Client
International Skincare Brand Sold at Sephora / HSN / Violet Grey
Business Challenge
This prestige brand had luxury pricing and a strict MSRP policy but was faced with 200+ discounting resellers on Amazon. The resellers were shipping testers & deluxe samples to unsuspecting brand loyalists expecting full size products, and the client was concerned about brand equity erosion. The internal team had zero background in the Amazon maze.
Goal
Deliver brand protection and a profitable growing Amazon channel to impress Private Equity investors.
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“Market Defense has cleaned up our Amazon marketplace, significantly reduced product discounting, increased Amazon revenue growth and leveled the playing field for all accounts – critical for total brand growth. Well done.”
Approach
In 120 days, Market Defense removed 90% of the resellers and provided the brand the identity of the diverters so they could address the leakage within their distribution chain. Once the account was clear of resellers, the brand shifted their goals to acquiring a new customer and growing profitably.
Results
- 30% conversion increase after A+ Content on brand product Pages.
- 19% additional revenue from storefront.
- 387% increase in positive customer reviews.
- Increased sales 267% in 2 months – now their #1 SKU is a “Top 10 Category Best Seller.”.
- Brand retains a 60%+ of margin making it their most profitable channel of all their retail channels.
- Exceeded Private Equity investor expectations helping to finalize acquisition by P&G in less than 2 years of taking over the Amazon channel.
