Why Retailers Should Diversify E-commerce Ad Platforms
As e-commerce evolves, businesses must adapt and diversify operations to remain competitive. While an online presence is crucial, relying solely on a single platform can limit customer reach and potential growth. Utilizing multiple channels, specifically Meta Advantage+ Shopping, Google Shopping, and Amazon Seller, will drive superior results. Leveraging the unique advantages of each platform helps businesses increase brand recognition, drive traffic, and ultimately boost sales.
What are the differences between Meta Advantage+ Shopping, Google Shopping, and Amazon Seller
Meta Advantage+ Shopping: Businesses can create a shop across Meta platforms and list their products for sale. Meta Advantage+ Shopping streamlines business operations across channels with Meta’s machine-learning technology, leading to improved return on ad spend (ROAS). The platform also expands its customer base through highly targeted advertising campaigns, typically resulting in more add-to-cart actions.
In 2022, a Colling Media retail partner experienced remarkable success using Meta’s Advantage+ Shopping feature. The campaigns delivered over 500% ROAS, a significant improvement from the 335% ROAS seen in 2021 when Advantage+ was not used.
In addition, the merchant saw a 95% increase in revenue and a 62% surge in purchases over the previous year.
By leveraging the power of AI technology, Meta’s Advantage+ enables retailers to optimize their advertising campaigns for the best results. The goal is to achieve lower cost per action, higher return on ad spend, and higher average purchase value for each user.
Retailers can improve campaign performance by combining Advantage+ product ads, videos, and sales promotions in the sales funnel. Furthermore, they gain valuable insights into which types of creative work best for target markets and segments.
Google Shopping: The shopping engine allows businesses to list products appearing in online search results, allowing advertisers to reach customers actively searching for products and providing advertising opportunities through Google Ads.
In 2022, a Colling Media retail partner had remarkable results utilizing a Google Shopping Target ROAS bid strategy. The bid strategy plays on conversion value by analyzing and intelligently predicting the value of a potential conversion every time a user searches for advertised products.
The bidding strategy produced over 600% ROAS, a substantial increase from the 400% return on investment in 2021. Additionally, the retailer saw an 80% increase in purchases compared to the previous year.
Retailers can utilize extensive user data and insights from Google to drive conversion rates through targeted and personalized shopping campaigns. Integrating Google services like mapping, email, and advertising enhances the customer experience and elevates their online shopping journey.
Measuring campaign success is crucial and can be done by monitoring key metrics such as cost per click, cost per conversion, conversion rate, click-through rate, return on ad spend, average order value, and impression share.
For optimal results, retailers should optimize product information with accurate, up-to-date descriptions and high-quality images, continually testing and refining their ad creative.
Amazon Seller: The most recognizable online marketplace for listing and selling products directly to consumers. Amazon Seller offers targeted advertising features, in-depth sales data analysis, and automation, giving businesses a competitive edge. Advertising features include sponsored products, brand sponsorships, cross-promotion, and ROAS tracking.
Sponsored products and brands can improve visibility across searches. Consequently, cross-promotion enables brands to suggest complementary products through features like Frequently Bought Together and Customers Who Bought This Item Also Bought, encouraging multiple-item purchases. By leveraging these Amazon features, retailers can enhance their product promotion efforts and increase overall sales.
To further optimize campaigns, the platform offers an automated bidding feature that allows retailers to adjust bids in real-time based on desired ROAS, making it even easier to optimize advertising campaigns.
Moreover, Amazon Seller offers a ROAS tracking tool that provides real-time dashboards with detailed insights on ad performance, including ad spend, clicks, impressions, and conversions. Retailers can identify top-performing products and adjust advertising efforts to drive even more sales.
Advantages of utilizing Meta Advantage+ Shopping, Google Shopping, and Amazon Seller
• Audience Reach: Having a presence on multiple platforms, businesses can reach more customers and a diverse audience, increasing potential sales and brand exposure.
• Customer Demographics: Each platform has its unique user demographic, so by using all three, businesses can target different customer segments and find the one most likely to purchase its products.
• Increased visibility: Selling products on multiple platforms increases the visibility and accessibility of the products to potential customers, providing a better user purchasing experience.
• Revenue Stream Diversification: Having a presence on multiple platforms can diversify revenue streams and reduce dependence on a single platform or sales channel.
• Advertising Opportunity: Each platform provides advertising opportunities to businesses, such as Amazon Sponsored Products, Meta Ads, and Google, which can help increase visibility and sales.
From Expertise to Efficiency: The Benefits of Having an Advertising Agency Run Your Meta Advantage+ Shopping, Google Shopping, and Amazon Seller Accounts
• Expertise: Having a team of professionals who specialize in advertising makes them experts in handling the complex and ever-changing landscape of e-commerce.
• Time-Saving: Running multiple e-commerce accounts can be time-consuming, especially for businesses with complex operational responsibilities. An agency can help take tedious tasks off your plate to help you focus on other areas.
• Scalability: As your business grows, so will its need for managing these accounts. Agencies can provide scalability and adapt to changing needs ensuring all ad accounts are effective even as the business expands.
• Strategy & Optimization: Agencies have a wealth of data and analytics to inform strategic decisions and optimize the accounts for better results. A data-driven approach can help businesses make better decisions and increase return on investment.
• Cost-effective: An agency performing the work for you can be more cost-effective than hiring a full-time, in-house team, as it eliminates the need for salaries, benefits, and other related costs.
Conclusion
Leveraging e-commerce platforms should be a priority for every retail business. Utilizing multiple e-commerce channels and integrated tools can maximize visibility, reach more potential customers and create distinctive advantages over competitors.