Optimizing digital ad spend with virtual cards.
With Clark Bigler,
CFO at Pillow Cube
Pillow Cube is the first pillow designed specifically for side sleepers.
E-commerce and Retail
STARTED USING DIVVY
“[Divvy] makes it really easy to manage spending and you don’t have to be a watchdog trying to manage all of your accounts at once.”
Pillow Cube made their debut in 2019 as the best pillow to help alleviate neck and back pain while aiming to align your spine as you sleep. And as a new startup, Pillow Cube’s main objective is to spread the word on their awesome new product, so most of their spending goes towards marketing efforts and their digital ads. However, they were using the owner’s personal American Express card to cover the cost of running these ads 24/7.
When Clark Bigler, Chief Financial Officer at Pillow Cube, joined the organization, he knew that this process wasn’t sustainable for Pillow Cube’s financial future. “When I came to Pillow Cube in February 2021, I immediately switched us over to Divvy because I knew it was a no-brainer. I used Divvy at my previous employer and everyone, including myself, loved it.”
According to Clark, 95% of Pillow Cube’s spending is controlled by marketing. Not only that, but Pillow Cube relies on multiple ad platforms and vendors like Google and Facebook to run their advertisements. Before, even using just one American Express card for multiple vendors caused the marketing teams to lose sleep at night, because they never knew when payments would go through or if it was going to max out. “If you’re doing $30k a day on ad spend, you would max out an American Express pretty fast.” Clark says they would have to monitor the card and make quick payments before it would reach the max limit, turning off all their ads.
“95% of Pillow Cube’s spending is controlled by marketing for their digital ads..”
Now, with Divvy budgets and virtual cards, Pillow Cube’s marketing team can control their spending over multiple digital ad platforms from one solution. “Our CMO has one overarching budget that he can divide into as many virtual cards as he wants.” Members of the team are then added to the budget based on which advertising campaigns they’re working on.
Not only that, but the team can now manage multiple platforms and vendors on one, digital solution. They now create a different virtual card for each digital ad platform with an additional backup in case there is a hiccup or the ad isn’t performing well. “With a virtual card, only one stream of income gets shut off so it’s very advantageous to us to have [Divvy’s] system for our digital ad spend because we can manage all these different channels easier.”
“…It’s very advantageous to us to have [Divvy’s] system for our digital ad spend because we can manage all these different channels easier.”
Best of all, Pillow Cube now has a system to catch problems that happen before a card can be maxed out. Even while everyone is sleeping. “Believe it or not, people buy a lot of pillows at night! Now, if a [virtual] card ever gets shut off, we’re not burning cash while we are all sleeping.” With Divvy, the team can create as many of those virtual cards as they need to manage multiple digital agencies charging their accounts, making sure none of their current ads stop working.
By utilizing Divvy’s more streamlined approach, Pillow Cube and their employees no longer lose sleep over where their spending is going.