36.8
%
Increase in Ad Spend
37.2
%
Increase in Ad Sales
17.59
%
Advertising cost of sales
The Brand
Clovia is a leading Indian lingerie brand offering a diverse range of products, including lingerie, sleepwear, loungewear, and personal care items. With a focus on catering to the unique needs of Indian women, Clovia has established itself as a preferred choice for premium, solution-based innerwear.
Challenges
Clovia faced significant challenges in cross-selling the right combination of products. The brand lacked tangible data to determine the ideal product pairings for advertising, which was further complicated by a catalog of over 50,000 SKUs. This inability to ascertain effective product combinations hindered Clovia from running data-driven cross-targeted campaigns
Solution: Leveraging Amazon Marketing Cloud (AMC)
To address this challenge, Clovia leveraged Amazon Marketing Cloud (AMC) to gain valuable insights into product relationships and customer behavior. By analyzing customer purchase data, they identified high-performing product combinations that were frequently purchased together.
Insights Gathered by the Brand through AMC Analysis
Using AMC’s ASIN Overlap use case, Clovia extracted key metrics such as:
- Lead ASIN: The primary product purchased.
- Lead ASIN Orders: Total purchases of the lead product.
- Lead ASIN Customers: Unique customers who bought the lead product.
- Overlap ASIN: A complementary product frequently purchased with the lead ASIN.
- Common Customers: Customers who bought both products.
- User Overlap: Proportion of customers who bought both products compared to those who only bought the lead ASIN.
Actions Taken by the Brand with AMC Data
Armed with these insights, Clovia launched Sponsored Products and Sponsored Display cross-targeting campaigns for the identified product pairs. This involved advertising one product and targeting the other, and vice versa, to maximize exposure and encourage complementary purchases.
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Results
The implementation of cross-targeting campaigns yielded significant results:
- Increased Sales: Sales increased by 37.22% for the targeted product combinations.
- Improved Ad Spend: Ad spend rose by 36.76% while maintaining a favorable ACOS of 17.59%.
- Enhanced Customer Experience: The targeted campaigns effectively promoted complementary products, providing customers with valuable suggestions and potentially increasing average order values.