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December 13, 2013

Lovehoney Sees Sales Boost from Holiday TV Ad Campaign

BATH, United Kingdom—Pleasure product distributor/retailer Lovehoney saw a 56 percent surge in sales in the first week following the launch of its Christmas and Valentine’s Day TV advertising campaign. The U.K.-based retailer said that the eight-week TV campaign in the United Kingdom is set to pay for itself by introducing many new customers to the brand. For the first time, regulator Clearcast has allowed Lovehoney to show products in the ads—but only in those shown after 11 p.m. Between 9 and 11 p.m., product offers in the ads have to be illustrated with plain boxes. Lovehoney co-founder Richard Longhurst said the later ads were proving to be more successful in terms of conversions. "We are making progress with Clearcast, and it is great news that we have been able to feature products in TV ads for the first time in the U.K.," Longhurst said. "Consumers are responding well to the ads showing late at night. They go straight to the website and can see the products featured on TV," he said, adding, "We obviously get fewer viewers for the later ads, but they are proving to be much more effective in terms of conversions." Nine different ads have been made, each using real comments from customers explaining why they use Lovehoney. To see the ads, go to the company's YouTube page. Longhurst said he was particularly encouraged by the early leap in sales because last Christmas’s figures were boosted by the "Fifty Shades of Grey effect." He explained, "To be up so much year-on-year is a fantastic result. Christmas has definitely come early at Lovehoney. It shows that the whole market has taken a giant leap forward since Fifty Shades." According to Longhurst, "Average spend per order is also up around 10 percent year-on-year, with luxury toys such as the We Vibe 4 at £125 selling really well. Some amazing new couples toys have been launched this year but consumers are showing they are happy to pay for quality." He added, "Our best selling product remains the Lovehoney Magic Wand which sells at £49. In previous years, our best seller would be a Lovehoney rabbit selling at around £30. That shows how the market is shifting, with customers looking for more sophisticated toys." Though Longhurst said that sex toys are becoming increasingly acceptable as gifts, he noted that sales of pleasure products tend to fall later in the season. "Sex toys aren't most people's main gift," Longhurst said. "They are normally a second or third gift, which is why we tend to be later. We have also found in previous years that we have benefited from a lot of last-minute present buying." Lovehoney expects its Cyber Monday—the peak online selling day of the year—to be as late as Monday, December 16, at least two weeks later than other retailers who expect surges earlier in the month. Cyber Monday is traditionally taken to be the first Monday of the month after payday. Pictured, Neil Slatford and Richard Longhurst of Lovehoney alongside two of the couples in the Lovehoney ads.

 
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