Hair Care, the second largest sub-category in Beauty, posed challenges due to market saturation and high CPCs. To achieve scale and discoverability for the brand, profitability had to be balanced whilst engaging in-aisle/competitor shoppers, emphasizing education and awareness.
The DSP campaign was launched with an audience-first approach, focusing on three key strategies: Retargeting (ROAS), Prospecting (Sales), and Competitor (NTB). Audience targeting included interest-based targeting, lookalike audiences, competitor views, cross-selling from product A – B, and re-engaging lapsed customers. Initially, Responsive E-Commerce Ads were used, followed by custom imagery to strengthen brand awareness. In April, the Sponsored Ads strategy was introduced, utilizing Sponsored Products, Sponsored Brands, Sponsored Brands Video, and Sponsored Display Video. The budget allocation was as follows: 31% on Branded, 54% on Non-Branded, 8% on Competitor, 2% on Prospecting, 1% on Retargeting, and 3% on Run of Site.
The DSP campaign since July 2022 has delivered an average ROAS of £9.21 (88% above MS) and an NTB rate of 64% (vs 48% MS) and exceeding the beauty benchmark (£2). Sponsored Ads achieved a 10.93 ROI (55% increase MoM), maintaining over a 60% NTB.
211% increase in branded searches YoY (SA & DSP)
471% increase in ad sales since launch (DSP)
55% increase in ROAS MoM since launch (Sponsored Ads)