Case Study: Pettable cuts wasted ad spend by $2.12M and lowers CAC 14% with BlueAlpha

Pettable cuts CAC by 14% and identifies $2.12M in wasted spend with BlueAlpha

Pettable, a DTC telehealth company, was facing rising blended customer acquisition costs and suspected it was wasting significant spend on paid search, but its platform-reported metrics did not correlate with net income. The challenge was pinpointing exactly which channels and campaigns were non-incremental, a problem compounded by seasonal demand and multiple overlapping Google Ads accounts. Pettable engaged BlueAlpha to gain a clear picture of incremental CAC per channel.

BlueAlpha deployed a Bayesian marketing mix model (MMM) and geo-based incrementality tests to identify wasted spend and validate channel performance. The solution identified $2.12M in annualized wasted spend, primarily from shutting down two non-incremental Google Ads accounts and making precision cuts to a third. This allowed Pettable to reallocate budget to proven channels like Meta, which was validated at a 3.4x ROI, resulting in a 14% reduction in blended CAC with no revenue loss.

Pettable