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Optimizing Sponsored Brand Campaigns Through Strategic Split Testing
34%
Average ACoS reduction
58.51%
CVR improvement
Our Challenge
- Primary Issue: Broad match-type keyword targeting led to excessive clicks without proportional sales, driving up costs.
- Ineffective Campaign Structure: We needed to restructure the campaigns to hone in on more precise targeting and effectively measure results.
- Niche costumes are high consideration, long customer journey to ensure they find the product they want.
Project Overview
The client, operating in a niche costume market, faced significant challenges with their Sponsored Brand campaigns due to high ACOS, ineffective creativity, a lack of effective testing as well as broad keyword targeting. Our primary goal when running split testing was to refine strategy and achieve a better ROI with SB spend.
Our Steps
The primary goal was to lower the client’s ACOS while simultaneously boosting conversion rates. We achieved this by refining keyword targeting to ensure that the traffic attracted was highly relevant and more likely to convert. A critical objective was also to determine the most effective ad destination for Sponsored Brand campaigns—whether landing pages or storefronts would yield better results.
Test 1
| Add Group | CTR | CVR | CVR Improvement | ROAS | ACoS | ACoS Improvement |
|---|---|---|---|---|---|---|
| Storefront | 0.17% | 1.62% | 4.22% | 23.69% | ||
| Landing Page | 0.89% | 2.67% | 64.81% increase | 6.80% | 14.70% | 37.92% decrease |
Test 2
| Add Group | CTR | CVR | CVR Improvement | ROAS | ACoS | ACoS Improvement |
|---|---|---|---|---|---|---|
| Storefront | 0.18% | 1.65% | 3.85% | 25.95% | ||
| Landing Page | 0.60% | 2.56% | 55.15% increase | 5.28% | 18.94% | 27.02% decrease |
Test 3
| Add Group | CTR | CVR | CVR Improvement | ROAS | ACoS | ACoS Improvement |
|---|---|---|---|---|---|---|
| Storefront | 0.08% | 2.97% | 7.15% | 13.89% | ||
| Landing Page | 0.36% | 4.62% | 55.56% increase | 10.93% | 9.15% | 34.55% decrease |
To reach these goals, we implemented a multifaceted strategy:
- Utilizing the best search terms from Sponsored Products: We carefully selected and applied the most effective search terms from the client’s Sponsored Products campaigns to optimize Sponsored Brand targeting, utilising exact match targeting.
- Negating poor performing terms: By identifying and negating underperforming keywords from Sponsored Products, we streamlined the focus on high-converting terms, reducing wasteful ad spend.
- Market Basket Analysis: We conducted an in-depth analysis to determine which ASINs sold well together. This insight allowed us to develop targeted campaigns as well as more effective landing pages, maximizing cross-selling opportunities through improved CVR.
- Collaborative asset development: Working closely with the client’s team, we enhanced the creative assets, ensuring that visuals and copy were optimized for engagement and conversion based on the best selling products in each category
These combined efforts, including rigorous split testing, detailed keyword analysis, and regular campaign optimization, allowed us to systematically lower ACOS and improve CVR, leading to enhanced campaign performance.
Split tests across multiple campaigns, consistently demonstrated that landing pages outperformed storefronts in terms of CTR and ACoS. Based on these insights, we refined the campaigns by pausing underperforming keywords, increasing investment in high-performing terms, as well as moving all the budget towards landing pages for Q2 Sponsored Brand campaigns.
Results:
- 34% Average ACOS decrease across 3 tests: Achieved by narrowing keyword focus and ongoing campaign optimization.
- Landing Pages Outperformed Storefronts 3:1: Split testing revealed landing pages as the superior destination, delivering higher CTRs and lower ACOS.
- 58.51% CVR improvement for Landing pages compared to Storefronts. Tailored messaging for each costume drove greater campaign effeicneing as well as resonating with the customer.