SexyHair Amazon Marketing Cloud Case Study How AMC Lifted ROAS by 158%

The Power of Precision: How SexyHair Achieved a 158% ROAS Lift with AMC Lookalike Audiences

In the crowded world of beauty retail, simply having a great product isn't enough. Brands need to connect with the right customers at the right time. SexyHair, a professional hair care brand, faced the challenge of optimizing its Amazon non-branded sponsored ad spend to reach high-value shoppers.

The solution? A sophisticated, data-driven approach leveraging Amazon Marketing Cloud (AMC).

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The Challenge: Moving Beyond Broad Targeting

As SexyHair expanded its presence on Amazon, its broad targeting for non-branded ads led to inefficient spending, reaching a wide audience without a clear focus on those most likely to buy. The brand needed a way to pinpoint and engage new shoppers who shared the characteristics of their existing, high-value customer base.

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The Strategy: A/B Testing with AMC Lookalike Audiences

Partnering with the agency Acadia, SexyHair embarked on a campaign to revolutionize its non-branded strategy. The core of the strategy was a controlled A/B test using AMC's advanced analytics.

• Audience Creation: Acadia used AMC to analyze SexyHair's existing customer data and build a lookalike audience based on their high-value buyers.
• Campaign Execution: Two campaigns were run simultaneously: a control campaign with standard non-branded targeting, and a duplicate campaign that included the AMC lookalike audience as a targeting layer.
• Strategic Bidding: Bids were strategically managed to maximize reach within the high-value lookalike segment.

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The Results: Unlocking Exponential Growth

The precision of this approach paid off significantly. By focusing on the high-intent lookalike audience, SexyHair was able to dramatically improve campaign performance.

• 158% ROAS Lift: Reaching new audiences with the AMC lookalike audience lifted Return on Ad Spend by an impressive 158%.
• 51% Decrease in CPC: Strategic bid management and audience refinement drove a 51% decrease in cost per click.
• 27% Improved Conversion Rate: This insights-driven approach improved the conversion rate by 27%, proving that a targeted strategy not only saves money but also turns more browsers into buyers.

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MediaAMP’s POV: The Future of Retail Media is Strategic

This case study is a perfect example of what is possible when brands move beyond basic ad management and embrace advanced analytics. At MediaAMP, we believe in a strategic approach that turns data into tangible growth.

The democratization of tools like AMC means that all brands can now access the deep insights and precision targeting once reserved for the largest advertisers. Our role is to help you leverage these tools to build a full-funnel strategy that maximizes every ad dollar. We don't just manage campaigns; we use sophisticated analytics to find your most valuable customers, optimize your spend, and drive measurable, profitable growth.

This video provides additional context on the powerful capabilities and actionable use cases of Amazon Marketing Cloud.