Good morning,
ICYMI Meta decided to remove detailed targeting exclusions from ad campaigns after discoveringā¦ ads actually perform better without these exclusions. š
Read the full story in our news section!
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Hereās what youāll find in todayās DTC:
āļø We analyze Gucciās recent email campaigns and what makes their templates so great.
š° Why you shouldnāt sleep on selling on Amazon if your brand wants great returns.
ā” Andā¦hereās a trick to get more customers to convert on your site.
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Youāre reading this newsletter along with new subscribers from: G Street Fabrics, East Fork Pottery, and Luscombe. š
š¤ Whatās AIās Role In Ecommerce?
Is AI getting smarter? Absolutely. Can it do some things really well? 1000%! Does it have the human element needed to connect with your audience? Not alone.
The question then becomes: How can you implement AI into a process that still very much needs that human touch?
From refining data analysis and streamlining production workflows to enhancing product galleries and crafting compelling copy, Eko will show you how to use AI as your assistant.
Learn your role and AIās role to strike the perfect balance of human intuition and tech. Plus, read the three things you can start doing with AI tomorrow. š
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A wellness brand joined Pilothouseās brand accelerator, Pilot Program, dreaming of growthā¦ šš
The team strategized using their time-tested and data-backed tactics, took over the brandās campaigns, rebuilt their creative approach, and geared up to see the brand crush its goals.
And crush they didā¦
An 80% increase in ad spend, coupled with a ROAS and AOV improvement, yielded a 155% increase in revenue! š„
Q4 is just around the corner, and Pilot Program has limited slots remaining for brands looking to achieve results like these.
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š¤© Analyzing Gucciās Email Templates
If you want to improve your email designs, look at what the industry leaders are doing in your niche for inspiration.
For those in the luxury fashion space, designer apparel brand Gucci sends out stunning and minimal mailers that weāre betting convert very well.
Just because you have a strong brand doesnāt mean you donāt need to put effort into your emails.
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Here are two examples of Gucciās recent mailers:
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Letās analyze what makes these emails so great: š
1ļøā£ Strong hero image: Let imagery do the marketing.
Strong lifestyle and model imagery are eye-catching and do a great job of āsellingā the product.
Gucci leverages these in their email sends to transport their audience to an exotic location and provide styling inspiration.
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2ļøā£ Minimal copy: A heading and a few sentences of copy are effective for email.
Save your lengthy copy for your website and blog posts.
Gucci's email copy is very succinct, which goes well with its positioning as a luxury and elegant brand.
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3ļøā£ Full-width CTA buttons: As subscribers scroll down, a simple hyperlink takes users to Gucciās PDP pages.
The full-width button also makes it very mobile-friendly for older users.
ā Email tip: Watch out for how emails appear in dark mode.
Some users prefer to view mailers this way, but it can also affect how background colors appear on the screen.
Instead of a pitch black color, it can be an off-black, so make sure that doesnāt render your dark grey text invisible!
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The takeaway?
Research industry leaders in your niche to get some ideas for your email template.
Strike a balance between aesthetics and performance. Keep your email templates simple, so itās easy to edit and scale your sends during high-intent shopping periods.
Consider your audience's preferences, such as viewing emails on mobile and using dark mode over light, to inform your email design choices.
š° Why You Should Spend Your Marketing Dollars on Amazon
Where should your next marketing dollar be spent, and why is it Amazon?
The golden question for any omnichannel DTC brand is: Where should your next marketing dollar go to get the best return?
Every digital platform has its perks. Directing customers to your DTC site lets you capture that critical email address for future marketing. Plus, Amazon charges a hefty 15% referral fee on every sale! š”
So why on earth would you spend your precious marketing dollars there?
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Hereās why: Amazon has insane purchase intent and conversion rates.
For an established brand in the CPG space, advertising at the top of a relevant, high-volume keyword can net a 15-25% conversion rate! Thatās not a typo.
Across multiple CPG brands, about 1 in 5 shoppers typically convert on prospecting campaigns. However, CPCs to land those top of search positions on those keywords often exceed $3-5 at a minimum. š³
For many CPG brands, prospecting on Amazon Sponsored Ads will net the best new customer ROAS of any channel ā and typically by enough margin to overcome the loss of customer email + referral fee ā especially when pushing them to subscribe and save.
But what about non-CPG brands or higher-ticket items? Higher-priced products usually have a lower CVR, but even $60-80+ items can see a 15-20% CVR if competitively priced. Products less likely to be repeat purchases often have lower click costs.
Still, acquiring new customers via DTC seems better since you can remarket to them, right? True, from a risk mitigation standpoint.
But š donāt š sleep š on š Amazon š organic.
Ranking high for your prospecting terms on Amazon can lead to significant returns without additional spending. In some niches, brands even take heavy losses to gain that precious ranking: How Zulay Kitchen lost $327K.
In dozens of audits Pilothouse completed of brandsā Amazon advertising suites, weāve rarely seen a brand whose next marketing dollar wouldnāt be best spent on Amazon prospecting.
Yet many brands continue to drive their Amazon ad dollars towards over efficiency via automation and ignore the incredible growth potential of the platform. Through appropriate segmentation and targeting, Amazonās Sponsored Ads should be your most efficient new customer acquisition channel.
š IN THE SOCIAL SPHERE
Trying to gain more conversions with a discount?
Donāt forget to show it front and center during the online shopping experience so customers feel compelled to buy and click the order button!
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DTC Newsletter is written by Rebecca Knight and Frances Du. Edited by Eric Dyck.
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