A clothing brand uses Sponsored Products for European expansion
A clothing brand from Guangdong, China, looked to support European sales
Carly Mo, CEO of the brand, recalls their experience on European expansion: “We started running Sponsored Products campaigns in the UK first. As we invested most of our resources in market analysis, design and production, we started with just one marketplace as a first step. However, we felt the need to increase traffic to our products and Store to help boost sales. We were also short of staff and marketing experts.”
Automatic targeting helped drive their initiative in new marketplaces
The brand found that Sponsored Products’ automatic targeting was effortless to use, as it doesn’t require local language experts. So as they expanded their advertising efforts to Germany, Spain, Italy and France, they relied on this targeting tactic to launch campaigns.
“By using auto targeting, it’s really easy to run ad campaigns in multiple marketplaces. This is the most effective tool for new sellers to promote new products in a new marketplace. You don't have to worry about language barriers.”
– Carly Mo, CEO
The result was exciting: Sales in the UK increased by 11%
The brand noticed a halo effect from expanding their ad reach to other European countries. After launching Sponsored Products ads beyond the UK, they observed a lift in product visibility not only in those new countries, but also in the UK. As orders started to come in one marketplace, they felt that it helped with sales growth in the others.
- UK sales increase. Three months after launching Sponsored Products ads in other European marketplaces: +11%
- Germany, France, Italy and Spain. Three months after launching Sponsored Products ads: +210% in impressions; +145% in sales
“The campaigns performed well for us in the European marketplaces we expanded to. Our ACOS (advertising cost of sales) in Germany, France, Italy and Spain were about 12%, and 19% in the UK. We’re confident that with the ongoing improvements we’re making on our ads, we’ll reach even better results.”
– Carly Mo, CEO
The tips: Use automatic targeting and keep your campaigns always on
Finally, Carly shares the key to their success. “We launched automatic targeting campaigns in European marketplaces and keep them always on. We adjust campaign settings by constantly checking reports, following budget suggestions etc. We also keep studying ads strategy through official channel communications and leverage the knowledge to improve our campaigns.”