Headquartered in Berlin, Germany, HelloFresh is a meal kit delivery service which provides pre-portioned ingredients and step-by-step recipes to customers, enabling them to cook fresh and delicious meals at home. Operating worldwide, the service has delivered over 1 billion convenient and healthy meals to the doorsteps of over 81 million customers. Alongside its subsidiaries; EveryPlate, Chefs plate and Green Chef, HelloFresh covers a wide range of vegetarian, family-friendly and low-calorie subscription based meal-options, contributing to a net worth of €2 billion
Founded in 2011, HelloFresh has since established itself as a household name and enjoys globally high levels of brand awareness. However, as a result of the service's rapid expansion, HelloFresh was having trouble finding new ways to connect with consumers as well as also dealing with issues related to high customer acquisition costs. As a result, HelloFresh enlisted the help of AFK to both explore fresh advertising approaches, and grab the attention of potential subscribers that had not yet discovered their wide array of at-home menu options.
With the key goal of addressing a lack of diversification among the service’s existing influencer base, HelloFresh wanted to go beyond traditional advertising and broaden further into the influencer marketing space. HelloFresh relied on AFK’s extensive network and industry knowledge to carefully source a diverse range of creators, allowing them to engage with new audiences.
How AFK Solved It
In order to elevate their influencer marketing strategy, HelloFresh was open to AFK restructuring its compensation method for influencers. This involved the development of a fixed-fee model which benefited both HelloFresh and its influencer partners. By paying their micro-influencers a fixed rate of 80%, with performance bonuses attached, AFK ensured the creators were fairly rewarded, whilst also providing a motivating factor for more influencers to partner with HelloFresh.
AFK’s unique compensation model recognised that each creator had distinctive ways to connect to their following. Whether it be browsing the HelloFresh website for meal inspiration, or engaging in discussion about recipes, each influencer was able to authentically promote HelloFresh and tailor their content to their following without the anxiety of no payment. This is mutually beneficial as it ensures that the influencers were fairly paid for their work, whilst also ensuring that the promotion of HelloFresh was adjusted to suit the creators' specific audiences. Additionally, since micro-influencers often experience engagement rates up to 10 times higher than macro-influencers, this innovative model proves to be a highly cost-effective strategy for HelloFresh.
AFK, being experts in influencer matching, utilised its extensive market knowledge from various countries. This enabled AFK to deploy the most suitable creators in each specific country, leveraging HelloFresh's global scale. The comprehensive influencer marketing strategy deployed by HelloFresh, under the expert direction from AFK, led to increased efficacy of its campaigns, allowing the company to connect with more consumers at lower acquisition costs.
The success of the campaign is evident through the following highlights:
Lower customer acquisition costs: Through the implementation of a new fixed-fee model, HelloFresh successfully achieved significant reductions in customer acquisition costs, particularly within its domestic market. This strategic combination enabled HelloFresh to optimise its marketing efforts and enhance cost-effectiveness, resulting in improved financial outcomes and increased efficiency in acquiring new customers.
Engaged with untapped audiences: As a result of this new approach to influencer marketing, over 1,200 creators partnered with HelloFresh, consequently expanding the reach of promotional content to previously untapped audiences. The collaboration with a large number of creators allowed HelloFresh to extend its brand visibility and engage with fresh segments of potential customers who had yet to be exposed to the brand's offerings leading to over 10,000 conversions and over 2,700 activations.
Positive customer perceptions: Following the collaboration with AFK, HelloFresh has experienced a notable increase in positive consumer feedback, praising not only its meal options but also the influential partnerships established. Comments such as, "The presentation so far has convinced me to try it!" and "Save so much time from thinking what to buy and buying groceries", not only demonstrates the valuable role played by the creators in customer acquisition but also offers insights from highly satisfied customers. These comments showcase the impact of the influencer partnerships on HelloFresh's reputation and customer satisfaction.
Optimised customer value: Leveraging a plethora of micro-influencers also increased engagement rates and enabled HelloFresh to establish stronger connections with a wider consumer base. As a result, AFK successfully maximised the life-time value of HelloFresh’s customers.
Over 1,200 creators
Over 10,000 conversions
Over 2,700 activations