Re-Engaging Cart Abandoners with Amazon Marketing Cloud Audiences
The Challenge
The Honest Company, a digitally-native consumer products company dedicated to creating clean- and sustainably-designed products spanning baby care, beauty, personal care, wellness and household care, does a significant portion of their business through Amazon. With nearly a fifth of their 2022 total revenue coming from Amazon, it is critical that the brand ensures this channel is supported and nurtured.
In the summer of 2023, the Tinuiti team identified a crucial gap in The Honest Company’s sales funnel on Amazon. From April to July of 2023, nearly 25% of customers who added an Honest Company product to their Amazon shopping cart did not complete their purchase. This represented $1.5 million in potential revenue – a huge opportunity for re-engagement.
However, The Honest Company had no way to specifically target these individual customers to encourage them to complete their purchases. So Tinuiti stepped in to help.
We really leaned on Tinuiti’s expertise with Amazon and Amazon Marketing Cloud – and it came through in a big way. It was immediately apparent they fully understood what this tool is capable of. Within just a month of strategic setup, they enabled us to reach the customers we needed to reach, driving new business significantly up and reducing our costs at the same time.
Lauren Wood
Senior Director of Sales, Amazon for Honest
Results
+172%
Return on Ad Sales (ROAS)
-65%
Cost-Per-Acquisition of new-to-brand customers
-55%
Cost-Per-Acquisition of Subscribe-and-Save signups
*versus campaign averages
How We Did It
Tinuiti’s media team partnered with The Honest Company to leverage Amazon Marketing Cloud (AMC)’s custom audience-building capabilities.
To drive up conversion rate, Tinuiti’s AMC tech organized and built AMC audiences by product category (Diapers, Wipes, and Personal Care) to target cart abandoners in the last 30 days. Building audiences by these specific categories ensured customers only received ads that were relevant to them.
With audiences built, Tinuiti created product-specific Display ads tailored to the specific categories. Subscribe-and-Save options were also highlighted to maximize the potential lifetime value of these conversions.
Once the campaign went live, its value immediately shone. Within the first month of launch, it drove a much higher rate of return from re-engaged customers. This effort also pushed a slew of first-time Honest customers across the finish line, reducing the cost per acquisition of these new-to-brand customers by nearly two-thirds.
Since achieving this success, The Honest Company has collaborated with Tinuiti on building upon these stunning results – expanding across audiences into Sponsored Clicks, Keyword Searches, and additional ad exposure – and they’re still ecstatic with this campaign’s given ability to acquire new, high-value customers for less than $1.
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