case strategic ams revamp furthers study success …€¦ · baggallini, a leading handbag...

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Baggallini, a leading handbag manufacturer, had had been successfully selling on Amazon for several years, employing Amazon Marketing Services (AMS) advertising to drive growth. Looking to maintain and increase their brand presence while also expanding non-branded share of search, Baggallini partnered with Marketplace Strategy (MPS). Upon initial analysis of Baggallini AMS campaigns, MPS found that roughly half of the revenue was being driven via branded search, leaving considerable opportunity to acquire new consumers searching non-brand terms. The account also was constructed primarily of campaigns targeting a large number of products and varying search terms, not providing actionable insights at the product and keyword levels. headline search ads based on frequently bought together products and seasonal product lines. The MPS team also instituted a match-type- driven tiered bidding structure, bid monitoring and optimization, and other tactics to drive increased sales while ensuring the Advertising Cost of Sale (ACoS) remained at target profitability. Four months into the program, MPS was able to significantly increase the Baggallini advertising spend while remaining under a 15% ACOS. STRATEGIC AMS REVAMP FURTHERS SUCCESS FOR LEADING HANDBAG BRAND CASE STUDY AN ALREADY THRIVING AMS ACCOUNT SKYROCKETS | MARKETPLACESTRATEGY.COM $- $0 $0 $0 $0 $0 $0 $0 $0 $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 AMS SALES ANALYSIS Shipped COGS Spend/Sales +65% YoY Shipped COGS JULY 2017 Baggallini had a successful track record with AMS, so much so their campaigns were featured as a suc- cess story on the AMS homepage. CAMPAIGN RESTRUCTRE Keyword research conducted, uti- lizing existing data. Individual cam- paigns. a tiered bidding approach, product line campaigns, and strate- gic headline ads are implemented. INCREASED SPEND TO INCREASE SALES ACoS kept below 15% while in- creasing spend and bidding on non-branded keywords MPS began by creating a considerable number of new, strategic campaigns that were targeted towards specific product lines or products, creating far more substantial product and keyword-level data. In addition, existing and past campaigns were analyzed to extract new insights for the purpose of feeding new campaign creation, as well as to create targeted

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Page 1: CASE STRATEGIC AMS REVAMP FURTHERS STUDY SUCCESS …€¦ · Baggallini, a leading handbag manufacturer, had had been successfully selling on Amazon for several years, employing Amazon

Baggallini, a leading handbag manufacturer, had had been successfully selling on Amazon for several years, employing Amazon Marketing Services (AMS) advertising to drive growth. Looking to maintain and increase their brand presence while also expanding non-branded share of search, Baggallini partnered with Marketplace Strategy (MPS).

Upon initial analysis of Baggallini AMS campaigns, MPS found that roughly half of the revenue was being driven via branded search, leaving considerable opportunity to acquire new consumers searching non-brand terms.

The account also was constructed primarily of campaigns targeting a large number of products and varying search terms, not providing actionable insights at the product and keyword levels.

headline search ads based on frequently bought together products and seasonal product lines.

The MPS team also instituted a match-type-driven tiered bidding structure, bid monitoring and optimization, and other tactics to drive increased sales while ensuring the Advertising Cost of Sale (ACoS) remained at target profitability.

Four months into the program, MPS was able to significantly increase the Baggallini advertising spend while remaining under a 15% ACOS.

STRATEGIC AMS REVAMP FURTHERS SUCCESS FOR LEADING HANDBAG BRAND

CASESTUDY

AN ALREADY THRIVING AMS ACCOUNT SKYROCKETS

| MARKETPLACESTRATEGY.COM

$-

$0

$0

$0

$0

$0

$0

$0

$0

$-

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

$400,000

$450,000

Jan-

16

Feb-

16

Mar

-16

Apr-

16

May

-16

Jun-

16

Jul-1

6

Aug-

16

Sep-

16

Oct

-16

Nov

-16

Dec

-16

Jan-

17

Feb-

17

Mar

-17

Apr-

17

May

-17

Jun-

17

Jul-1

7

Aug-

17

Sep-

17

Oct

-17

Nov

-17

Dec

-17

Jan-

18

Feb-

18

Mar

-18

Apr-

18

May

-18

AMS SALES ANALYSIS

Shipped COGS

Spend/Sales

+65%YoY Shipped COGS

JULY 2017Baggallini had a successful track record with AMS, so much so their campaigns were featured as a suc-cess story on the AMS homepage.

CAMPAIGN RESTRUCTREKeyword research conducted, uti-lizing existing data. Individual cam-paigns. a tiered bidding approach, product line campaigns, and strate-gic headline ads are implemented.

INCREASED SPEND TO INCREASE SALESACoS kept below 15% while in-creasing spend and bidding on non-branded keywords

MPS began by creating a considerable number of new, strategic campaigns that were targeted towards specific product lines or products, creating far more substantial product and keyword-level data.

In addition, existing and past campaigns were analyzed to extract new insights for the purpose of feeding new campaign creation, as well as to create targeted