In this episode of Selling on Giants: The eCommerce Marketplace Show, the guest speaker is Cristian Ramniceanu, BellaVix’s campaign manager and eCommerce advertising expert with extensive experience in innovating advertising strategies and online engagement, talks about “Enhance Ad Performance: Prime Day 2024 Campaign Preparation”.
In this episode we talk about inventory management and ad approval to budget allocation and leveraging multiple ad types, every detail counts. This guide delves into essential strategies for optimizing your Prime Day advertising efforts, ensuring you’re ready to seize every opportunity and maximize your sales potential. Don’t miss out on “Enhance Ad Performance: Prime Day 2024 Campaign Preparation”. Let’s get started!
Key takeaways: / Short Summary:
Preparation for Prime Day Advertising
- Starting advertising preparations early for Prime Day is crucial to optimize campaigns and ensure readiness for increased traffic.
- Early preparation can help prevent issues with stock levels or ad performance that could result in missed opportunities during Prime Day.
- Inventory should be prepared to be sent to Amazon’s warehouses at least 4 weeks prior to Prime Day.
- Fulfilled by Merchant (FBM) should be considered as a backup plan in case of any stock level issues.
- Approval for advertising, especially for video ads or sponsored brand ads, should be obtained well in advance to avoid delays and complications closer to the event.
Maximizing Budget Allocations for Prime Day
- Sellers should start bid optimization and monitoring their underperforming targets in advance of Prime Day to make the most of their limited ad budget.
- Decrease bids on targets that haven’t performed well to reallocate budget to best-performing targets and keywords, but avoid reducing bids drastically to maintain visibility.
- Focus budget on top-selling products with high margins to generate good returns on investment.
- Set aside budget for sponsored display campaigns to increase shopper consideration and expose products to more customers, potentially for retargeting after Prime Day.
- Allocate budget towards top-performing campaigns and minimize spend on keywords that aren’t delivering results.
- For a start-up brand with a new product and limited reviews, the main goal should be to acquire new customers, so efficiency is less of a concern.
- Strategies may include targeting new audiences, increasing awareness, and growing the brand’s presence, potentially at a higher cost.
Advertising Strategies and KPIs
- A reasonable budget for a 5 SKU catalog with a $10,000 monthly budget for brand awareness
- Targeting good categories and competitor research for brand awareness
- Using Sponsored Display and targeting phrase match and broad match keywords
- Key KPIs for this scenario: impressions, clicks, and click-through rate
- Leveraging DSP with 20% of the budget for selecting the right audience
- Efficient budget allocation for a medium-sized seller with 5 SKU catalog and $25,000 to $30,000 monthly in advertising
- Leveraging full funnel marketing and focusing on sponsor products with high volume and relevant keywords
Leveraging Multiple Amazon Ad Types
- Product targeting and brand defense strategies are important for Amazon advertising.
- Using sponsored brands and branded videos can help to gain visibility and engage with potential customers.
- Leveraging multiple advertising types together helps to keep the brand front of mind for shoppers as they navigate the website.
- Sponsored display campaigns can be effective for increasing traffic and shopper consideration, particularly during events like Prime Day.
- Advertising managers should focus on contextual targeting and mid-to-upper funnel strategies to effectively leverage sponsored display campaigns.
Sponsored Display Campaigns and Audience Targeting
- Sponsored display campaigns are effective for raising product awareness among customers.
- These campaigns can target remarketing audiences for similar products and allow for the inclusion of image and video ads.
- Similar audiences are important for building affinity and attracting customers researching similar products.
- Amazon selects similar products for sponsored display campaigns based on category and other ranking keywords.
- Category targeting and brand targeting can be used for more specific product group selection.
- Sponsored display campaigns leave product selection to Amazon’s algorithms, but category ad types offer more control over where ads are displayed.
- Past Prime Day data can provide valuable insights for informing current budget increases and bidding strategies to maximize advertising budgets.
Optimizing Advertising Efforts for Prime Day
- Review past year’s advertising efforts and business reports, including sales data, to inform this year’s strategy
- Check key metrics such as ACOS, CTR, and CBR in advertising campaigns to determine ad spend efficiency and ad performance
- Consider at least doubling the budget for both days of Prime Day to account for increased demand
- Use past data to project potential sales and inform inventory needs and budget allocation
- Add new low bid automatic campaigns as backup for existing advertising campaigns on Prime Day
- Set low bids, such as 15 or 20¢, to capture traffic during later parts of the day when budgets are likely depleted
Implementing Defense Strategy using Brand Keywords during Prime Day
- Automatic campaigns are effective for targeting the entire catalog with low CPCs
Running automatic campaigns year-round, with increased focus during high traffic times like Prime Day - Automatic campaigns can secure competitive placements for expensive keywords at lower CPCs
- Branded campaigns are essential for maintaining visibility and market share
Without branded campaigns, competitors can capitalize on a brand’s popularity - The Amazon algorithm favors brand owners with lower CPC for branded keywords
Lower CPCs for branded keywords are tied to better conversion rates and favoritism from Amazon’s algorithm.
Analyzing Advertising Performance and Preparing for Future Events
- Focus on key metrics such as ACOS, CTR, and CDR to assess advertising performance post-Prime Day.
- High ACOS may indicate areas needing improvement, while high CTR and conversion rates indicate effective targeting and engagement.
- Analyze total sales and revenue, comparing actual performance to targets and previous Prime Day results to assess overall success.
- Identify which products sold well and which did not, to inform future event strategies and product lineup.
- Identify top performing campaigns and conduct keyword analysis to determine which keywords contributed most to sales and conversions, investing more in successful strategies in the future.
- Use historical performance analysis to prepare for future events, such as Prime Day 2.0 and Q4, by applying past data and cleaning up campaigns to pivot and strategize effectively.
Leveraging Event Data for Advertising Campaigns
- Event data, such as Prime Day, can be used for bid maintenance and advertising efforts in the months leading up to and following the event.
- Prices and CPC tend to rise in the weeks leading to and during Prime Day, but top keywords remain consistent.
- Consider leveraging increased traffic and consideration from events to start or restart remarketing campaigns.
- Utilize brand tailored promotions to target specific audiences, such as brand cart abandoners and promising customers, with discount codes for increased sales.
- Leveraging technology like brand tailored promotions for retargeting can capture additional demand and provide a competitive edge.
- Expert advice from Chris on preparing advertising campaigns for Prime Day can help listeners maximize their success during crucial sales events.
- Download the comprehensive Prime Day preparation guide available in the show notes for more valuable insights.
Or listen to the previous episodes on the different platforms:
Links:
- LinkedIn – Personal: https://www.linkedin.com/in/ramcris/
- Branded – Linkedin: https://www.bellavix.com/
“Gear Up For Success: Your Guide To Amazon Prime Day 2024 Preparation” is packed with proven tactics to help you dominate the world’s biggest shopping event.
Inside, you’ll find:
- Listing Optimization Secrets
- Powerful Advertising Strategies
- Inventory Management Hacks
- Category-Specific Insights
- Effective Planning & Execution Tips
- A 3-Phase Roadmap to Prime Day Success
Don’t miss out! Join the ranks of top sellers and prepare for a record-breaking Prime Day. Download your guide today!
“Selling on Giants: The eCommerce Marketplace Show” is sponsored by BellaVix.
Don’t miss out on the next “Selling on Giants: The eCommerce Marketplace Show” episode, and subscribe.