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Sponsored Product Ads

HOW TO: INCREASE SALES ENORMOUSLY

Onsite-Campaign on Sponsored Product Ads

The Douglas brand is primarily perceived as a beauty platform for cosmetics and care products. But Douglas has long offered much more than that. For example, a marketplace where products from brands and companies that are not directly from the cosmetics industry can also be profitably marketed and sold.

The company Amor Group is also using this opportunity for itself. The jewellery supplier has been selling its products on Douglas.de since mid-May 2021, using its own marketplace strategy, which was developed together with Douglas Marketing Solutions.

History of the Amor Group
Since 1978, the Amor Group has been selling real jewellery in the entry-level and mid-price segment, making it one of the most successful jewellery suppliers worldwide. The Armor Group is represented at over 3,000 points of sale in more than 23 countries. They successfully sell their jewellery in stores as well as through their own online shop and especially through external marketplaces such as Douglas.de and sell more than 8 million pieces of jewellery annually.

Marketplace strategy of the Amor Group
Amor Group uses Douglas’ marketplace to sell its wide range of high quality jewellery. Amor currently has 940 products for sale online at Douglas on the platform, including rings, necklaces, earrings and bracelets. Amor is also embracing a very unique advantage in their strategy that is helpful in selling the jewellery profitably to the right consumers.

The jewellery category on Douglas is now highly competitive with many jewellery manufacturers. The Amor Group was one of the first brands to use sponsored product ads to generate more visibility for their products. They therefore enjoy the “first-mover advantage”. This means that companies that are one of the first brands to use Sponsored Product Ads in a certain sub-category stand out more clearly from the competition.

In Amor’s marketplace strategy, it is initially envisaged that a large number of the product range will be placed and played out as part of the Sponsored Product Ads campaign. In the course of the campaign, the algorithm then selects the best performing items with the highest purchase probability and increasingly displays these items as ads.

The figures of the ongoing campaign also prove that consumers see jewellery as an interesting addition to the usual Douglas assortment. After all, only a fraction of Amor’s assortment is played out on Sponsored Products Ads, but sales run through the entire product range. This fact is due to a good price/performance ratio and high visibility due to the “first-mover advantage”.

Key figures of the campaign
Amor’s campaign started in the 20th calendar week, i.e. in mid-May. Amor started the campaign with a budget of € 3,000. After six weeks, the jewellery brand reached 529,280 impressions and generated 2,253 clicks on its own products. The cost-per-click price averaged 31 cents and the click-through rate was 0.43%.

Within the six weeks, Amor achieved 41 conversions worth €2,585.62 and a conversion rate of 1.82% with an ad spend of €701.22. Return on Advertising Spend averaged €3.69 but also peaked at €11.54 in week six, outperforming the benchmark of comparable marketplace campaigns. For Douglas marketplace partners, the impressions are also free.

Campaign performance with Douglas
In the very competitive category of jewellery, the Amor Group took advantage of Sponsored Product Ads to achieve more visibility and used the “first-mover advantage” to achieve optimal placement. The marketplace strategy worked and within six weeks a huge turnover was achieved. The campaign will continue on an ongoing basis at Douglas.

Douglas Marketing Solutions advises its marketplace partners individually and develops its own marketplace strategy with each customer, which is continually optimised and adapted during the course of the campaign to enable the best increase in sales for the customer.

In doing so, the experts at Douglas Marketing Solutions always pay attention to the desired target group that is to be addressed and to a media recommendation that is tailored to the individual objectives of the brand. Campaign consulting as well as budget and format consulting are also part of the service and always aim to achieve an excellent result.

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