Case Study
3 reasons why Philip Mead, a Brazilian small business, continues using Sponsored Products
Goals
- Reach a wider audience in Brazil
- Encourage local shoppers to buy from a small and local brand
- Help drive incremental sales from advertising
Approach
- Uses Sponsored Products automatic keyword targeting and manual targeting tactics for high-performing keywords
- Adjusts keywords and bids manually every 4-6 months
- Checks conversion rate, click-through-rate (CTR), and sales in the dashboard monthly, and aims for return on ad spend (ROAS) of 10-15
Results
- 3X total sales during Prime Day and the year-end period in 2023 vs 20221
- 9.6 ROAS throughout 20231
Philipe Mandaji Piaia made his dream—to introduce something truly special to Brazil's beverage scene—come true with his wife in 2016. Brazilian honey-liqueur brand Philip Mead was created as a digital-first brand, and started using Sponsored Products in 2021. Piaia talks about the 3 reasons why the brand never stopped using the ad solution.
Philip Mead founder Philipe Mandaji Piaia reveals the 3 reasons why the Brazilian honey-liqueur brand continues using Sponsored Products.
As a small business in Brazil's beverage market, we faced the challenge of encouraging shoppers to choose high-quality domestic products over big international brands.
- Philipe Mandaji Piaia, founder of Philip Mead
The brand had so much to offer: good customer reviews, one-day delivery capability via Fulfillment by Amazon (FBA), and the small business badge on their listings that resonates with shoppers looking to buy from small local brands.
The brand has since been running evergreen Sponsored Products campaigns with automatic keyword targeting, which entrusts Amazon to choose keywords to run ads against. Advertising is a significant investment especially for a small company like Philip Mead. So, what makes them keep on going with Sponsored Products? “I can think of 3 reasons,” said Piaia.
- The incremental sales ads help drive: The brand had seen their ads helping to grow sales especially during Prime Day and the end of year season. In 2023 the brand saw x3 sales during these events compared to 2022.1
- The ability to maintain and improve ROAS: To optimize campaign effectiveness, they check performance monthly and adjust keywords and bids every 4-6 months. The brand maintained an average ROAS of 9.6 throughout 2023. 1
- Making a meaningful connection with customers: “This is important,” emphasizes Piaia. The brand actively uses the A+ Content tool to invite more customers to go through a “journey of knowledge” about their products and story.
There’s room to grow. In 2024 Philipe plans to expand product offerings with more SKUs and branded merchandising. And Amazon Ads will remain a cornerstone of Philip Mead’s growth strategy.
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1Advertiser-provided data, Brazil, 2022–2023