Dayparting strategy to increase ROI by 40%

Case study

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Snapshot

Client Problem

Bravokids was a new client to SellerMetrics in Q2 2021, they are an educational toy brand

Client Objective

  • Optimize campaigns
  • lower ACoS%, and improve ROI
  • Keeping PPC sales steady is the main priority

Results

  • Ad Sales +10% 📈
  • ACoS -15% 📉

Client Summary

Founded in 2017, Bravokids is a brand focusing on LCD drawing panels for kids. The brands has a long-term mission to replace paper and crayon drawing with drawing boards that can reduce paper waste that can be a net positive for the environment.

Bravokids makes 90% of its sales in the educational toy category, and the product is offered on Amazon US and Canada.

Client's Problems and Pain Points

BravoKids does not think its budget is used as efficiently as it could be. As seen below the budget for all campaigns runs out late afternoon, and never be running in the early evenings.

The client wants their ads to be shown during the most optimal selling hours, as indicated in their business reporting below. But at the same time, they do not want to simply increase their budget, so basically, they want a solution to move their existing budget from the current time period towards a more optimal time period to spend their ad budget.

This solution requires an agency with strong experience with budget controls, and the SellerMetrics is up for that challenge.

Solution Provided by SellerMetrics

SellerMetrics is all about data, we are a tech-enabled Amazon PPC agency with proprietary software, and we make decisions that are based on data. In this case, SellerMetrics examines the concentration of sales and orders over a 60-day period over the 24-hour selling windows.

Looking at the data above, it becomes quite clear that the majority of sales come from the 6 a.m. to 8 p.m. PST time zone. SellerMetrics employs a dayparting strategy in which campaigns are activated at 6 a.m. PST and deactivated at 8 p.m. PST. This lets BravoKids move its advertising budget away from times when it doesn't work well and toward the best time range for conversions and sales.

Results

30 days after implementing the new strategy Bravokids saw the following improved results

Even though the improvements weren't huge, they were still a big deal for an account that was already very well-optimized. This goes to show you that Amazon PPC management is not just bidding keywords up and down; one needs to look at sales on a much more holistic level.

Client’s Response

Bravokids were really happy with the results and were quite amazed at how this one small change could materially impact their profit profile. With the FBA cost, shipping, and other costs increasing, any type of margin improvement was quite welcome, and SellerMetrics' implementation of dayparting on Bravokid’s Amazon PPC account was just that!

"I am just really impressed with the SellerMetrics team's attention to detail and responsiveness to our needs. Not all agency services for Amazon have the experience and knowledge to act as more than a PPC manager"

Shuping Lu (Manager, Bravokids)

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