Amazon DSP & Retargeting: Target high-intent shoppers across Amazon and beyond. Retain, upsell, and win new buyers.

The Challenge: Fragmented Customer Journey and Untapped Potential

Our client, a rapidly growing health and wellness brand, faced the common challenge of a fragmented customer journey. While they successfully drove initial sales through various channels, they struggled with:

  • Low Repeat Purchases: Many first-time buyers did not return, indicating a missed opportunity for customer lifetime value.
  • Ineffective Cross-Selling/Upselling: Customers often purchased only one product, unaware of complementary items or premium versions within the brand’s catalog.
  • Limited Reach Beyond Amazon: Their advertising efforts were largely confined to Amazon PPC, failing to capture audiences on other high-traffic websites and apps where their target demographic spent time.
  • Difficulty Acquiring “Warm” New Customers: They struggled to efficiently identify and target potential new buyers who had shown interest in similar products or categories but hadn’t yet discovered the brand.

The brand recognized the need for a more sophisticated advertising approach that could follow customers through their purchase journey, both on and off Amazon, to maximize engagement and sales.

Our Solution: A Multi-Faceted Amazon DSP and Retargeting Strategy

We implemented a comprehensive Amazon DSP (Demand-Side Platform) strategy, focusing on precision targeting, dynamic creative, and a full-funnel approach to address their challenges.

Phase 1: Strategic Audience Segmentation

  1. Remarketing Audiences:
    • Product Viewers (High-Intent): Targeted users who viewed specific product detail pages but did not purchase.
    • Add-to-Cart Abandoners: Highly engaged users who added items to their cart but did not complete the purchase.
    • Past Purchasers (Loyalty & Upsell): Segmented by specific product purchased, purchase frequency, and time since last purchase to create tailored campaigns.
  2. Lookalike Audiences: Created audiences similar to existing purchasers and high-value customers to efficiently acquire new buyers.
  3. In-Market Audiences: Targeted shoppers who were actively browsing or purchasing products in related health and wellness categories.
  4. Lifestyle Audiences: Identified audiences based on interests and lifestyle segments relevant to the brand’s ethos (e.g., “fitness enthusiasts,” “healthy eating”).

Phase 2: Dynamic Creative and Personalized Messaging

  1. Product-Specific Retargeting: Utilized dynamic creative to show users the exact products they viewed or added to their cart, reminding them of their interest.
  2. Cross-Sell/Upsell Messaging: For past purchasers, ads showcased complementary products or higher-tier versions of their previous purchases.
  3. Educational & Brand-Building Content: For top-of-funnel and new customer acquisition, creative focused on brand benefits, unique selling propositions, and educational content related to health and wellness.
  4. A/B Testing: Continuously tested different ad formats (static, video, carousel), headlines, and calls-to-action to optimize performance across all segments.

Phase 3: Omni-Channel Placement and Bid Optimization

  1. On-Amazon Placements: Leveraged Amazon DSP to display ads on Amazon’s owned and operated sites (e.g., Kindle Fire, IMDb, Amazon.com product pages where Sponsored Ads don’t reach).
  2. Off-Amazon Placements: Extended reach to a vast network of third-party websites and apps through Amazon’s extensive ad exchange, ensuring the brand stayed top-of-mind across the internet.
  3. Real-Time Bid Optimization: Employed sophisticated bidding strategies that adjusted in real-time based on audience behavior, placement performance, and campaign goals (e.g., optimizing for vCPM, CPC, or ROAS).
  4. Frequency Capping: Implemented intelligent frequency capping to prevent ad fatigue and ensure a positive brand experience.

The Results: Enhanced Customer Lifecycle and Significant Growth

Within six months of implementing this Amazon DSP and retargeting strategy, the client achieved remarkable results:

  • 30% Increase in Repeat Purchases: Targeted remarketing campaigns to past purchasers significantly boosted customer retention and loyalty.
  • 20% Uplift in Average Order Value (AOV): Effective cross-sell and upsell campaigns led customers to purchase more items and higher-value products.
  • 15% Reduction in Customer Acquisition Cost (CAC): By targeting high-intent lookalike and in-market audiences, new customer acquisition became significantly more efficient.
  • Expanded Brand Reach: The brand’s presence extended far beyond Amazon, increasing brand awareness and recall across the internet.
  • Improved ROAS (Return on Ad Spend): The highly targeted nature of DSP, combined with dynamic creative, resulted in a strong return on investment for advertising spend.

Conclusion: The Intelligent Path to Sustainable Growth

This case study highlights the immense power of Amazon DSP and a well-executed retargeting strategy. By understanding the customer journey and leveraging Amazon’s robust audience targeting capabilities both on and off its platform, the health and wellness brand successfully transformed their advertising from a one-off transaction model to a comprehensive, lifecycle-focused approach. This not only drove immediate sales but also built a stronger, more loyal customer base, positioning the brand for sustainable, long-term growth.

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