Case Study
Netgear and Flywheel use AMC insights to define the impact of Sponsored TV ads on new-to-brand sales
Goals
- Improve incremental reach
- Optimize campaigns for increased conversions
Approach
- Reached new-to-brand customers through Sponsored TV ads
- Used Amazon Marketing Cloud insights to more effectively allocate budget
Results
- 67% incremental reach with Sponsored TV
- 2x higher purchase rates with Sponsored TV
- 69% of Sponsored TV sales were new to brand
Staying connected to the digital world of information and entertainment is crucial for collaboration, especially with the rise of distance learning, remote work, media streaming, and online gameplay. U.S.-based company Netgear provides advanced networking technologies for homes, businesses, and service providers around the world. They offer a product portfolio of Wi-Fi routers, cable modems, and cloud-based security solutions.
Netgear wanted to launch more efficient marketing campaigns that would improve the brand’s incremental reach—customers outside of their core audience—on Amazon in Europe and North America. To do so, in 2022, Netgear began working with Amazon Ads partner Flywheel, a company that combines tailored expertise with cutting-edge software solutions to help drive growth. After launching successful campaigns using Amazon DSP, Netgear and Flywheel implemented Amazon Marketing Cloud (AMC) in July 2023 so that they could continually optimize campaigns and define which ad types ultimately led to conversions.
Tapping into previously unreached audiences
To improve sales and continue growing, Netgear wanted to focus their advertising efforts on the upper funnel, which had the potential to bring in new customers. Specifically, they saw Sponsored TV ads, which they had never used before, as an opportunity to reach new-to-brand (NTB) customers. Sponsored TV ads are shown to largely separate audiences from Amazon DSP ads, and Netgear wanted to tap into this unaddressed audience.
Netgear and Flywheel unlocked new insights about upper funnel tactics through AMC. They focused their analysis of Sponsored TV ads on three key areas: incremental reach, NTB purchases, and the effect of overlap with Sponsored Products ads. By testing the efficacy of the Sponsored TV ad type in this way, Netgear and Flywheel could find new and efficient ways to strategically move customers through the funnel and facilitate NTB purchases.
Using insights to make marketing decisions
Netgear and Flywheel analyzed their AMC results from November 2023 to February 2024 and discovered that Sponsored TV ads had a 67% incremental reach when compared to audiences who viewed Amazon DSP ads.1 To further highlight the incremental reach, they also found that 69% of the sales attributed to Sponsored TV ads were NTB.2 Finally, AMC showed that purchase rates were 2x higher when consumers were exposed to Sponsored TV ads that were followed by Sponsored Products ads compared to Sponsored Products ads alone.3
Using these insights, Netgear and Flywheel can confidently make budget allocation decisions across ad types to create effective campaigns that help drive upper funnel awareness to previously unaddressed audiences. In addition, the companies will continue to study Sponsored TV’s role in the funnel to promote the long-term value of the ad type in Netgear’s overall marketing strategy.
Amazon continues to deliver innovative and versatile advertising products for its brand and agency partners, and Sponsored TV is another example of that innovation. Allowing Sponsored TV signals within AMC has significantly increased our ability to measure the effectiveness of Sponsored TV and the role it plays in the customer journey.
- Troy Stolarczuk, product owner, Flywheel
1-3 Flywheel, US, 2024