Case Study: Finding the Best DSP Strategy
As is the case with all Amazon Advertising, finding which DSP approach works best for you depends on your goals and your budget. Amazon’s Demand-side Platform (DSP) is a unique platform that helps brands influence shoppers. It allows for on-Amazon and off-Amazon advertising, has specialized audience builders, the ability to advertise with video, has impressive metrics and more.
Macarta is one of the few agencies in North America with self-service access to Amazon’s DSP. This self-serve access, along with our team of experienced DSP marketers, has yielded phenomenal results for our clients compared to other DSP platforms. In this case study we are sharing two approaches you can take with the DSP and showing performance results for two of our brand partners:
ALWAYS-ON APPROACH
August – December 2019
Just as you use any other type of ad, the DSP can be used in with an ‘always-on’ approach. This requires strategic planning and a watchful eye to make sure that performance and budgets stay on track. Below is an example of one of our brand partner’s performance in an always-on approach over a 5 month period:
Two-fold approach – Brand Awareness and Return:
- Brand awareness campaign was built to drive new users
- Return campaign was focused on remarketing and meant to drive further sales
Targeting Segments:
- Brand Awareness (Customer Acquisition and Competitor Conquest)
- Return (Remarketing)
The Results:
*Data points have been rounded for visual clarity
The Breakdown – Brand Awareness:
- 65% New to Brand Purchases
- Return was 466% higher than investment on average.
- Effective Cost per Purchase: $5.43
The Breakdown – Return:
- 42% New to Brand Purchases
- Return was 1,013% higher than investment on average. During the Turkey 5 return was 2,580% higher than investment.
- Effective Cost per Purchase: $3.48
Blended Cost per Purchase between the two strategies: $4.30
HOLIDAY APPROACH
November 1 – January 15
Another approach you can take with the DSP is a focused holiday or sales approach. We suggest going live 3-4 weeks prior to the event in order to build awareness and generate audiences. It’s best to continue the campaign two weeks after the event to capture any missed potential customers. Holiday events (e.g. Black Friday – New Years) usually create increased traffic, and will have higher-than-average new to brand sales.
Note: This brand partner experienced extremely high-performing results with their DSP campaign. This is a result of their already well-established brand recognition, as well as other high-performing Amazon Advertising campaigns launching just prior to this DSP holiday campaign.
Targeting Segments:
- Customer Acquisition
- Competitor Conquest
- Remarketing
The Results:
*Data points have been rounded for visual clarity
The Breakdown:
- Return was 2,500% higher than investment.
- Black Friday and Cyber Monday accounted for 25% of total sales.
- New to Brand Purchases: 58%
- Effective Cost per Purchase: $4.45
When working with Macarta, you have a team of highly-specialized experts who know the DSP inside and out. This nuanced advertising platform can yield an impressive return when deployed with the right strategy. Looking to launch your brand on the DSP? Macarta can help:
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