Case Study: Lower your ACOS, Improve Organic Ranking and Increase Profitability

Context

Recognizing the challenges faced by the lighting brand in their AI-managed advertising campaigns, Oceanwing sought to overcome these obstacles and achieve significant improvements in advertising performance. They turned to Pacvue’s powerful tools to drive enhanced results and increase the brand’s profitability, lower the ACOS, and improve organic ranking.

Strategy

Oceanwing executed a meticulous strategy, leveraging Pacvue’s comprehensive suite of advertising tools. These included Share of Voice, Keyword Harvesting, ASIN Harvesting, Rule-Based Optimization, and Dayparting.  

The strategy focused on maximizing advertising resources, increasing low-funnel traffic for improved conversion, targeting the correct audience, optimizing ad structure to drive brand traffic, and targeting relevant keywords with optimized ad materials.

Results

Through the combined efforts of Oceanwing and Pacvue, the lighting brand achieved outstanding results:

  • 20% decrease in Total Advertising Cost of Sales (TACOS), falling from 10% to 8%.  
  • 33% decrease in Advertising Cost of Sales (ACOS) dropping from 18% to 12%.  
  • Boosted the organic ranking of their top-selling product from outside the top 100 to within the top 20.

These results signify a substantial improvement in cost efficiency and profitability for the brand.

Conclusion

The collaboration between Oceanwing, the lighting brand, and Pacvue proved highly successful in addressing the challenges faced by the brand’s advertising campaigns. Through the implementation of Pacvue’s advanced tools and the execution of a comprehensive strategy, Oceanwing achieved remarkable improvements in profitability and cost efficiency. The notable decrease in TACOS and ACOS underscores the effectiveness of the strategy in driving enhanced advertising performance.  

Takeaways

1. Partnering with a digital advertising agency and leveraging advanced tools like Pacvue can significantly enhance advertising performance.

2. Employing a comprehensive strategy that includes Share of Voice, Keyword Harvesting, ASIN Harvesting, Rule-Based Optimization, and Dayparting can lead to remarkable improvements in ACOS efficiency, organic ranking, and profitability.

3. Effective collaboration between digital advertising agencies, brands, and advanced tools is crucial for achieving desired results.

4. Continuous monitoring, optimization, and adaptation of advertising strategies are essential for sustained success on eCommerce platforms.

5. The expertise and dedication of digital advertising agencies, combined with advanced tools, can drive exceptional outcomes for brands in the competitive online marketplace.

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