The Importance of Having a Holistic View of your eCommerce Efforts
Measuring the efficacy of an eCommerce marketing campaign is challenging, and only gets more difficult with the addition of new channels, campaigns, and more. One issue that we often see is lost potential due to siloed marketing efforts as well as limiting insights from marketplace platforms. If you’re seeing WoW (or worse, YoY) trends that some marketing channels are generating a better ROI than others, and you haven’t optimized your spend in response, it’s time to take a look at your strategy.
At Rise, we focus on two important things for our clients: allocating their budgets as effectively as possible and delivering the most relevant experiences for their customers. We do this through our Interactive Investment Management® approach which encompasses many different details, but one crucial element you can adapt to today is thinking about your digital media holistically.
With marketplaces evolving and introducing more opportunities to the digital marketing landscape, the demand for connecting insights is on the rise. Brands need to be able to combine channel insights together, and this includes incorporating offline media into online media. Amazon supports LiveRamp integration which then enables marketers to have a full view of their data allowing them to measure in-store visits as a result of Amazon DSP.
Creating A Measurement Framework
To begin any measurement analysis, you have to start with a framework and create a baseline for your core key performance indicators (KPIs). Since the goal is to measure digital media across channels, consider things beyond the traditional marketing KPIs like ROAS, CTR, or CPL and push to analyze ones that will evaluate impacts to larger business outcomes such as Cost of Goods Sold (COGS), Purchase Orders (PO), or Total Revenue.
In order to check that you’ve chosen the right KPIs, you will need to test and scale your spend against them. Measure your variance between baseline Shipped COGS/Ordered Revenue and actual growth, and look directly to your ROI for feedback. By creating this framework, advertisers will be able to tell the impact of new inbound traffic on current Amazon revenue velocity.
Determine How You Want To Attribute
Below are three different Amazon attribution options available for marketers.
- For your Store-driven campaigns, look to Amazon Store Reporting for attribution. There, you can monitor each of your KPIs by page or traffic source. Optimize your ad spend by shifting budget to the pages or sources generating the greatest return.
- Use the new Measure Branded Lift in DSP reporting. This is a report that is able to identify the Brand impression lifts in Amazon Search and correlates it back to Amazon DSP activities.
- Test out the Amazon Attribution beta. This beta provides insights into inbound Amazon traffic when driven from platforms outside of Amazon—for example, D2C site, Facebook, or Google. By doing this, Amazon stakeholders and advertisers can measure the efficacy of driving traffic into Amazon and determine if it makes sense to in lieu of driving to a non-eCommerce site (i.e. CPG) or compare the ROAS against D2C eCommerce benchmarks. Of course, there are always risks when giving third parties access to your client data. Marketers must weigh the pros and cons of doing so in order to determine if this is the right tactic for them.
Being able to measure digital marketing insights across channels equips marketers to evaluate their success on KPIs that have a bigger business impact. Contact Rise so our experts can take a look at your Amazon program and help to determine the true potential it can drive.