Amazon Optimizer: Revenue & CAC
This release introduces a novel addition to our optimizer toolkit: Amazon focused optimization. You can now choose to optimize your campaigns for one of four options: Revenue/ROAS for your primary storefront (e.g., Shopify), New Customers/CAC for your primary storefront, Revenue/ROAS for your Amazon storefront, or New Customers/CAC for your Amazon storefront. This release allows you to tailor ad spend for each campaign to align with your specific goals across all connected eCommerce stores. With this update, you’ll have the detailed insights needed to make informed decisions and allocate your budget effectively, maximizing the potential of each storefront.
Key Updates at a Glance
Optimization Update: Amazon Revenue & New Customer Optimization
- Two new options are now available when selecting a scenario target for optimization: Amazon Revenue/ROAS and Amazon New Customers/CAC.
- After selecting a scenario target, the campaign selection menu updates to display historical performance details at both the campaign and channel levels for your selected target. For example, if you select Amazon Revenue/ROAS as your scenario target, the campaign selection table will show model-attributed revenue and ROAS for your Amazon Ads campaigns, as well as halo effect revenue driven to Amazon from all other channels.
- From there, the optimization flow mirrors the process of creating an optimization for your primary storefront. After selecting campaigns and running the optimization, you will see:
- Impact Overview: The expected effect of the optimized spend recommendations on your selected scenario target. The storefront and metric targeted for optimization are always displayed on the details panel on the left-hand side of the optimization outcome screen.
- Spend Recommendations: Detailed recommendations on how much to allocate to each campaign over the forecasted timeframe, the impact those recommendations will have on your selected scenario target, and the corresponding performance metrics (i.e. ROAS or CAC depending on your target).
- Saturation Curves: Visualizations for each optimized campaign, illustrating how your selected scenario target changes as you increase or decrease spend.
Performance Page Enhancements: Amazon Saturation Curves
- Forecasting tabs are now enabled within the drawers on the performance page for Amazon Ads campaigns. These tabs include a dropdown menu that allows you to toggle between Revenue/ROAS and New Customers/CAC views for Amazon campaigns.
- Two additional options: Amazon Revenue/ROAS and Amazon New Customers/CAC - are now available in the metric dropdown on the forecasting tab for non-Amazon ad channels. These options display saturation curves for the halo effect revenue or new customers that these campaigns drive to Amazon.
Video Walkthrough
This update requires that you have Amazon revenue data connected to your Prescient account and is limited to optimizing campaigns that are included in MMM modeling. Additionally, when optimizing for revenue or new customers on your primary storefront (e.g., Shopify), the spend allocation will not account for halo effects driven to Amazon. To capture and optimize those halo effects, you’ll need to optimize directly for Amazon revenue or new customers.
We’re eager to see how you utilize this update to drive meaningful growth on Amazon. As always, your feedback and questions are invaluable to us - don’t hesitate to reach out to our team to learn more or share your thoughts.
