Tree to Tub is one of the largest vegan skincare brands selling on Amazon for sensitive skin.
We were initially tasked to manage their remarketing with Amazon DSP in the US marketplace but as our partnership grew, the scope of the work did as well.
How to continue scaling and not lose momentum with Amazon Advertising?
Tree to Tub was quickly approaching their best year to date and wanted to continue building on top of that success.
When Amazon DSP was first announced, it was an Amazon-only service with a minimum spend of $35,000 which wasn’t a feasible option for Tree to Tub at the time.
However, since finding success as one of the most unique brands for sensitive skin, they revisited Amazon DSP and found AMZ Pathfinder as one of the few PPC agencies certified and experienced to manage and run DSP campaigns.
The question remains… is Amazon DSP viable for a smaller brand like Tree to Tub?
“We heard from our head of Amazon, Tony, that Brent [AMZ Pathfinder] was opening up DSP. I looked into Brent and discovered his agency is a collaborator with SellersAlley, which is our PPC agency.”
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Enhancing the Entire Customer Journey with Amazon DSP
We onboarded Tree to Tub August 2020 and they had their goals already set.
They wanted to continue to scale, attract new customers, and grow their overall customer base.
After our initial account audit, we both agreed to launch the first quick win strategy: retargeting.
“It really made sense to do retargeting, get our ads on more placements, and get a first-mover advantage.
We’ve always had a significant part of our revenue sourced from advertising.”
These are the important metrics to consider for a CPG brand (consumer packaged goods) like Tree to Tub:
- New-to-brand purchases (NTB)
- Detail Page Views Rate (DPVR)
- Repeat purchase rate
- Total subscribe and saves
- Return on ad spend (RoAS)
- Total purchases
New to brand (NTB) is a growth metric that helps identify the rate of new customer acquisition vs repeat buyers. This is how we are gauging net new customers, which is a very important metric.
The detail page views rate shows the amount of traffic driven to a product detail page relative to the number of ad impressions.
Repeat purchase rate shows the purchase frequency of repeat customers. Related to subscribe and save purchases except it encompasses all repeat purchases.
For Tree to Tub, their most important metric was ROAS but as we continued to manage their account, we encouraged them to look at other important factors, such as detail page views and detail page view rate which are metrics to track user awareness and consideration.
Other than profitability, we wanted to get their brand in front of as many users as possible.
This is an important piece to the strategy because when we target more audiences in our consideration campaigns, it leads into a larger audience size to retarget in our purchase campaigns.
Lastly, working with Tree to Tub gave them an opportunity to use video for their brand advertising as a big part of the overall strategy. Video ads are extremely effective pieces of content that catches the attention of shoppers.
We measured the video completion rate, which is the number of video completions relative to the number of video starts, to determine the success of video creatives.
“Just getting a really clear picture of what’s going on really helps out because that tells me these guys [AMZ Pathfinder] are looking at things in a holistic way when using all of the tools at our disposal and being thoughtful at cultivating the customer from multiple endpoints. …We were on board strategically from the get-go.”
In 10 months, we helped Tree to Tub realize that Amazon DSP is a viable advertising platform for profitability, brand consideration, and reach, especially for a smaller brand like theirs.
These results come from understanding the delicate nature of Amazon DSP. We realized early on that being conservative with the budget to prevent overspending only restricted the account from actually hitting the end of the month budget. This encouraged us to go with a different route…
We took a more aggressive approach with spending while still being strategic and balancing budget between orders as much as possible.
“Through their combined micro-strategies, they helped us create a holistic approach that cost less (low spend) vs what we get in terms of revenue. That’s been good so far.”
Tree to Tub is always open to experimenting new approaches and very receptive to our opinion about the direction to take.
Within this timeframe, we not only introduced over 1,000 new customers to their brand, but our retargeting efforts brought in over 900 repeat purchasers and over 370+ subscribe and save customers, increasing customer lifetime value (LTV) through Amazon DSP.
Helping Tree to Tub achieve scale with Amazon DSP also provided improvements on our reporting efforts for them and future Amazon DSP clients.
“…That’s helped us understand the different strategies that go into play when building a comprehensive DSP portfolio and how each strategy optimizes for different metrics.”
This is the sign of a great collaborative partnership between client and agency.
“I think it’s been pretty smooth sailing and I’ve appreciated Brent’s personal time helping us out. He has a good head on his shoulders and he dives in pretty deep with us. I appreciate that.”
We surpassed many of the targets set for the most important metrics, such as impressions, total detail page views, ROAS, total purchases, and total Subscribes and Saves. We were able to learn from missed targets and how to set better goals while keeping them ambitious.
“I’m a big believer that [AMZ Pathfinder] is trying to improve things for us and so I’m down to improve things for you guys as much as possible. I really feel like we’re a team together and I like that and I don’t want that to change.”
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