DTC Podcast
Ep 429: Are Your Amazon Ads Cannibalizing Your Organic Results? (Plus Prime Video Ads and Amazon Earnings) | AKNF
Aug 9, 2024
Clifford, an Amazon advertising strategist, and Rob, a digital marketing pro for DTC brands, share insights on navigating Amazon's advertising landscape. They delve into how ad spend can cannibalize organic results, stressing the need for smart keyword strategies. The duo explores the potential of Prime Video ads to boost brand awareness and sales. Listeners will learn to strike a balance between brand defense and competitor targeting, ensuring they're leveraging every dollar effectively in a competitive market.
21:09
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Quick takeaways
- The podcast emphasizes that analyzing the incremental impact of ad spending can prevent the cannibalization of organic sales on Amazon.
- It highlights the effectiveness of Prime Video ads as a top-of-funnel strategy to enhance brand awareness and attribution.
Deep dives
Assessing Advertisement Spend on High-Ranked Terms
The podcast examines the necessity of continuing to spend on sponsored ads for terms where a brand is already highly ranked. It poses the fundamental question of whether additional expenditure on these terms yields significant incremental sales or merely leads to cannibalization of organic sales. The analysis revealed that spending on highly competitive terms like 'running shoes' had a minimal incremental effect when a brand already occupied top spots. In contrast, spending on less competitive terms, such as ‘Adidas running shoes,’ resulted in a much larger increase in sales, indicating where marketing dollars were actually effective.
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