LANCOME
Brand A, a well-known premium beauty brand, found itself facing a significant challenge. Despite having a solid foothold and a long-established presence in the market, the company hit a growth roadblock.
Their sales growth seemed to have plateaued, and their efforts to trim down their Total Advertising Cost of Sales (TACoS) to their target goal of 10% were proving futile.
Their dreams of achieving a more cost-effective and streamlined operation seemed to be drifting further away.
Recognizing the gravity of their situation, Brand A decided to seek the expertise of AMZEXACT. Renowned for its proficiency in driving sustainable growth on major retail platforms like Amazon and Walmart, AMZEXACT was the ideal partner to help Brand A overcome their obstacles and restore their brand’s momentum.
2022 Growth
2023 Growth
TACoS %
The challenge
- Reviving and rejuvenating their stagnant sales while stimulating year-on-year growth.
- Scaling down their TACoS to a more manageable 10%, ensuring that their advertising efforts weren’t burning a hole in their pocket but contributing positively to their profitability.
THE SOLUTION
Understanding these challenges, AMZEXACT crafted a comprehensive plan that encompassed various efficient strategies and techniques.
This included the implementation of the Amazon Retail Ready Baseline, equipped with sparkling, optimized images and a well-structured SEO approach.
Moreover, the advertising strategy underwent a significant revamp with campaigns tailored to foster increased relevance via highly efficient and targeted initiatives.
The action plan consisted of the following critical steps:
- SEO Optimization: By leveraging proven strategies, AMZEXACT aimed to enhance product visibility, drive a higher volume of organic traffic, and boost Brand A’s digital exposure.
- Image Creation: The plan also included designing top-notch, engaging images that accentuated the product’s features and drew the attention of potential customers.
- Advertising & DSP Management: Through a careful restructuring and diligent management of advertising campaigns, the plan aimed to amplify Brand A’s ROI.
The Results
The results of the comprehensive plan exceeded all projected expectations. Brand A not only witnessed an exceptional surge in sales volumes, but they also surpassed their initial TACoS reduction goal.
Snapshot of the impressive results:
- 2021: This was the starting point for Brand A. They were battling stagnancy with a total sales figure of $2,950,000. The challenge set out was clear – re-ignite growth and optimize TACoS.
- 2022: Post the implementation of AMZEXACT’s strategies, Brand A experienced a revolutionary turnaround in their fortunes. Their sales shot up to an impressive $5,575,000, marking an outstanding 91% increase from the previous year. This significant leap was a clear indicator of the effectiveness of the new approach.
- 2023: The positive trend didn’t stop at 2022. Instead, it maintained its momentum into the following year. Sales figures reached a noteworthy $9,890,000. This was an equally impressive 77% growth from the 2022 numbers, proving the sustainability and effectiveness of the strategies implemented.
- TACoS Reduction: Amid this period of extraordinary growth, AMZEXACT successfully achieved brand A goals of reducing TACoS % but also increasing year over year sales.
AMZEXACT successfully reduced their TACoS to an impressive 8.9%, showcasing the effectiveness of their revamped advertising strategy.
How Can We Help?
Your Amazon business needs a certified Amazon partner to guarantee sustainable growth. More than simply listing your products on Amazon is required; a whole process of product research, listing optimization, and PPC campaigns is a must to ensure your store has a solid online presence on the largest eCommerce platform.
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