ACOS and TACOS correlation analysis
Conduct in-depth ACOS and TACOS correlation analysis, providing insights into campaign effectiveness and incremental sales generation.
Objective
Conduct an in-depth analysis of the correlation between Advertising Cost of Sales (ACOS) and Total Advertising Cost of Sales (TACOS) to gain crucial insights into campaign effectiveness and incremental sales generation. This analysis helps advertisers understand if their advertising efforts are truly driving additional sales or merely cannibalizing organic sales. By examining the relationship between ACOS and TACOS, advertisers can optimize their strategies to maximize the impact of their ad spend and ensure they're generating incremental revenue.
Key benefits
Incremental sales identification
Optimized ad spend
Cannibalization detection
Budget allocation refinement
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How it works
Analyze correlations between ACOS and TACOS across online retailers and marketplaces to identify incremental sales. Detect potential organic sales cannibalization and optimize budget allocation for maximum ROI on Amazon and other marketplaces.
Data collection and integration
Use mimbi COLLECT to import comprehensive advertising data (spend, impressions, clicks) and sales data (both attributed and total sales) from various retail media platforms and marketplaces. Ensure data is collected for a significant time period to account for seasonal variations and long-term trends.
ACOS and TACOS calculation
Leverage mimbi TRANSFORM to calculate ACOS (Ad spend / Attributed sales) and TACOS (Ad Spend / total Sales) for different time periods, product categories, and campaigns. Create time series data for both metrics to enable trend analysis.
Correlation analysis and visualization
Perform statistical correlation analyses between ACOS and TACOS. Create visualizations such as scatter plots, line graphs, and heat maps to illustrate the relationship between these metrics over time and across different segments of your business.
Insight generation and strategy formulation
Gain actionable insights and automatically adjust campaign strategies. For example, identify campaigns or products where ACOS and TACOS are closely aligned (indicating good incremental sales) and those where they are diverging (indicating potential cannibalization of organic sales), and adjust budget accordingly.
Marketplace sales lifetime value calculation
Avoiding wastage on out-of-stock products
Smart ad management for product variations
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