Case Study
Vileda and Artefact found the ideal marketing mix to improve conversions and new-to-brand sales
Goals
- Boost conversion rates
- Increase new-to-brand sales
Approach
- Created a full-funnel strategy with sponsored ads
- Used Amazon Marketing Cloud insights to determine the optimal marketing mix
- Allocated budget to promising ad types
Results
- 20% increase in new-to-brand sales year over year
- 15% decrease in advertising cost of sales
- 10% higher conversion efficiency vs. industry benchmarks
There’s no place like home – especially when it’s sparkling clean. Spanish company Vileda has been helping millions of homes sparkle for more than 70 years by creating innovative and sustainable household cleaning products that make cleaning simple and efficient. To bring their products to more customers, they began selling on Amazon in 2015.
Vileda has been working with Amazon Ads partner Artefact, who uses cutting-edge technology to provide comprehensive support for everything from strategy development to real-time monitoring, since 2019. Over the years, the two companies have expanded and refined Vileda’s advertising strategy to meet the dynamic conditions of the market. Insights-driven decision-making is at the core of Vileda’s strategy, which helps the brand optimise performance to keep visibility and sales on the rise.
However, in 2023, Vileda found that they weren’t meeting their key performance indicator (KPI) goals. Their conversion rates were behind the industry benchmark by 15%, and their percentage of new-to-brand (NTB) customers was 10%.1 Vileda knew that it was time to build a more effective strategy that would more efficiently draw in new customers. With help from Artefact, Vileda implemented Amazon Marketing Cloud (AMC) to optimise the shopping journey and accelerate the path to conversion.
Drawing in NTB customers
To reach more customers in 2023, Vileda and Artefact set out to use AMC to understand the shopping journey and the effectiveness of their advertising media. They uploaded historical campaign data into AMC to analyse the performance of different advertising format combinations against business KPIs. They found that a full advertising mix using Amazon DSP, Sponsored Products, Sponsored Display and Sponsored Brands was most effective at securing conversions and attracting NTB customers.
In response, Vileda and Artefact refined their campaign budget to get the most out of this high-performing combination, which then received 50% of the funds. Then, they distributed the remaining budget to other promising ad combinations, putting most of the funds into NTB growth and conversions. Through this reallocation, Vileda and Artefact planned to maintain a robust overall conversion rate and significantly increase the influx of NTB customers to foster sustainable growth for Vileda.
Thanks to Artefact’s experience and our use of AMC, we have developed a full-funnel strategy and obtained valuable insights about our consumers based on specific interests, purchasing behaviours and lifestyles. This has helped us gain a better understanding of our consumers, which allowed us to focus our campaigns to a more specific audience.
– Albert Llorca, senior e-Commerce Key Account Manager, Vileda
Optimising the path to conversion
By using insights to prioritise the brand’s advertising mix and marketing budget, Vileda and Artefact successfully identified a path to conversion that maximised conversion and NTB sales. Not only did the brand double their sales, but also, conversion efficiency exceeded industry benchmarks by 10% and their NTB sales improved by 20% year over year.2 At the same time, Vileda used their advertising budget more effectively, achieving a 15% decrease in advertising cost of sales.3
After strategically implementing AMC with Artefact, Vileda can both continue their current growth trajectory and explore new, innovative avenues for customer engagement and conversion. Vileda and Artefact plan to further refine Vileda’s audiences to reach the most relevant customers. Furthermore, through this campaign, Artefact gained a blueprint for driving future success across their client base. They intend to amplify their use of AMC and Amazon DSP to deliver effective, insight-driven advertising campaigns.
AMC has revolutionized the way we approach digital advertising. We’ve unlocked unprecedented insights by diving deep into its robust analytics. Our partnership with Vileda underscores the importance of skilled navigation through AMC’s complexities to not only understand the consumer journey, but also master the art of precise audience optimisation.
– Jonathan García, e-retail director, Artefact
1–3 Artefact, Spain, 2024