In the ever-evolving landscape of Amazon advertising, understanding the impact of your marketing strategies is the key to success. For sellers on Amazon, accessing comprehensive metrics is a game-changer, enabling brands to evaluate the current marketing campaigns and plan for future success. The new-to-brand metrics have added a new layer of insights that empower sellers to understand the number of new customers they are getting via their advertising.
This metric is available across display, video, and Sponsored Brands advertising. It gives a good understanding of the present campaign performance, but its true power lies in guiding future marketing strategies. They act as a compass, steering brands towards the path of growing their customer base on Amazon.
In the example below, the first campaign is the most valuable because it has brought more than 80% of the new customers.
Note that the cost of sales is lower compared to other campaigns, but it is more valuable because this is a subscription-based product. Every new customer will bring recurring sales over a long period of time.
In this other example, we see that the first campaigns generated 109 orders, of which 76% are new to the brand. So, the total new-to-brand orders are 82. The cost of this campaign is £283 in total, so the cost of new acquisition is £283/82 = £3.45.
So, by knowing the cost of acquiring new customers, you can strategically invest in campaigns that have proven to be successful in acquiring new customers. Sometimes the current cost may be high compared to other campaigns, but it allows you to look forward to future growth.
If you’d like to learn more about how we can help, get in touch to discuss more.