How Creedon Technologies (CT) drove sales by optimising their Sponsored Products budget
Creedon Technologies (CT) is a manufacturer of high-quality digital photo frame brands NIX and Nixplay. The company launched on Amazon Advertising in the UK in 2014 and in Germany, France, Italy and Spain in 2016, to help drive sales and visibility to its products.
Sponsored Products have been really important in growing our brand. Sponsored Products provided us with great placement opportunities to increase our brand awareness and drive customers to our product pages.– Zayyad Wain, Creedon Technologies, Ecommerce Manager
The challenge CT was running out of budget for some of its campaigns in the early morning (on average around 10 a.m. BST). Since customers shop online in the evening as well as the day, CT’s Sponsored Products ads were not serving to customers and they were potentially missing out on sales opportunities when the ads were not live. This lost opportunity, in turn, was possibly affecting campaign performance and advertising cost of sales (ACOS).
The chart below shows two Creedon Technologies campaigns that were running out of budget on average after 10 a.m., both in the UK and Germany.
What were the main questions CT wanted to answer?
- How can we help customers find our products throughout the day and evening?
- How can we drive visibility and sales over a longer period of time?
- How can we do both of the above, whilst respecting our budget?
What was the approach? CT decided to optimise the way the budget was spent, so that its products could be found for a longer period of time throughout the day. CT wanted to show up against the same set of keywords, but the average cost-per-click was higher than what they were willing to pay to be live all day, so they identified an alternative way to drive visibility and sales for their listings via these steps:
- Create two identical campaign sets and advertise the same products with the same keywords.
- For the first campaign, select manual targeting and keep the keyword bids higher, with the purpose of accessing the first page of search results in order to drive maximum sales and visibility.
- For the second campaign, select manual targeting and keep the keyword bids low, with the purpose of replacing the first campaign’s bids when it runs out of budget.
What were the results? This strategy helped to ensure that when the campaigns with higher bids were running out of budget, the campaign with lower bids continued running. Therefore, customers were still able to discover CT’s products.
This meant that overall the campaign stayed live for longer, driving visibility and sales over an extended period of time.
Below, we can see two graphs which represent CT’s performance pre- and post-optimisation.
CT’s strategy has led them to success: Taking learnings from early campaigns created in the UK, CT launched this strategy in Germany, where they saw a +52% increase in impressions, +84% increase in clicks and +95% increase in sales when comparing the two weeks after they launched this strategy to the previous two weeks. CT’s experience highlights how its willingness to experiment could help in finding new ways to overcome budget constraints.
CT’s tips for success: Know who your customers are and what search terms they use to find your product. Think like Amazon shoppers when choosing your terms. Use words that they might enter into the search bar, including synonyms.
Make use of the various advertising reports to include new keywords to your Sponsored Product campaigns. You can leverage the search term report to get insights on well-performing keywords.
Learn more about consumer electronics marketing.