How Zanca & Sonne increased Paid Media Revenue by 45% While Strengthening Margins

 

🛟The Challenge

Zanca & Sonne, a Danish fashion brand operating in both Denmark and Sweden, aimed to scale growth through digital advertising. While strong top-line growth was possible, the key challenge lay in maintaining profitability. Without a clear view of how ad spend and fixed costs translated to bottom-line results, scaling budgets across two markets risked reducing margins instead of strengthening them.

✅The Solution

PL & Partners introduced a profit-first reporting framework. By utilizing variable costs from Shopify and continuously entering all of Zanca & Sonne’s fixed costs into Reaktion, we were able to track performance not only on revenue but also on gross margin after advertising spend. This created complete visibility into how campaigns affected the bottom line. With transparency in place, both our team and the client could scale confidently, knowing that increased budgets were directly contributing to profitable growth.

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The results?

The results compare the first three months after Reaktion’s implementation with the same period one year later (YoY).

+45% increase in revenue attributed to Paid Media
+24% new customers
+22% improvement in gross margin after advertising costs

Key Learning

Growth becomes more sustainable when decisions are guided by profit, not just revenue. By integrating fixed costs into reporting, PL & Partners enabled Zanca & Sonne to scale with clarity and security, demonstrating that bottom-line transparency is the foundation for long-term expansion.

From the Agency’s Side:

 

“Reaktion transformed how we collaborated with Zanca & Sonne by bringing full transparency of the bottom line. With clear data, budget decisions became easier and safer, giving the client confidence to scale at the right time rather than working with fixed monthly budgets. Now, Reaktion is a key tool for us to ensure that we pace always break-even revenue, are on the right blended ROAS target, and enabling us to work on profitable growth. That simply wouldn’t have been possible without a tool like Reaktion.”

From the Client’s Side:

 

“Before Reaktion, increasing budgets always felt risky because we lacked a clear link between spend, revenue, and profit. We knew growth was possible, but we couldn’t always tell if it was sustainable. When PL & Partners suggested Reaktion, we questioned whether it was worth the investment. That changed quickly once we saw the results. With Reaktion, we now know precisely when growth is profitable and when it isn’t. Having data behind every budget discussion has transformed our confidence in scaling and made decision-making much easier. “

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Tracking uplift +34%
New customer revenue ✓
Refunds ✓
POAS score ↑ 17%

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