Case Study:Ideoclick Triples Amazon ROAS for Beauty Brand Entering Highly Competitive U.S. Cosmetic Market
Challenge
As a relatively unknown beauty entity in the U.S. ecommerce marketplace, vying for consumer attention among a deep assortment of preferred and proven brands meant facing headwinds. The approach to driving sales on Amazon’s marketplace needed to build on a strong, well-established reputation in Canada while uniquely capturing the attention of U.S. buyers.
Strategies
- Accelerated Amazon PPC optimization
- Targeted Amazon DSP advertising
- Deep Amazon search analytics
- Amazon enhanced brand content
Results
- 3X ROAS compared to client’s previous campaigns
- Top 10% page one placement for client’s product categories
- Sustained organic sales within 4 months
- 65% increase in COGS in U.S. and Canadian markets combined
Solution
The cosmetic manufacturer partnered with Ideoclick to amplify brand recognition and drive sales on Amazon. Ideoclick developed a comprehensive Amazon marketing plan, including Amazon Marketing Services (AMS) and Demand-side Platform (DSP), that generated revenue-increasing traffic with paid search and better shopper targeting data. Simultaneously, the plan set the stage for organically sustained sales through Ideoclick Share of Search® so that money didn’t need to be continuously spent solely on advertising.
Accelerate Ad Spend
Ideoclick recommended a three-month accelerated ad spend strategy to boost brand visibility, specifically using promotions to drive conversion. The strategy started with an aggressive AMS push of high bids and a monthly budget of $20-60k per month—which was 3X higher than the client’s average advertising budget.
Although the aggressive ad spend meant temporarily sacrificing efficiency by accepting a 1X return on advertising spend (ROAS), the goal was to gain a 3X ROAS within the next three to four months. Putting in high bids for pop-up placements would also help land top organic placements quickly. That way, more reliance could ultimately be placed on sales from organic search results instead of high advertising spend.
Capture Share of Search
To augment the initial increase in advertising spend, Ideoclick strengthened the cosmetic manufacturer’s share of search across Amazon’s infinite digital shelves. With no defined aisles or physical sections on the platform, a search-based customer journey driven by high-traffic keywords was a critical part of the brand awareness strategy.
The Ideoclick Share of Search solution leveraged search share analytics and competitive benchmarking to target the manufacturer’s winnable search terms, develop relevance, and measure progress. As organic search rankings rose with strategic share of search, so did sustained, cost-saving organic sales.
Optimize Details Page
Ideoclick optimized the Amazon details page to help boost differentiation and drive conversion. Recommendations included elevating the page content with beauty imagery that shows product application and texture, as well as showcasing product details to enhance the customer experience.
