"Measure the Value of Advertising’s Impact Through Amazon’s “New to Brand” Metrics"

Mansi Bhimani, eRetail Director

Amazon announced the launch of its “New to Brand” campaign reporting metrics, which will help in determining whether an ad-attributed purchase was made by a current customer or from a customer who had not bought a product from the advertised brand in the last 12 months on Amazon.

New to Brand Metrics

New to brand (NTB) metrics are available to Sponsored brands, display and video advertisers worldwide. This will help advertisers to measure campaign performance based on the effectiveness of new user acquisition.

The purchase is characterized as “New-to-brand” if the product purchased from the brand on Amazon was a first time buy action over a moving 1-year lookback from the present date. It accounts for all the purchase activity on Amazon and not simply that are ad-attributed.

The advertisers/ brand owners will now have the ability to:

  • Optimize campaigns to acquire new customers or drive loyalty from existing customer
  • Evaluate the scale and cost to acquire new customers
  • Plan future marketing strategies to efficiently acquire new and reach your acquisition goals

Advertisers will be able to see campaign performance metrics like:

  • New-to-brand Orders The # of orders of promoted products purchased by new-to-brand customers on Amazon after clicking on an ad.
  • Percentage of orders new-to-brand. The percentage of total orders of promoted products purchased by new-to-brand customers on Amazon after clicking on an ad.
  • New-to-brand sales The sales (in local currency) of promoted products purchased by new-to-brand customers on Amazon after clicking on an ad.
  • Percentage of sales new-to-brand The percentage of total sales (in local currency) of promoted products purchased by new-to-brand customers on Amazon after clicking on an ad.

New-to-brand metrics are available as optional columns within campaign performance dashboards. It is also available in downloadable reports for display and video advertisers (Coming soon for Sponsored Brands). These are available in the Customize columns drop down for Sponsored Brands. This will help the advertisers identify the most efficient channels and tactics to achieve their campaign goals and uncover optimal strategies to grow and retain their customer base.

Keep in mind that the new-to-brand data is available from November 1st, 2018 for display as well as Sponsored brands advertisers. Selecting a date range prior to November 1st, 2018 will produce no data or result in incomplete or inaccurate data.

Overall, the new- to- brand metrics are incredibly important if an advertiser wanted to see how efficient Amazon was to win new customers.

The new-to-brand metrics will not only help Amazon expand its appeal as an advertising platform and enable marketers to develop brand awareness, but will also be appealing to major brands (focusing on brand building search, e-commerce and social marketing) as well as smaller brands (seeking ways to increase their customer base).

However, there are certain shortcomings associated with the new-to-brand metrics:

  • These new-to-brand metrics are only available for Sponsored Brands, Display and Video ads. These are not available for Sponsored products, which is one of the most preferred ad tools among advertisers. Especially because sponsored products ads is less expensive than other ad formats and is a powerful tool for driving discoverability and incremental sales for Amazon sellers.
  • Currently, because of the lack of brand name, there are gaps with digital ASIN’s. An Amazon seller who sells digital products (e.g. movie rentals, subscriptions, applications or other non-physical goods) may lack brand name and a sale will be included in the reporting if the product sells. If most of your orders are from digital ASIN, your results may be misleading. It is therefore not advisable to use new-to-brand metrics if you have a fair amount of digital ASINs until the issue has been resolved.

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