. By targeting acquisition ads to this lookalike audience, they were able to reduce CPMs by 50% and improve CTRs by 38%, which resulted in more effective ad spend, taking them from a ROAS below 1 to greater than 1. By using Apteo’s built in Facebook connection, Hanalei’s team can rely on their audiences being updated automatically, letting them focus on optimizing creatives and messaging.

Repeat purchases with cross-sells

As a small team that manages emails in-house, Hanalei needed a way to automatically engage customers with new offers and products. To maximize their engagement metrics and optimize the probability of driving new sales, they knew they would need to create hyper-personalized messaging by segmenting their customers and providing relevant offers.

By using Apteo’s automatic segment of At-Risk and Dormant customers, they created a new email discount ladder to winback customers that weren’t likely to return. In order to further personalize emails to these customers, they used Apteo’s integration with Klaviyo to dynamically insert the highest recommended products for each individual customer. In addition, they created a weekly email to all customers that automatically showed each customer the most recommended products for them.

These targeted, personalized messages resulted in an additional $1,150 in a single month, equal to 5% of revenue attributed to email. With Apteo’s integration with Klaviyo, Hanalei can keep these flows active and Apteo will continue to update their segments automatically, helping Hanalei reduce lost customers.

Increased average order value from new bundles

With a limited, but growing, product catalog, Hanalei needed to find ways to increase upsells and cross-sells. They used Apteo’s product analytics to identify products that were frequently purchased together on their site, even when they weren’t bundled together.

Using the insights they gained from their product analytics, they created 24 new SKUs based on bundled products. Since implementation, these bundles have accounted for 7.4% of net revenue with a significant increase in average order values.

Growing The Brand

With changes to the broader advertising landscape, including navigating a post-IOS privacy world and with the loss of third party cookies on Chrome, all marketers will have to find new and diverse ways to reach their customers. But with these challenges comes new opportunities. The best brands will leverage their data to create new experiences, personalized messaging, and targeted content unique to each one of their customers.

Customer-centric data can go a long way towards overcoming reduced ROAS and higher CACs from social media, and by leveraging your own data, you can start to diversify away from third party services and improve your entire marketing strategy.

If you’re interested in trying Apteo for free, just reach out to or learn more on our website.


Reduced CPM from $27 to $12 on paid social


Incremental sales attributed to email from Apteo's Klaviyo recommendations


Increased revenue from Apteo's bundling recommendations


On new customer acquisition campaigns using Apteo segments


Improvement in CTRs on paid social ads

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Apteo helped us find so many holes and opportunities in our marketing efforts, specifically for email, SMS and our website. Since using their powerful AI analytics, we've been able to hyper-target our customer base and have seen great results. The team is very responsive and supportive.

Pam Lee

"Apteo's platform easily revealed data insights we used to drive business and sales."

Arash Asady
CEO @ Bits of Stock

"Apteo helped us find cross-sale opportunities that increased our incremental revenue and grew our reconversion rate by an additional 20%."

Aly Shakoor
Owner/Operator At Hydronize

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