Branding

Aug 13, 2025

Scaling Past $400K/Month — How We Rebuilt Paid Media for a D2C Activewear Brand

Scaling Past $400K/Month — How We Rebuilt Paid Media for a D2C Activewear Brand

For over two decades, Larko has successfully helped more than 450 brands worldwide achieve growth through innovative consulting.

For over two decades, Larko has successfully helped more than 450 brands worldwide achieve growth through innovative consulting.

Team


The Situation

A DTC activewear brand selling leggings, sports bras, and workout sets at $68 AOV had been scaling Google Ads aggressively. At $80K/month, performance was stable at 1.9x ROAS. But every attempt to push past $100K caused CPAs to spike 40–60% within days. The account had 18 campaigns with overlapping audiences. PMax was set to maximize conversions with no ROAS targets, capturing branded traffic at inflated efficiency. Meta had a single CBO at $2,500/day with 15 ad sets — the algorithm couldn't optimize across that many variables. Monthly Google Paid revenue in Shopify sat at $152K.

What We Did

We restructured for scalability. On Google, 18 campaigns became 7: Brand Search (exact match, tROAS 300%), Brand Shopping (medium priority, converters only), Non-Brand Search (tCPA with portfolio bid strategy), Non-Brand Shopping (high priority for prospecting), a PMax with new customer acquisition mode and +50% bid adjustment for new customers, and two international Search campaigns on 30-day probation. We paused the UK campaign after 3 weeks — search volume was too low to justify the spend. The Australian campaign survived and now runs at $800/month profitably. Portfolio bid strategies with max CPC caps prevented the runaway CPCs that triggered CPA spikes during scaling. Standard Shopping was introduced for the first time — the previous setup relied entirely on PMax for shopping traffic, giving up all control over product prioritization. On Meta, we collapsed 15 ad sets into 4 campaigns: a Scale CBO with proven winners at $1,500/day, an ASC at $500/day for algorithmic optimization, a Testing CBO at $150/day for new concepts, and a DPA Retargeting campaign at $200/day. Budget increases followed a 20% every 5 days rule.

Everyone told them to 'just increase budget.' But throwing more money at a broken structure just amplifies the waste. The real unlock was portfolio bid strategies with max CPC caps — that prevented the runaway CPCs that caused every previous scale attempt to fail. Structure first, budget second.

— Madhukar S.V., ScaleMarketer


We tried scaling three times before and performance collapsed every time. ScaleMarketer restructured everything in weeks — now we're spending 60% more and actually making more profit per order.

— Head of Growth, D2C Activewear Brand (name withheld)


Google Ads — Before & After


Before

After

$36

$25

blended CPA

blended CPA



18

7

campaigns (Search, Shopping, PMax)

campaigns (Search, Shopping, PMax)



1.9x

3.1x

Shopify-attributed ROAS

Shopify-attributed ROAS



$80K

$130K

monthly spend (profitable)

monthly spend (profitable)

Seeing similar issues in your account? Book a free profit audit →

The Revenue Proof — Straight From Shopify

Before

After

$152K

$402K

monthly Shopify revenue (Google Paid)

monthly Shopify revenue (Google Paid)



$1.93

$3.10

revenue per session

revenue per session



$68

$79

average order value

average order value



2.8%

3.9%

conversion rate

conversion rate

Meta Ads — The Real Growth Engine

Meta was the primary growth channel but structurally broken. One CBO with 15 ad sets meant the algorithm was spreading budget too thin — most ad sets got under $50/day, not enough for Meta's learning phase. We consolidated into 4 campaigns: a Scale CBO ($1,500/day) with 5 proven winner ad sets, an ASC ($500/day) for broad algorithmic prospecting, a Testing CBO ($150/day) where new concepts run for 5 days before graduating to Scale, and DPA Retargeting ($200/day) for site visitors and cart abandoners only. Creative testing shifted from random launches to a structured pipeline with clear graduation criteria. For this brand, polished lifestyle shots of models in workout settings outperformed UGC by 2:1 on CPA — a reminder that UGC isn't always the answer for every category. We also found that Instagram Reels delivered 40% lower CPMs than feed placements, so we shifted 60% of creative to vertical video formats.

Meta Ads — Before & After

Before

After

$42.80

$30.60

blended CPA

blended CPA (↓28.5%)



$46.20

$32.40

prospecting CPA

prospecting CPA (↓29.9%)



$55.70

$34.80

retargeting CPA

retargeting CPA (↓37.5%)



15 ad sets

4 campaigns

in 1 CBO, no structure

structured funnel



$14.20

$10.80

CPM

CPM (↓23.9%)

Seeing similar issues in your account? Book a free profit audit →


The Situation

A DTC activewear brand selling leggings, sports bras, and workout sets at $68 AOV had been scaling Google Ads aggressively. At $80K/month, performance was stable at 1.9x ROAS. But every attempt to push past $100K caused CPAs to spike 40–60% within days. The account had 18 campaigns with overlapping audiences. PMax was set to maximize conversions with no ROAS targets, capturing branded traffic at inflated efficiency. Meta had a single CBO at $2,500/day with 15 ad sets — the algorithm couldn't optimize across that many variables. Monthly Google Paid revenue in Shopify sat at $152K.

What We Did

We restructured for scalability. On Google, 18 campaigns became 7: Brand Search (exact match, tROAS 300%), Brand Shopping (medium priority, converters only), Non-Brand Search (tCPA with portfolio bid strategy), Non-Brand Shopping (high priority for prospecting), a PMax with new customer acquisition mode and +50% bid adjustment for new customers, and two international Search campaigns on 30-day probation. We paused the UK campaign after 3 weeks — search volume was too low to justify the spend. The Australian campaign survived and now runs at $800/month profitably. Portfolio bid strategies with max CPC caps prevented the runaway CPCs that triggered CPA spikes during scaling. Standard Shopping was introduced for the first time — the previous setup relied entirely on PMax for shopping traffic, giving up all control over product prioritization. On Meta, we collapsed 15 ad sets into 4 campaigns: a Scale CBO with proven winners at $1,500/day, an ASC at $500/day for algorithmic optimization, a Testing CBO at $150/day for new concepts, and a DPA Retargeting campaign at $200/day. Budget increases followed a 20% every 5 days rule.

Everyone told them to 'just increase budget.' But throwing more money at a broken structure just amplifies the waste. The real unlock was portfolio bid strategies with max CPC caps — that prevented the runaway CPCs that caused every previous scale attempt to fail. Structure first, budget second.

— Madhukar S.V., ScaleMarketer


We tried scaling three times before and performance collapsed every time. ScaleMarketer restructured everything in weeks — now we're spending 60% more and actually making more profit per order.

— Head of Growth, D2C Activewear Brand (name withheld)


Google Ads — Before & After


Before

After

$36

$25

blended CPA

blended CPA



18

7

campaigns (Search, Shopping, PMax)

campaigns (Search, Shopping, PMax)



1.9x

3.1x

Shopify-attributed ROAS

Shopify-attributed ROAS



$80K

$130K

monthly spend (profitable)

monthly spend (profitable)

Seeing similar issues in your account? Book a free profit audit →

The Revenue Proof — Straight From Shopify

Before

After

$152K

$402K

monthly Shopify revenue (Google Paid)

monthly Shopify revenue (Google Paid)



$1.93

$3.10

revenue per session

revenue per session



$68

$79

average order value

average order value



2.8%

3.9%

conversion rate

conversion rate

Meta Ads — The Real Growth Engine

Meta was the primary growth channel but structurally broken. One CBO with 15 ad sets meant the algorithm was spreading budget too thin — most ad sets got under $50/day, not enough for Meta's learning phase. We consolidated into 4 campaigns: a Scale CBO ($1,500/day) with 5 proven winner ad sets, an ASC ($500/day) for broad algorithmic prospecting, a Testing CBO ($150/day) where new concepts run for 5 days before graduating to Scale, and DPA Retargeting ($200/day) for site visitors and cart abandoners only. Creative testing shifted from random launches to a structured pipeline with clear graduation criteria. For this brand, polished lifestyle shots of models in workout settings outperformed UGC by 2:1 on CPA — a reminder that UGC isn't always the answer for every category. We also found that Instagram Reels delivered 40% lower CPMs than feed placements, so we shifted 60% of creative to vertical video formats.

Meta Ads — Before & After

Before

After

$42.80

$30.60

blended CPA

blended CPA (↓28.5%)



$46.20

$32.40

prospecting CPA

prospecting CPA (↓29.9%)



$55.70

$34.80

retargeting CPA

retargeting CPA (↓37.5%)



15 ad sets

4 campaigns

in 1 CBO, no structure

structured funnel



$14.20

$10.80

CPM

CPM (↓23.9%)

Seeing similar issues in your account? Book a free profit audit →

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Your Vision, Our Expertise,
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Unstoppable Growth