Creating an Amazon Advertising Strategy for Fashion Brands – Molzi

June 7, 2020

There is no denying it, fashion products on Amazon are becoming more and more popular as more traditional fashion are looking to the platform. In recent years, Amazon has released several features to make shopping for fashion more desirable, as well as investing heavily into their own fashion brands. However, with the vast number of clothing lines on Amazon, establishing brand presence on the marketplace can be difficult.

Creating an Amazon advertising strategy that works for your brand is a sure-fire way to begin to improve your search visibility. In short, creating sponsored ads allows you to jump the Amazon SEO queue and get your listings in front of consumers. Once shoppers begin to convert, this will help you build more relevance and climb the search listing ladder organically ultimately allowing your ASIN to build more momentum on the marketplace. We have put a list together to highlight our top 3 key things to keep in mind when building your bespoke Amazon advertising strategy.

Product selection

It is very tempting to consider advertising your full catalogue on Amazon, but doing so will be costly and the outcome may not be as desirable as you may want. It is better to start small and focus on a few select products to begin with and really make an impact on your sale conversions. To determine which products to advertise, it is a good idea to look at your budget, advertising cost, number of reviews and its retail readiness.

  • Budget – Consider how much you intend to spend on Amazon advertising. If you are working with a restrictive budget, this should help clarify how many ASINs to focus on, as to not dilute your advertising spend.
  • Advertising cost – Think about how costly the advertising will be in comparison to the sales. If you intend to spend more money on advertising than you believe the increase in sales will be worth, it might not be the right product to promote at this time. However, remember that a low ACOS (Advertising Cost of Sale) isn’t always a good thing.
  • Number of reviews – Products with a high number of reviews tend to do better than ASINs without any at all. If you have products that hold several good star reviews on Amazon already, it is likely that this ASIN will do well when advertised so should be considered. Additionally, it might be worth considering your bestsellers on your own site for advertising on Amazon as well.
  • Retail readiness – A retail ready product consists of a concise and relevant Product title, high quality images, clear bullet points and informative product descriptions. If your Softline product does not meet these criteria, it should not be considered for advertising.
Advertising strategy goals

Creating an advertising strategy for a fashion brand on Amazon is a complicated process. There are several considerations to reflect on which will help you determine your strategy goal. The key areas include:

  • Product status (bestsellers, low performers, new product launch, seasonal products)
  • Advertising funnel stage (awareness, interest, consideration, intent)
  • Budget (how much you intend to spend)
  • Brand presence (where your products rank organically)

By analysing these key areas, you will be able to create goals for your Amazon advertising strategy. For example, you may consider running an awareness campaign to boost a new product launch or equally advertise your bestsellers to further boost conversion and sales. Ultimately, by setting advertising goals you will refine the sort of ad campaigns you run and reduce wasted ad spend.

Additionally, it is worth considering the type of ad that you intend to use to help achieve these goals. There are two types of sponsored ads that fashion brands with a seller account can utilise in their advertising campaign on Amazon’s platform.

  • Sponsored Products – These ads drive Amazon consumers directly to a specific ASIN. They are typically shown above or below search results but can also be shown on other product detail pages. They are typically used to increase sales or awareness for the specific ASIN.
  • Sponsored Brands – Sponsored Brand ads highlight your brand rather than a specific ASIN by portraying your logo with some of your products. They are found above the result listing, work best with a Store page and can also be targeted via category or keyword. You may promote up to three of your products within your Sponsored Brand ad. They are typically used to drive awareness for the brand overall.
Bidding Strategy

After setting up the sort of advertising campaign you want to run and the ASINs you want to sponsor, the final step for fashion brands to consider the keyword bidding strategy you intend to use. Sponsored Brand ads tend to be easier to manage as sellers can only choose to turn off or on an automated bidding option.

However, Product Ads are much more complicated when it comes to creating a bidding strategy, there are 3 campaign bidding strategies to choose from:

  • Dynamic bids: down only – Amazon will lower your bids when your ad is less likely to convert. This bid is probably the safest of all 3 as Amazon will only decrease your default bid. It is therefore a great option for brands on a tighter budget or those concerned with a high Advertising Cost of Sale (ACOS)
  • Dynamic bids: up & down – Amazon will raise bids up to double your default bid when your ASIN is more likely to convert and lower it when it is less likely. This type of keyword bidding will maximise chances of your brand converting but at the cost of your Total Advertising Cost of Sale (TACOS)
  • Fixed bids – Amazon will not alter your bids despite the opportunity of increased conversion. This type of bid is the simplest to understand and allows sellers to hold full control over their sponsored product ad campaigns and know exactly how much they are bidding.

Sponsored Product ads can become even more refined when placement bidding is involved. Due to its recent addition to Amazon’s advertising dashboard, it is an under-utilised tool that fashion brands should consider as to gain a greater advantage over their competitors and their advertising strategy.

Placement bidding

Placement bidding allows advertisers to adjust their bids for the placement on an Amazon page. This applies to top of search and product pages but does not apply for the rest of search. This allows brands to further optimise their Amazon bidding strategy by allowing them to bid specifically for one of the key areas. Fashion brands should regularly check how their ads are running and edit placement bids accordingly to reflect an ad’s performance.

Need help with your Amazon advertising strategy?

It is too dramatic to claim that the high-street is dead, but there is weight to saying you should sell where your shoppers are. With Amazon’s clothing category becoming ever-more popular, it is high time to make sure that your brand is seen on the platform. We predict that Amazon will continue to get more competitive as the landscape for consumerism changes. Brands must be smarter and much more strategic to stay competitive now. They need to adapt their traditional marketing strategies to this new landscape and Amazon provides the answer.

However, from set-up to optimisation, Amazon takes time and skill to master. Brands of all sizes find investing in a full-service Amazon agency saves them time and resources. That’s time and resources they can spend improving internal processes and focusing on other areas of the business.


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