Mind-Blowing ACOS Reduction: From 61.71% to 27.1%

A pet brand faced significant challenges in reducing its ACOS (Advertising Cost of Sales) while its monthly revenue plateaued at $5,786.14. The brand’s stagnation stemmed from underperforming campaigns and structural inefficiencies in its Amazon listings.


Challenges

  1. Limited Keyword Targeting:
    The brand targeted only a few keywords in its campaigns despite a vast potential audience.

  2. Variations Management:
    Three product variations were not consolidated under a single-parent ASIN, resulting in lost cross-selling opportunities.

  3. High Competitor Reviews:
    Competitors had significantly higher review counts, diminishing the brand’s credibility.

  4. Underutilized Campaigns:
    The brand failed to utilize PPC campaigns fully. They neglected Sponsored Display and Sponsored Brand Ads, leaving untapped growth potential.


Plan of Action

  1. Keyword Expansion:
    We conducted extensive keyword research and categorized keywords based on search volume, relevance, and length. Strategic ads were launched on these keywords to boost visibility and tap into a wider audience.

  2. Variation Consolidation:
    All product variations were merged under a single-parent ASIN to enhance cross-selling opportunities and streamline customer experience.

  3. Boost Review Count:
    By consolidating variations, we pooled reviews to bolster credibility and consumer trust.

  4. Utilize Sponsored Brand & Display Ads:
    • Sponsored Brand Ads: We adopted a targeted approach, focusing on high-intent, long-tail keywords for Sponsored Brand Videos and browsing keywords using phrase and broad modifiers.
    • Sponsored Display Ads: Display ads were optimized to target and retarget customers who expressed interest in the product or similar categories.


Outcomes

  1. Cross-Selling Opportunities:
    Our carefully designed advertising campaigns focused on authoritative products, driving customer engagement and increasing sales for all variations. This strategy ensured customer loyalty and boosted overall revenue.

  2. Revenue Growth:
    Revenue increased from a stagnant $5,786.14 per month to $15,349.76 per week.

  3. ACOS Reduction:
    ACOS was slashed from 61.71% to 27.1% within one week.


Conclusion
By addressing the brand’s challenges through effective keyword targeting, variation management, and optimized advertising strategies, we achieved remarkable results. The pet brand experienced substantial growth in revenue and sales while significantly reducing advertising expenses. This success story highlights our expertise in transforming underperforming campaigns into highly profitable ones.

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