Case study
Bagail uses Sponsored Display to help customers discover their brand and products in the Amazon store
Founded in 2015, Bagail is a travel and home accessories company. The brand prides themselves on delivering what they call “a one-stop shopping solution for all travel products.” Their offerings include travel accessories, umbrellas, laundry bags, and their innovative packing cubes, which are high-quality and lightweight storage solutions to help save space in luggage.
The challenge: Increase the discoverability of new products
In 2015, Bagail started selling in the Amazon store to leverage Amazon’s fulfillment capabilities and tap into an engaged, global customer base. After selling on Amazon for several years, they decided to start using Amazon Ads in the US in 2019 to help improve the visibility of their current best-selling products and increase the discoverability of newly released items.
When setting out their advertising objectives, Bagail had two core goals:
- Use deals to help move their inventory faster
- Drive more brand and product awareness
Understanding that Amazon Ads regularly releases new tools and features, the brand investigated which ad products could help them achieve their goals and grow their business.
The solution: Use a mix of ad solutions to help reach a broad range of audiences
Bagail realized that a blend of ad solutions would help them obtain the results they wanted and keep the brand top of mind for shoppers. After careful consideration, Bagail chose to use the following ad solutions: Sponsored Products, Sponsored Brands, and Sponsored Display, alongside Amazon Ads brand shopping experiences such as Stores and Posts.
Sponsored Display, a self-service display ad solution, allows advertisers to engage and remarket to audiences wherever they spend time, with a wide range of ad placements.1 Bagail thought that Sponsored Display would be a great choice to help reach the goals they had set.
Bagail CEO Taicheng Tian noticed the numerous advantages of using the ad solution. “Sponsored Display has loads of placements across Amazon such as the product detail pages of related products,” Tian said. “Not only does this give you the opportunity to increase your visibility to shoppers, but the variety of bidding options also allows you to potentially gain a lot of clicks and impressions.”
The benefits of using Sponsored Display included the easy control of their budget and bids, helping ensure they remained on track with their goals. Bagail’s strategy was simply to make sure their ad placements and creatives were compelling enough to help drive shopper engagement.
To give the company the best chance drive awareness of their brand and products, they explored using both a cost-per-click (CPC) model in combination with viewable impressions (vCPM). With a CPC campaign, advertisers are charged each time a shopper clicks an ad, whereas with a vCPM campaign, advertisers are charged for every 1,000 viewable impressions. For Bagail, the combination of these options would ideally result in a win-win situation. The brand would gain wide reach for product and brand awareness and visibility, while also engaging audiences who they hoped would be likely to convert to help drive sales.
During promotional periods, Bagail focused their efforts on Sponsored Display campaigns that were optimized for reach using a vCPM model. This bid optimization strategy, combined with Sponsored Display’s unique coupon feature, could help a wide range of shoppers see their ads and offerings, potentially leading to more clicks and conversions.
Bagail adopts a similar strategy to other ad products when looking at the effectiveness of their vCPM campaigns. Initially, the brand always looks at their advertising cost of sales to help ensure that they’re meeting their expected profit margins. Secondly, Bagail assesses and optimizes their campaigns based on impressions, a core metric that indicates reach and brand awareness, one of the brand’s primary advertising goals.
Using the “optimize for reach” bidding option for Sponsored Display can have several benefits for brands looking to reach and engage a broad audience. “We defined various audiences that we wanted to reach for different product ranges using [this] bidding option for Sponsored Display,” said Tian. “This was a much more efficient and precise way to set up our campaigns.”
The results: Bagail observed increased brand visibility and an uplift in sales
With some help from Sponsored Display and other Amazon Ads solutions, Bagail was able to achieve the marketing goals they had initially set. New features such as the “optimize for reach” bid option have given the brand greater flexibility and control over their bids, budget, and targeting strategies, which are evident in the company’s performance.
While using Sponsored Display, Bagail has observed that discoverability for their brand name and products have doubled from 2021 to 2022.2 The company has also noticed during the same period that ad-attributed sales for Sponsored Display campaigns have grown by 100%.3
Bagail’s future looks promising, with a range of new products expected to be released that they say “will definitely be selling on Amazon.” The brand plans to continuing investing in Amazon Ads solutions to help them grow their business.
1 Products and features may not be available in all countries.
2-3 Advertiser-provided data, US, 2022. Results are reflective of campaigns for one advertiser, Bagail, and are not indicative of future outcomes.