Zero Sales in 6 weeks of management
I approached Scube to run ads for our ecommerce business after seeing lots of good reviews and recommendations of them. Unfortunately, this turned out to be the biggest mistake we could’ve made, costing us thousands of dollars and they were unable to generate a single sale for us.
Based on their projections we were expecting $46k in sales in month 1 and $50k in month 2. After 6 weeks of working with them we had zero sales, thousands in ad spend and three invoices in agency fees all billed in one go. Our ads manager also quit half way through and we had their Team Manager in Lithuania try to manage our account.
NOTE: Following legal threats of defamation this review has been updated.
Reply from scubemarketing.com
Thank you for your review and for sharing your experience. We appreciate all feedback as it helps us improve our services. We understand that you are frustrated, and we regret that we were unable to meet your expectations.
We would like to address your points:
Context: As a startup with less than $50K in lifetime sales, entering a competitive luxury market with a new website and limited social proof presents significant challenges. Selling high-priced products without payment plans over $5K and operating with low profit margins can impact sales performance, especially during low seasons.
Expectations: Before signing the agreement, we discussed concerns regarding the lack of sales data, low website conversion rates, and the demand for the European brands you aimed to sell in the U.S. market. While we expressed these concerns, you attributed past performance issues to not having a proper merchant account and cited high sales figures from a friend's business. We agreed that you would work on improving your product offerings, website, and unique selling proposition, while we focused on driving traffic to your site. Your stated expectation was to "collect data" during the low season.
Goals: We set targets to reach $40-50K per month as a break-even point based on your profit margins. These goals were mapped to specific KPIs based on Google's estimates, required Average Order Value (AOV), and conversion rates. Unfortunately, the actual conversion rate was below expectations.
Results: We did not achieve sales during the first six weeks. We provided diagnostics indicating a low percentage of users adding products to the cart and none completing the checkout process. Despite multiple adjustments to the advertising campaigns, the desired results were not achieved. It is important to note that the agreed-upon actions to enhance your market competitiveness were not implemented.
Team: When a new team member left due to personal reasons, we promptly assigned a team manager with over 10 years of experience to oversee your account and address your inquiries.
Agreement: We entered into a three-month agreement, but access was terminated after 1.5 months, and invoices for work completed remained unpaid. As per our agreement, we did not engage in a revenue share model but provided services based on deliverables.
Legal Process: We strive to resolve differences through discussion, which we attempted. We accommodated your situation by breaking down payments into smaller installments. After charging your card as per the agreed schedule, you posted a negative review that we believe misrepresented the facts. Additionally, cancellation of your credit card led to unpaid balances. Consequently, we had to involve our legal team to formally address these issues.
In hindsight, we recognize that this collaboration may not have been the right fit. We typically work with established businesses and carefully assess potential clients to ensure we can effectively contribute to their growth.
We wish you the best in your future endeavors.