How Hotel Collection Scaled Revenue by 124% YoY While Maintaining Target MER

How Hotel Collection Scaled Revenue by 124% YoY While Maintaining Target MER

The Situation

Hotel Collection, a luxury home fragrance brand, set ambitious international growth goals—but their incumbent agency pushed back, calling the targets unrealistic.

Worse, the agency frequently reduced spend, unable to scale sustainably or drive incremental revenue at a healthy marketing efficiency ratio.

Seeking a partner aligned with their aggressive vision, Hotel Collection turned to H Street to implement a scaling model focused on consistent new customer acquisition, monthly revenue growth, and increased subscription revenue.

The H Street Approach

Offer Strategy

  1. Identified that the Studio Pro Scent Diffuser had the highest conversion rates, the best margins, and was most likely to generate scent subscriptions.
  2. Coordinated with Hotel Collection to consistently promote seasonal offers that heavily discounted the diffuser, recognizing that those customers' subscription rates and lifetime value far exceeded the initial purchase revenue.

Media Buying

  1. Identified that UGC videos created strong intent and brand awareness, but offer-focused static image ads drove conversions. Therefore, Meta campaigns were structured to allow Meta algorithms to optimize creatives within the same campaign and ad accounts.
  2. Establishing server-to-server tracking improved pixel data quality and velocity, which were vital for Canada campaigns, where higher data loss occurs due to privacy restrictions.
  3. Optimized product feeds and descriptions to enhance Google Shopping and PMAX campaigns to establish high-performing evergreen campaigns.

Creative

  1. Build a creative testing system to test 20+ UGC variations and 30+ static image ad variations per month.
  2. We identified that seasonal promotions drove the highest performance, so we created a testing system to consistently iterate on top-performing creative concepts while aggressively testing seasonal creative concepts.
  3. Focused on high-end luxury aesthetics, leveraging UGC content creators who emulated high-end luxury in minimalist, elevated environments aligned with the brand's visual identity.

Conclusion

H Street's performance-driven approach unlocked scalable international growth for Hotel Collection, driving consistent new customer acquisition and subscription revenue while maintaining marketing efficiency. The brand is now positioned to meet its ambitious global targets with a repeatable, data-backed growth model.