industry marketing
The health and personal care (HPC) category has achieved material growth over the past two years, and is projected to continue expanding until at least 2026.1 At Amazon, the health and personal care category consists of nutrition and wellness, healthcare, baby products, household, medical supplies and equipment. Learn how audiences can discover your products and stay top of mind for customers with the help of Amazon Ads solutions.
The consumer package goods (CPG) industry, which includes the health and personal care category, has grown at a rate of 2.7% between 2020 and 2021.2 As the industry continues to grow, your brand has the opportunity to drive awareness, consideration, and conversion with Amazon Ads solutions.
CPG and Grocery brands that used three or more Amazon Ads solutions saw on average a 50% repeat customer growth compared to brands that paired together one or two ad types.4
41% of CPG and Grocery brands observed an increase in repeat sales growth when engaging with shoppers through Streaming TV ads.5
Many CPG advertisers want to adopt an omnichannel approach. While according to a third-party study conducted by IRI in 2020, online media, including streaming TV ads, streaming audio ads, social media, and retail media, influence 77% of retail decisions, 90% of CPG purchases are still made at brick-and-mortar stores.6 Brands may consider adapting their advertising strategies to better reach their desired audiences along their path to purchase.
Consumers have more health and personal care product options than ever before.7 Brands can develop marketing strategies that help them not just stand out, but also stay top of mind for customers.
It can be challenging to navigate an effective advertising strategy that reaches audiences while earning their trust when brands experience “high inventory challenges.” At Amazon Ads we define a high inventory challenge as category ASINS that are out of stock for two or more days in a week.
When brands face high inventory challenges, they may approach their advertising strategies in different ways. Amazon Ads analyzed three key approaches that brands may choose, to measure the advertising impact on lift in units sold following high inventory challenges
ASINs that did not have any Amazon Ads support either during the high inventory challenge stage or when brands began to see improvement in inventory.
ASINs that did not have any Amazon Ads support during their inventory challenges stage but did have Amazon Ads support when brands began to see inventory improvements in the immediate four weeks following high inventory challenges, also known as the recovery stage.
ASINs with Amazon Ads support during ‘high’ inventory challenges stage and later in recovery stage.
Josh Ripps, CPG Lead at Amazon AdsPeriods of low inventory can be used to build brand awareness and customer loyalty with upper-funnel solutions. Later, when a brand’s inventory enters the recovery stage, lower-funnel solutions can be activated to drive conversion.
Household brands that had Amazon Ads support in the recovery stage observed 15.9x lift in units sold compared to brands that had an inconsistent approach in the same time period.8
Household brands that had an always-on advertising strategy observed on average a 15.0x increase in units sold during the recovery stage compared to brands that did not have an always-on strategy.9
74% of household brands leveraged more than one Amazon Ad product during recovery stages.10
Household brands that used four Amazon Ad solutions saw a 77% sales growth lift compared to brands that used less than three solutions.11
Nutrition and wellness brands that had Amazon Ads support in the recovery stage observed 8.4x lift in units sold compared to brands that had an inconsistent approach in the same time period.12
Nutrition and wellness brands that had an always-on advertising strategy observed on average a 10.6x increase in units sold during the recovery stage compared to brands that did not have an always-on strategy.13
On average 77% of health and wellness brands leveraged more than one Amazon Ad product during recovery stages.14
Nutrition and wellness brands that used four Amazon Ad solutions saw on average an 85% sales growth lift compared to brands that used less than three solutions.15
Baby product brands that had Amazon Ads support in the recovery stage observed 43.1x lift in units sold compared to brands that had an inconsistent approach in the same time period.16
Baby product brands that had an always-on advertising strategy observed on average a 59.1x increase in units sold during the recovery stage compared to brands that did not have an always-on strategy.17
On average, 46% of baby product brands leveraged more than one Amazon Ad product during recovery stages.18
Baby product brands that used four Amazon Ad solutions saw on average an 83% sales growth lift compared to brands that used less than three solutions.19
Healthcare brands that had Amazon Ads support recovery stage observed 17.6x lift in units sold compared to brands that had an inconsistent approach in the same time period. 20
Healthcare brands that had an always-on advertising strategy observed on average a 76.1x increase in units sold during the recovery stage compared to brands that did not have an always-on strategy. 21
On average, 72% of healthcare brands leveraged more than one Amazon Ad product during recovery stages. 22
Healthcare brands that used four Amazon Ad solutions saw on average a 77% sales growth lift compared to brands that used less than three solutions. 23
Medical supplies and equipment brands that had Amazon Ads support in the recovery stage observed 52.6x lift in units sold compared to brands that had an inconsistent approach in the same time period. 24
Medical supplies and equipment brands that had an always-on advertising strategy observed on average a 52.8x increase in units sold during the recovery stage compared to brands that did not have an always-on strategy. 25
On average, 40% of medical supplies and equipment brands leveraged more than one Amazon Ad product during recovery stages. 26
Medical supplies and equipment brands that used four Amazon Ad solutions saw on average a 73% sales growth lift compared to brands that used less than three solutions. 27
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