Beauty Independent Discusses Amazon in a Three-Part Series

Beauty Independent (www.beautyindependent.com), one of the best-known providers of beauty trends and predictions, launched a three-part series on Amazon last year (to get access to the Amazon Series and other Beauty Independent editorial pieces, you must be a subscriber or register on its site).   In Part Two of the Series in July 2020 (you can find the article here), Beauty Independent Founder, Nader Naeymi-Rad compared 1P vs. 3P – the primary Amazon business models that brands use when selling on its marketplace. The article highlights that a majority of Beauty products are sold via 3P – which allows brands more control over price and content and is the model Market Defense employs for all of its beauty clients. The article also quotes skyn ICELAND’s CMO, Kelley Martin, who shares her experience on the platform.  skyn ICELAND is a Market Defense client that has seen its Amazon business skyrocket in 2020.  

“We are very pleased with our Amazon business, it’s been an opportunity to reach a new consumer and build incremental business,” says Kelley Martin, CMO of skyn ICELAND, a skincare brand that’s been selling on Amazon for over three years. “[We’ve had]  double-digit revenue growth in past year, with acceleration post-COVID. Amazon is one of our priority growth channels.”

  In Part 3 of the Amazon Series in November 2020, Claire McCormack, Beauty Independent Journalist, discusses the various advertising options on the platform.  The article (which you can access as a subscriber here) outlines Amazon’s suite of advertising tools that can now be utilized on amazon.com, Amazon-owned web properties, apps and even non-Amazon websites.   Market Defense includes advertising as a key component of its full-service offering, given its importance in driving brand and product awareness as well as protecting brand and product keywords on Amazon search.  Given his years of experience with Amazon, our Founder & CEO, Chad Annis is quoted on best practices around advertising spend.  

Chad Annis, CEO of Amazon agency Market Defense, is able to see results with a smaller percentage of sales put toward advertising. On a recent webinar with BeautyMatter, “How Prestige Brands Win on Amazon”, he shared:

“Depending upon the brands budget, we spend between 5% and 10% of a brand’s topline on a whole host of sponsored ads and pay-per-click banner ads. It depends on the brand. We have brands from overseas that aren’t well known on Amazon that do better with 90% of their spend on banner ads and sponsored ads, others that do 50/50 with pay-per-click.”

 

Kelley Martin, CMO of skyn ICELAND, ends the article by saying:

  Amazon ads are “one of our highest ROI marketing investments this year.”
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