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The $200K Profit Surge: Transforming a Premium Supplement Brand

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Profit Whales Team on Jul 08, 2024 in Case Studies

Data

Project Brief

This project focuses on the production and sale of a premium line of dietary supplements. The product range includes categories such as Immune System Support, Respiratory System Support, Digestive System Support, Nervous System Support, Body Detox, Cramp Defense, Hair, Skin & Nails, Vitamins, and Brain Boost. Each supplement is designed to provide consumers with effective and natural solutions to enhance their daily lives.

 

Problem

The main issue was the untapped potential of the products. There was minimal advertising and insufficient focus on positioning. Despite having a high-quality product range, the brand struggled to achieve significant market visibility and sales. Initial advertising efforts were not yielding the desired results, leading to underwhelming performance in a competitive market. We identified key areas for improvement, including graphical content enhancements and targeting adjustments based on the specific needs and preferences of the target audience.

 

Solutions

To address these challenges, we implemented a Zero-to-Hero structure. Our approach included:

  1. Keyword Optimization:
    • We tracked high-frequency keywords and focused on ranking them at the top.
    • Implemented targeted PPC campaigns to enhance visibility for these keywords.
  2. Competitor Analysis and Targeting:
    • Launched advertising campaigns targeting competitors who were driving external traffic.
    • Leveraged the external traffic from two major competitors, which now contributes about 30% of all Amazon sales for the main product.
  3. Content and Creative Improvements:
    • Provided recommendations for improving graphical content to make the listings more appealing.
    • Made minor adjustments to align the content with the preferences of the target audience.

 

Results

Since we began managing the account in January 2023, the advertising sales have seen dynamic growth. Initially, peak sales reached $98,000 per month. Currently, sales have surpassed $300,000 per month. Notably, this growth was achieved without an increase in the Advertising Cost of Sales (ACOS). Throughout this period, we have maintained the bestseller status for the main product. The initial monthly profit was around $70,000, which has now exceeded $200,000.

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Next Steps

To sustain and further accelerate growth, our next steps include:

  1. Expanding Advertising Placements:
    • Launch Sponsored Brands (SB) ads with new creative content to capture more advertising placements.
    • Explore new advertising opportunities on Amazon to increase visibility.
  2. Leveraging External Traffic:
    • Begin working with external traffic sources, particularly from the TikTok channel, to drive additional traffic to the Amazon listings.
    • Develop and implement a comprehensive external traffic strategy to support ongoing sales growth.
  3. Continuous Optimization:
    • Continue to refine keyword strategies and bid management to maximize the efficiency of PPC campaigns.
    • Regularly update and enhance graphical content to stay aligned with market trends and consumer preferences.

 

Bottom Line

Through targeted strategies and continuous optimization, we successfully transformed a struggling premium dietary supplement brand into a top performer on Amazon. By focusing on high-frequency keywords, leveraging competitor traffic, and enhancing content, we achieved substantial sales growth and maintained profitability. This case study highlights the effectiveness of a well-rounded approach to Amazon advertising and the potential for significant market impact when leveraging targeted PPC strategies and external traffic sources.

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