A Consumer Brand Manufacturer Shares Its Secret to Increasing Amazon Advertising Revenue by 67%

October 7, 2020

Brands Amelia Erskine By Tamara Gibbs

The following case study features an established global brand that turned to ChannelAdvisor to help boost revenue through its Amazon Advertising strategy.

COMPANY OVERVIEW

From denim to face masks, these and other popular products are at the helm of this consumer brand manufacturer’s success. One of the reasons for this success? Amazon Advertising. When the time came to sell on the marketplace giant, this merchant said its efforts to promote two of the company’s many brands became especially essential. Thanks to many innovations and initiatives on Amazon, the company reports at least two of its brands have experienced tremendous success. If you’re looking for a strong success story to inspire your Amazon Advertising strategies, this is the case study for you.

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THE SITUATION

The company says understanding the unique needs and expectations of its target consumers is a top priority. Across brands, the company says it is continually seeking new ways to get the right products in front of the right shoppers — at just the right times, and on all the appropriate channels. For some of its iconic brands, that’s meant coming up with new strategies for remaining relevant to millennials — a segment that’s become central to the company’s e-commerce strategies.

With so many of those shoppers turning to Amazon, the manufacturer needed a way to strengthen its presence on the marketplace giant. Although the company had been selling on Amazon for a while, its process for listing and promoting products was far from streamlined. 

At first, the team turned to an advertising agency for assistance. It soon became clear, however, that this move wasn’t a good fit. As one e-commerce representative at the company put it, “We needed someone with a deeper data-driven learning approach to partner up with.” 

That’s when the apparel company turned to ChannelAdvisor.

THE SOLUTION

With ChannelAdvisor Managed Services for Amazon Advertising, the consumer brand manufacturer discovered they could get all the benefits promised by a typical advertising agency — plus many more that it couldn’t find elsewhere. From advanced tools and technology to expert e-commerce insights, the company says ChannelAdvisor had everything it needed to hit the ground running.

“We worked closely with ChannelAdvisor to segment out our world and continue to get a little more granular for each category,” says a company representative. 

When it came to Amazon Advertising, the advantages were especially noticeable. The ChannelAdvisor Managed Services team quickly cleaned up outdated listings, identified keywords, streamlined processes, and worked toward getting products in front of purchase-ready consumers. By using ChannelAdvisor’s platform, the company was able to leverage automated bidding rules and automate the placement of new product launches across existing campaigns. 

“ChannelAdvisor has helped us speed up manual processes, which helps us get products listed faster,” The company’s e-commerce representative says. “Without ChannelAdvisor, it would be really challenging. It would require me going in and doing the bulk of the work on my own.”

With those new processes in place, the team set out to achieve some very ambitious goals. The company aimed to double or triple business for two of its most popular brands — all while leaning on ChannelAdvisor’s e-commerce platform and digital marketing expertise.

THE RESULTS

At the core of the manufacturer’s many objectives was an overarching goal to increase both sales and profitability — and to avoid overspending in advertising. The company reports both were achieved. 

Together with ChannelAdvisor Managed Services, the company says it increased its Amazon return on advertising spend (ROAS) by 30% year over year. While ad spending increased just 28%, the company says ad revenue rose by more than double that number — an impressive 67%. 

“ChannelAdvisor has delivered against our expectation of a data-driven learning experience to help drive fast decision making, which also allows pushing products to top-selling locations.

We still have tons of work to do but ChannelAdvisor’s support to optimize campaigns and streamline everything is really starting to come to fruition.”

When asked if the company would recommend ChannelAdvisor to other brands, the company affirms, “Yes, we are very pleased with this early results and eager to max out the potential that still needs to be captured”.