If you're a beauty brand who sells on 𝙐𝙡𝙩𝙖 𝙤𝙧 𝙎𝙚𝙥𝙝𝙤𝙧𝙖 and you're running Google Ads, I have a tip that can save you a lot of money ⚡️

TLDR:

- Don't overspend on inflated brand cpcs

- Reallocate spend to new customer focused campaigns

𝗧𝗵𝗲 𝘀𝗶𝘁𝘂𝗮𝘁𝗶𝗼𝗻:

One of the most exciting days for your brand is when you get to partner with Ulta or Sephora.It's a big step up in the industry and it holds a lot of clout.You are so excited to expand into brick and mortar, to get more name recognition, to get network distribution, & to grow revenue!The partnership has a lot of pros

📈𝗧𝗵𝗲 𝗽𝗿𝗼𝗯𝗹𝗲𝗺:

Almost overnight, Ulta or Sephora start bidding on your brand keywords & showing up in the Shopping auction. They sell your product(s) now so they have a right to show ads on Google.A few months go by and you realize that your branded cost per clicks go from $0.50 to $2.50.All of sudden you're paying a BIG premium 💰 just to get that same user to your site that was 4x cheaper last quarter.On top of that, you start running traffic campaigns to Ulta or Sephora to show that you're invested in the relationship.

Your Google Ads account goes from focusing on new customer growth to brand capture and traffic campaigns🙅🏼You might find yourself spending 60%-80% of your monthly budget just to capture the people who are already searching for you. That could be double or triple the amount you were spending on branded terms pre-retailer.

ROAS still looks decent but you're left wondering why new customers & profit are decreasing. 👎🏻 Make no mistake about it, this type of change in your account can cost you tens of thousands of dollars every year.

𝗧𝗵𝗲 𝘀𝗼𝗹𝘂𝘁𝗶𝗼𝗻:

You have to transition your Google Ads account back to focusing on new customers acquisition.To do that, you have to control your brand cost per click across Google Search & Shopping. 👉 Set a cpc limit by switching your brand bid strategy to Target Abs. Top Impression Share with a bid cap. (ex. 80% - 90% Top IS with a $1 cpc)

👉 Ask your retailer if they will implement a bid cap as well. A simple email can go a long way.

👉 Use the money you save on brand campaigns and reinvest it in non-branded search & shopping.

𝗣𝗿𝗲𝗱𝗶𝗰𝗮𝘁𝗶𝗼𝗻:

Run that test for 4 weeks and review your clicks, cost, conversions & revenue. My predication is that you'll see a drop in branded impression share. Branded search clicks will probably stay the same, maybe dip 5% - 10%, but you’ll be paying 50% less cpc.By forcing Google's CPCs down, you stop paying a premium for your own customers.

Remember, there are a lot of benefits to partnering with Ulta & Sephora. There is a right way & a wrong way to run paid media that is beneficial to both the marketplace & your own brand.If you need any help with Google Ads, please don't hesitate to reach out to me 🐸