Objectives:
A home and kitchen brand* turned to us to increase sales and profitability (honestly speaking, this is the most common reason Amazon sellers choose us 😉).
Challenges:
The brand faced the challenge of low advertising campaign performance with 84% of sales coming from sponsored products.
Approach and Strategy:
Our team conducted an in-depth audit of the client's advertising account, product catalog, competitors and market trends to develop a comprehensive strategy to achieve the brand's objectives.
1. Campaign Structure: A new campaign structure was created, and all campaigns were reorganized to special organic ranking campaigns, different match type campaigns, competitor targeting campaigns, and newly launched Sponsored Brands, Sponsored Brands Video and Sponsored Display campaigns.
2. Organic Ranking: We developed KPIs and implemented an action plan to improve organic rankings, including keyword research, setting up a keyword tracker, promotions, discounts, and push campaign structure. This was the key to the client's continued success, as it helped to significantly increase profit margins.
3. External traffic: We enrolled the account in the Brand Referral Bonus program and launched campaigns on Google, Bing, and Facebook to drive additional traffic to Amazon listings. It also helped to improve the organic ranking, while we were able to make sales within the break-even ACOS.
Results:
Our approach led to significant improvements for the client:
- The organic ranking for high-frequency, medium-frequency, and low-frequency keywords improved, leading to a boost in overall sales and profits (the share of organic sales increased from 16% to 54%).
- Advertising campaign traffic increased significantly.
- The advertising cost of sales (ACOS) decreased from 41% to 23%, allowing the brand to make profitable ad sales.
Conclusion:
Our approach resulted in a significant increase in the client's sales and profitability. By restructuring the campaigns and implementing an action plan to improve organic rankings, we were able to achieve better visibility and sales results. Additionally, driving external traffic from Google, Bing, and Facebook to Amazon listings helped improve the organic ranking and boost overall sales. Finally, the lower ACOS allowed the brand to make sales while maintaining profitability, demonstrating the success of our approach.
* in this case study, we don't show the brand name, keywords, etc. because of the NDA we sign with each client.
