How to Use Spark Ads to Send TikTok Traffic to Amazon

Oct 19, 2022 12:00 AM EDT

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Key Discussion Takeaways:

As TikTok surges in popularity, brands are looking to capitalize. However, advertising on TikTok is more difficult than it seems. The platform’s algorithm is less conducive to engagement than other platforms, leading to diminished ROI. So, what tools can you leverage to drive traffic to your Amazon storefront?

Spark Ads are a native ad format that organically exists next to regular content. They are also better equipped for engagement and conversion, making business’ ad spend go further. When utilizing these ads, it’s important to create content that engages your target audience. 

In this virtual event, BWG Connect hosts Patrick Quaggin-Smith, the Emerging Channels Lead at Perpetua, to go through the advantages and challenges of Spark Ads for TikTok. He discusses the emerging format and how brands can properly leverage it. He also talks about expectations for daily spend, tailoring content for engagement, and using TikTok’s data to your advantage. 

Here’s a glimpse of what you’ll learn:

  • What are Spark Ads and what makes them different? 
  • How Spark Ads target your audience effectively
  • Using TikTok’s endless data to your advantage
  • The best way to tailor your content to optimize engagement
  • Why TikTok ads for Amazon pages didn’t work well initially
  • Assessing the cost and value of Spark Ads
  • What is an ideal daily budget for Spark Ads on TikTok?
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Event Partners

Perpetua

Perpetua is a SaaS tool that uses AI powered automation in order to improve digital growth via Advertising performance across a variety of marketplaces & platforms.

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Guest Speaker

Aaron Conant LinkedIn

Co-Founder & Managing Director at BWG Connect

Aaron Conant is Co-Founder and Chief Digital Strategist at BWG Connect, a networking and knowledge sharing group of thousands of brands who collectively grow their digital knowledge base and collaborate on partner selection. Speaking 1x1 with over 1200 brands a year and hosting over 250 in-person and virtual events, he has a real time pulse on the newest trends, strategies and partners shaping growth in the digital space.

Patrick Quaggin-Smith LinkedIn

Head of Partnerships at Perpetua

Patrick Quaggin-Smith is the Emerging Channels Lead at Perpetua, a company that helps brands, media agencies, and Amazon sellers improve performance through AI-powered automation. Before taking on his current role, Patrick was an Account Executive at Perpetua and helped grow both the team and customer count. Patrick is also a Business Analyst for Mannin Research and studied economics at Northwestern University. 

Event Moderator

Aaron Conant LinkedIn

Co-Founder & Managing Director at BWG Connect

Aaron Conant is Co-Founder and Chief Digital Strategist at BWG Connect, a networking and knowledge sharing group of thousands of brands who collectively grow their digital knowledge base and collaborate on partner selection. Speaking 1x1 with over 1200 brands a year and hosting over 250 in-person and virtual events, he has a real time pulse on the newest trends, strategies and partners shaping growth in the digital space.

Patrick Quaggin-Smith LinkedIn

Head of Partnerships at Perpetua

Patrick Quaggin-Smith is the Emerging Channels Lead at Perpetua, a company that helps brands, media agencies, and Amazon sellers improve performance through AI-powered automation. Before taking on his current role, Patrick was an Account Executive at Perpetua and helped grow both the team and customer count. Patrick is also a Business Analyst for Mannin Research and studied economics at Northwestern University. 

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Discussion Transcription

Tiffany Serbus-Gustaveson  0:18

Happy Wednesday everyone. I'm Tiffany Serbus-Gustaveson, a digital strategist for BWG Connect and we are in network and knowledge sharing group, we stay on top of the latest trends, challenges, whatever that might be shaping the digital landscape, we are on track to do at least 500 of these webinars this year due to the increase in demand better understand everything digital. And we will be doing at least 100 in person small format dinners this year as well. So if you happen to be in a tier one city, feel free to shoot us an email and we'd be happy to send you an invite. These dinners are typically 15 to 20 people having a specific discussion around a digital topic, and it's always an awesome time. So definitely reach out if you have been to Wednesdays. So we spend the majority of our time talking to brands to stay on top of the latest trends, challenges, we'd love to have a conversation with you. So feel free to send me an email, Tiffany@bwgconnect.com. And we can get some time on the calendar. These conversations are very important because it's how we generate the topic ideas that we know people want to learn about. And it's also where we gain our resident experts such as Perpetua who's here today. So anyone that we do ask him to teach the collective team has come highly recommended from multiple brands within our network. So if you're ever in need of any recommendations within the digital space, feel free to reach out we have a shortlist the best of the best. And we'd be happy to provide that information to you. Now, so we know that a lot of people are hiring right now. So do note that we have a talent agency BWG Talent that we'd be happy to put you in contact with as well. So a few housekeeping items. We want this to be fun, educational, conversational. So put those questions in the q&a and or the chat you feel more comfortable, you can always email me personally at Tiffany@bwgconnect.com, we'll be sure to get to them. And we will be doing a 30 minute session. So we're going to be jumping right into the information. And we'll end around the 30 minute mark. So with that, let's rock and roll and learn how to use Spark Ads to send TikTok traffic to Amazon. The team our Perpetua has been awesome friends in the network for years now. So I'm going to kick it off to you, Patrick, if you could introduce yourself, and then we'll dive into your information. That would be

 

Patrick Quaggin-Smith  2:27

Awesome. Yeah, thanks, Tiffany. Everyone, nice to meet everyone on this webinar. I'm Patrick, I lead emerging emerging channels here at Perpetua. emerging channels can mean basically anything here. So from TikTok, Walmart, Instacart, Google editorial traffic, etc. I'm super excited today to talk about Spark ads. For those of you who don't know, Spark ads, we're going to do a quick 101, around what Spark ads are, how your brand can begin using them. But also more interesting to me is kind of cracking attribution from external traffic, and such as TikTok and being able to actually attribute how that's influencing your growth in your sales on Amazon. It's been a topic of conversation for many years now. And Amazon themselves have released a bunch of exciting updates through some new things such as seismic and Amazon Marketing Cloud, that make it easier and easier to determine, you know, how your media mix is actually influencing purchase behavior on Amazon. So it's a really exciting time and topic for me to be discussing. But to kick it off, I just wanted to kind of brief everyone on what you think of when you think of like influencer marketing back in like the OG days of influencer marketing you know, a sufficient to connect with an influencer, get them to post a video and have it you know, and have a LinkedIn bio and be able to generate sales and traffic. Um, well, the content has changed, so has the influencer landscape. As influencer marketing became more and more popular, more and more influencers came out. And it's very difficult to be able to, you know, reach a large audience easily using influencers these days. Luckily for us, the ad the social media platforms such as TikTok have gone out and created a bunch of really great ad units that help us expand our brand awareness and brand message very, very easily. So first things first, like what is a TikTok Spark ad. So TikTok Spark ad is an organic video or seemingly organic video that appears in a TikTok for you page as a user is scrolling. So I don't know how many people use TikTok I recently got onto TikTok maybe six months ago, as we as we began to build out our TikTok practice just to be able to get in the know but um, the only thing that indicates that this is a Spark ad is the little sponsored logo that you can see below the caption. So everything Now this looks organic, it's the same video that appears on the influencers feed it has there it comes from their user profile. So it looks very, very organic. And it just appears kind of periodically once at most per user. For those who are targeted. Why Spark ads are really exciting is out again, don't know how many of you use TikTok, but most, most videos aren't clickable. So you can't pin a URL in the comment section of an organic video, there's basically no way to get someone to a page are off TikTok. using organic content, the only way to be able to drive people to specific pages is through Spark ads or other AD AD types on TikTok. So what's great about Spark ads is these videos look and feel organic compared to the other ad units, but also allow you to have call to action that can bring customers and people to destinations that you want to bring them. So really, really effective by looking native in terms of content, but also really effective, because it's the only videos that people can actually click and interact with, and end up at a new destination. Another reason why I think they're great is the ability to target. So targeting is a really important piece of running successful Spark ads. So I wanted to break down kind of a targeting one or one of what you're actually able to do when you launch some of these ads. So the first kind of setting that you're able to choose within a TikTok Spark ad is where you want the placements to appear. Here you'll see that they have a bunch of off Amazon placements. So this ad actually only has one but sometimes you see up to four different off TikTok placements, I highly recommend disabling all of these different placements, this traffic is not as good, the videos don't appear organically, they'll just take that video and post it into these different feeds, tends to perform nowhere near as close to as well. So by just selecting the TikTok placement, you're going to ensure your ads are only ever appearing in the for you page. So something that makes it really easy to spend a lot of money and efficiently is by having these all selected. So first things first, make sure you're targeting TikTok placements only. Second is very typical, like location, gender, age languages, as well as household income. So you can go all the way down to the city level with the location targeting. Additionally, with household income, it's based on percentiles. So depending on you know, your product and your product type, if you know kind of typical demographics of people who buy, I strongly suggest getting as granular as possible using the settings. So something that we like to do is one finding the cities where things are trending, and then to age and household income. Also a good factor and good indicator of how things are performing. A quick cheat code for how we actually build our audiences, is leveraging Amazon's Audience Insights data. So for your brand and for your products, you're actually able to get this data directly from Amazon. So household income, age, location, all of that is available for you, very easily exportable. Before you watch these ads, take a look at this data. And you're able to basically map this directly into TikTok very easily. I'm sure it's also great to test new audiences. So maybe you think your products already selling well. And you want to test in like a younger demographic or things like that. totally doable, but your bread and butter is going to be targeting people who already are buying your product. So definitely recommend taking advantage of the data that you're getting from Amazon and using that to kickstart your targeting on TikTok. The most

 

Tiffany Serbus-Gustaveson  8:58

isn't it easy integration?

 

Patrick Quaggin-Smith  9:04

So we're a software company for those who don't who don't know, Perpetua. So we integrate this data directly. So you know, through the API, you can change all of these demographic targeting. So we can just automatically pull your Amazon data and apply those settings to your TikTok targeting. But other than that, it's fairly easy to download through the Amazon Seller Central or vendor Central. And then from there, you can just kind of have it open and maybe, you know, just apply it manually if you're running these ads through TikTok direct.

 

Tiffany Serbus-Gustaveson  9:37

Good to have It's for 1pm 3pm. Yeah.

 

Patrick Quaggin-Smith  9:42

The part of the targeting that I find most interesting is the ability to target based on TikToks own lumpy data. So additionally, when you're building these audiences, they give you three different types of TikTok specific targeting, that you're allowed to leverage. So the first is People who carried out interactions with videos. So maybe you sell barbecues. For example, if you're looking, you can target people who have liked and commented on outdoor kitchen accessories or, you know, find the specific type of content that you're categories in, and then target people who are highly engaged in a recent timeframe for that type of video. So that's a sure way of being able to make sure that you're targeting the right people. So not only are you getting the right geolocation as well as the right audience, that demographic, but you're also getting people who are engaging in videos that are related to your product category, in a short timeframe. Additionally, you can do the same for creator interactions. So if you have like a list of creators for your niche, if you know, or niche or category, if you know that people are following or commenting or viewing the profile of those graders, you can also build audiences around that. And then lastly, is like has to hashtag interactions. So maybe you sell books, so people who are like commenting and liking videos about book talk, for example. So you know, TikTok has many, many different hashtags, you can find and target people based on how they're interacting with actual hashtags. Why I find this so interesting is just because of the amount of data that TikTok has. So here's a stat from 2021, where, you know, across Netflix, there was only 9.6 trillion minutes watched, where on TikTok, there was over 22 point 6 million, trillion minutes watched, which is mind boggling. And I'm sure that number is only going to grow in 2022. So when you think about like the different signals that you're typically targeting on even if you use Amazon says someone who viewed a page or previously bought a product, but here they have like watch time, interactions, shares, comments, Tiktok just has so much data that they're really able to allow you to kind of define team come come up with the people that are really interested in the content or things related to your product and brand, so that you can come up with a very fine tuned strategy, and make sure that you're showing and building awareness within that community. So incredible. Yeah, it's crazy, crazy, crazy sad. And I'm interested to see how 22 happens like me personally, I didn't use TikTok last year, but now I'm probably on it too much. So I'd be curious to know how many people are like me and just getting into TikTok

 

Tiffany Serbus-Gustaveson  12:36

Great info, will you be sharing this deck? Yep, 100%.

 

Patrick Quaggin-Smith  12:43

So, now that we know like, we're able to really find the right people using TikTok, Spark and the targeting options that are available. It's also important to understand like what type of content you should be kind of sparking and promoting, it's very easy to, you know, have a piece of content and say, Okay, I can target the right people, I'm just going to put it in there. But it's still an advertisement, it still needs to be relevant, and engaging for people to actually engage with that content. So too often we see people sparking videos that are unlikely to be successful because of a few things which we'll cover here. So the first piece of advice is, look up your brand, and find what people are already posting about it. So here, we searched up proud grill, we can see all the different pieces of content that have been posted with the hashtag or the keyword proud get proud grill within it, you're also able to filter by like time, so if you want to see like the most trending videos for your brand in the last seven days, or 30 days, TikTok actually gives you all that filtering ability. So here, what I would suggest is looking at the type of content that is organically already doing well with your product. And then you can reach out to these influencers individually and say, Hey, we're Brand X, we see you post about this, we'd love to be able to use your video for a Spark ad, I'm more often than not the influencers are willing to do it. Because at the end of the day, the views like shares that they get from these ads ultimately impact their own kind of performance on TikTok, which will help them get more followers gained engagement, etc. So the incentives are aligned, actually, for these influencers, to be willing to give up the ability to use their posts as content or as Spark ads. And it's also a great signal that it's good content and people are willing to engage with it. If it's already doing well. All Spark ads is going to do is be able to deliver that content to more people and get more impressions, clicks, etc. So step one, if you already have organic contests, it's free most of the time, and you know it's already performing well. So it's a great opportunity to kind of take advantage of what's already doing well. On TikTok. By the same token, if you don't have a lot of content created for your brand already, or you're not seeing a ton of posts, you can search category specific keywords. So maybe you know, we're proud grill and we actually just started or we haven't focused on social media, etc. You can search up grill cleaner, for example, and find all of the top trending videos for your category. What you can do here is say, Hey, what is the type of content that people who are, you know, engaging with this category? What do they typically like to look at? What types of videos should we actually be creating, and you can use these as lighthouses to get content made. So here, I don't know if you can, like Tell clearly, like people tend to engage with cleaning videos. So people want to see the cleaner actually being used and how it actually works on the barbecue. So you can do is take some of these videos, and then reach out to creators and be like, Hey, can you if we send you a product, will you be willing to create a video of you cleaning your barbecue with it. So it's the best way to just take advantage of what's already doing well, and get content for your brand generated in this manner. So searching category, hashtags, or category keywords, finding what's performing well. And then sending that to your creators as lighthouses, you still want the creators to have their own spin, they know their own audience best. But you can give them direction around what is you know is going to perform well. On TikTok quick, Perpetua plug, we are a software. So that's actually something that we do automatically. So as mentioned, will take your audience demographic data, to allow us to connect you with creators that have audiences that match people who buy your product. But you're also able to just input one, find videos and to use those videos for your category as inspiration to send to the creators. So with perpetual, you know, you choose the product, you enter in the video or find the video templates that you like, and then we'll automatically source, you know, upwards of a few 100 influencers very quickly, who are willing to create content around the lighthouse that you that you generate, or that you find. Sweet, so great. We now know how to Spark ads, we now know how to create the content actually spark? How do we go about measuring the performance. So when we started, we were using Amazon attribution, Amazon attribution was like touted to be you know the best thing ever, it will help you track off site traffic as it comes on to Amazon and be able to determine clicks dpbs conversions from all your off site traffic as it comes on to Amazon. But what we found was there's really large discrepancies between the clicks and things that we can see within TikTok native portal, Google etc. And the clicks dpbs, etc. that are actually appearing through the Amazon attribution console. So here you can see over time, like these are conversions that we found to be attributable, as well as impressions and clicks. So just moving forward on that some data from inside the TikTok console versus what we see in the Amazon attribution console. You can see here, you know, 2200, clicks and only 1000 clicks attributed. We've been studying this for a while, but we can't really figure out why. like Amazon attribution isn't telling us the whole story. We've had tons of talks with the Amazon attribution team. But we've overall been left fairly frustrated. So we look at different signals as well. So looking at organic sales, growth, organic rank growth, total traffic growth, all of these things and have compared to baseline. So when we start a campaign relative to baseline, hey, we can see these increases as well as like search frequency rank, and some other things. But at the end of the day, we want to be able to like show the whole picture and not rely on kind of third party signals to kind of make up for the performance. Something that we began trying. So here you'll see the first Spark ads we ran, we noticed that when someone clicks on it, you actually get brought to the TikTok native browser. So TikTok and Instagram have built their own browsers within their apps. So you don't get sent out to like Amazon on your normal web browser or you don't get sent out to the Amazon app. You get sent to the product page within within the TikTok browser. Why that's an issue is that, you know, there's no data stored within this browser. It's basically like a private browser that exists So no one signed in. So if you click on it, you're actually not signed into your Amazon account. So very few people we found are actually willing to go through the entire signing process on the TikTok browser to then make the purchase. So he said, Okay, if this is a problem, is there a way to just send people directly from TikTok, to their standard web browser or their app, what we were able to do is create what's called a deep link, which effectively will auto open the Amazon App. The theory here was Amazon will be able to know they clicked on this link. And then this user is signed in and found this page. And then from there, we can track clicks, impressions, conversions, etc. Well, we saw slightly better data, and it still didn't seem to be tracking the whole picture. So better than no deep linking, but still not the best possible. So then we started thinking about something called seismic. So seismic was a standalone company that got bought by Amazon. And basically, what seismic allows you to do is create tags to apply to links. So we could create an Amazon attribution deep link, and then layer in a seismic tag, which will, you know, just provide more tracking. At the base level, there's not much more that you can get. So it's like impressions, clicks, conversions, etc. But what was interesting about seismic is that it had direct integration with tic toc. So they have some sort of partnership where they'll exchange cookies as well as IP addresses. And there's one other thing that I can't remember off the top of my head, but they're going to exchange that at both the impression and the click level. So we said, Okay, that's interesting. It might give Amazon more data based on the people who are interacting with these TikTok videos. And then, recently, Amazon enabled seismic data to be put pushed through into Amazon Marketing Cloud. So Amazon Marketing Cloud is also relatively new. But basically, it's a cleanroom. I don't know exactly where cleanroom comes from. But how I think of it is basically like a big database, where you're able to bring in different sets of data. And then you can analyze that data, all within the context of user IDs on the Amazon side. What that means in layman's terms for us, is we're able to track user IDs at a event level. So if you set up Amazon Marketing Cloud pixels and things across all these different things, including Facebook, you're actually able to see what someone does and what they end up doing on Amazon. So now we could say, Okay, someone saw a TikTok ad, then went to DTC site and then ended up actually purchasing from an organic listing from your branded search, or someone went to TikTok thing, searched, you know, your brand and clicked on this product, but then ended up buying this product. So what this allows us to do is create user journeys. So we can, you know, even if we're not getting the end sale number, we can say someone went on TikTok, and then went to their browser search, this thing ended up buying sort of allows us to create a much more holistic attribution model for all external traffic. So TikTok being one, one example, but really anywhere, anyone who ends up buying on Amazon is finding your product, you're able to see exactly how they're actually coming to make that purchase. Additionally, there's like a ton of other cool stuff in there. But for this presentation, and for this use case, this was kind of like the biggest unlock that we've seen, given that attribution hadn't been telling kind of the whole story.

 

Tiffany Serbus-Gustaveson  23:52

And that is like, wow, I mean, 14 factors that Yeah, so it's

 

Patrick Quaggin-Smith  23:58

a massive massive level up. I will stop each year and ask like if anyone has any experience running, Amazon Marketing Cloud or seismic. The most typical use case was like DSP, so seeing our DSP ads are influencing like on Amazon behavior. But really, I find the most interesting is you're able to see DTC, TikTok, Google Instagram, um, really track the whole picture of how your media mix is ending up making people you know, either influenced to buy or or not influence to buy in the case where maybe it isn't actually helping

 

Tiffany Serbus-Gustaveson  24:37

you if anybody has any experience, feel free to put in the chat or the q&a. But how long has the spark ads been around?

 

Patrick Quaggin-Smith  24:47

I think they were launched like early 2021. The biggest barrier I would say, to like adoption was not a lot of people had content generated. So you do need to have like influencers have posts created for you to be able to spark because you're using that content and that influencers profile to actually run the ads. But as we see more and more brands begin on TikTok invest in TikTok, it becomes easier and easier for brands to be able to activate. And we'll jump into some case studies of the performance, but it's definitely still, I would say under utilized, meaning, you know, there's first mover advantage in terms of cost CPCs are really low cost per detail. pageviews are really low. I expect them to rise as more people activate. But for the time being, it's, it's been a very cheap and efficient source of traffic for our brands.

 

Tiffany Serbus-Gustaveson  25:40

And it seems that you can onboard it pretty quickly. So in theory, could a brand get this moving before the holidays?

 

Patrick Quaggin-Smith  25:48

Yeah, definitely. So obviously, if there's only organic content generated, all you need to do is get the influencer approval to begin running the ads. But if not, you can connect and create content with influencers really quickly. We get the influencers to actually buy the product from Amazon, everyone has prime, by the time you approve the influencer, you know, they get the product in two days, you could have content live within seven to 10 days. So really, really quick to get up and running. Awesome. Sweet. This is just a more holistic view of that. So here, we're actually this is one of our AMC queries, we're seeing, you know, how do people actually interact between off site, DSP, lower funnel sponsor, mid, funnel, sponsored, etc, etc. So you're able to see all of this data, which is, which is awesome. Some quick case studies. So as mentioned, you know, relatively cheap right now. So we were running both llv as well as spark for a brand. Here, you're able to see, you know, about 1/10, the cost for detail page view, which is absolutely incredible. And it also led us to think like more philosophically, like, what is more valuable for a brand? Is that, you know, someone's scrolling TikTok and getting a, you know, a piece of content that is relevant, and, you know, in their feed as they're scrolling, or is it like a DSP online viewer, someone's like loading up a prime video or something and you get served an ad, we tend to think Spark is more valuable because people are so engaged in scrolling versus like, watching, you know, a TV show or something like that. And if you're able to get that such an engaging view, and click at 1/10, the cost, it seems, it seems like for us that more and more people should begin investing.

 

Tiffany Serbus-Gustaveson  27:43

And what is LLB?

 

Patrick Quaggin-Smith  27:46

Online video. Thank you. Additionally, you're able to just create engagement, not only is it not just like a video that appears, but it's like a post that lives on an influencer profile that people are engaging with. So we're able to actually track like, how are people receiving this ad? What are they saying about our brand, it gives you a lot more signals than does, you know, looking at a detailed page view rate or things like that, through your DSP portal. Again, just a couple examples from the campaign we ran with crocs recently, you can just see the brand love that's coming, and that's gonna have a halo effect. So as people see these posts organically as well on their reading comments, just overall leads to a certain type of movement around content. Sweet. Additionally, like as you began to figure out tracking, and things like that, we also thought, how can we help brands take the content that they're generating from the great content that they're generating from these influencers and use it in other ways. So something we began recently is building product pages, using the influencer content for brands, so here, we actually create off Amazon product pages to drive traffic to Amazon, and then fill it with the content that's been generated from your brand. This is really good, because you're gonna get organic content from Google. So organic traffic from Google, so people are searching best grill cleaner, and, you know, organically, we can get these pages to rank pretty high. People are clicking on seeing all the content they have generated and seeing all the reviews and things and being able to drive that traffic back to Amazon has been really, really effective. Additionally, we begin to run Google ads on these pages. And here you're able to see for a brand I'm driving direct to Amazon versus driving specifically to one of these custom made landing pages are able to just drive a significantly better return. Again, when you think about Google it's more mid to upper funnel so people Want to see the content, they want to see what people are doing with the product, they don't want to just click on a link and get sent to Amazon. Um, so we've been able to really help brands amplify using the content generated. Additionally, something that we've began helping brands with is taking like influencer creator marketing to the next level. We don't work with these two, but they were kind of the inspiration behind it. Creators really want to build and be, like be the face of products, but they don't necessarily want to be like the operations behind products, if that makes sense. So by using our influencer network and partnering, kind of the top tier influencers, with our brands, we're enabling them to co create custom product variants or even whole new products, where the influencer will use their likeness and marketing and really what they do best build content to help push the product line while letting the brand do what they do best logistics, product fulfillment, listings, etc. Um, so we view that as kind of, maybe the next frontier of influencer marketing is really the ability to quickly co create products. What I like about that is that, you know, most of these deals are structured from long term incentives. So the influencers won't take, you know, payment, but to actually take some percentage equity in that specific product. So they'll get 5% of revenue, or 10% of revenue. So it's really, you know, they only win if they're helping everyone win, which is an interesting model to be able to grow collectively. Additionally, we've been helping brands test using UGC, in sponsored brand videos, OTT ads, O V, as well as Facebook. So once you have all this great content generated, you don't just have to run TikTok ads, you can repurpose this for basically anywhere that, you know, video is being served. Amazon themselves are investing very heavily in this. And they're running some large scale tests about having UGC, included in OTT and SPV. So I think once they kind of released the results of that test, I suspect more and more brands will begin trying to generate UGC and having that as a fundamental part of, of their ad offering. Sweet. So, you've covered a lot, hopefully, was somewhat somewhat educational, it still is a very, you know, fast moving space. And we're constantly testing and experimenting new things. But as the data show, there's like a ton of opportunity for brands who are jumping on this early and really experimenting with these craters and with these new ad units that the social media platforms are putting out.

 

Tiffany Serbus-Gustaveson  32:56

So yeah, if anybody has any final questions, feel free to put them down in q&a or chat. How we get one here. For starters, what is a good daily budget for Spark ads on TikTok directing to Amazon?

 

Patrick Quaggin-Smith  33:11

Yeah, we typically recommend starting at about $25 per day. So $25 per day will be kind of the low end, and then depends on the amount of content that you have. So typically, we recommend sparking about 10 pieces of content together, all targeting the same audience. And then using the first three to five days worth of data, you can determine what what has the highest click through rate, conversion rate, etc. And from there, you kind of funnel that that spend towards the best performing creatives. The creatives do have a short shelf life, meaning, I would say from the time you go live with the Spark ad, you have about 21 days before the content will will become stale. So it was really important to you know, continually be getting new content generated. So you can continue to test and experiment.

 

Tiffany Serbus-Gustaveson  34:08

And another question is, does TikTok still heavily censor content related to CBD and or sexual wellness?

 

Patrick Quaggin-Smith  34:15

Intimacy? Yeah, that's a good question. The TikTok moderation is interesting. I would suggest, like what we do with even supplements are sometimes heavily heavily censored is really read the fine print of their like terms and service. So there are ways to get around it. You just have to make sure that the content is really following the guidelines that they suggest. Like supplements you can't make any specific like health claims. But for example, we did a fat burning supplement where we just have like someone do like a 21 day challenge and she didn't say this is gonna help me lose weight but she said Hey, I'm going to try this product took the price Like, showed the weight loss. And like TikTok was, you know, that was well within their guidelines. So they weren't able to like auto sensor or auto block those things on the ad. So for these types of like restricted categories, I strongly, strongly suggest just reading their terms of service and then building content that that lives within that.

 

Tiffany Serbus-Gustaveson  35:24

And then in regards to video, so have you seen better ranking and video is being presented to users that are sponsored versus others?

 

Patrick Quaggin-Smith  35:34

Could you repeat that? Yeah,

 

Tiffany Serbus-Gustaveson  35:36

no worries. Um, so have you seen better ranking of videos being presented to users that are sponsored, versus

 

Patrick Quaggin-Smith  35:46

others? I'm not sure what rankings means. If it's in terms of performance, like just ranking, maybe like overall, like performance, I would say, you know, there are some videos that you know, go viral, viral, viral organically, and those are going to perform great by themselves. But, you know, TikTok is not the easiest to get 10 million views anymore on a video. So Spark ads are the more reliable, sure way to get your content and get your product in front of people. So, you know, on the edge case, where you're, you know, you have a video absolutely hit organically, it's going to do better. But for the most part, Spark ads will tend to drive more conversions, clicks, dpbs, etc.

 

Tiffany Serbus-Gustaveson  36:36

As an Is there a minimum budget required for Spark ads?

 

Patrick Quaggin-Smith  36:41

The minimum budget, I want to say, so there's campaign level budget. And then creative level budget campaign budget is $50 per day minimum, but you can set minimums at the creative level to $10 a day. So the minimum you can spend is $10 per creative. But again, as suggested, I'd say like below $25 per day, you're just not going to be generating enough impressions or clicks or things like that. So you could go $10 A day but definitely recommend going higher. And then the old

 

Tiffany Serbus-Gustaveson  37:14

lb versus the TikTok breakout you had was that an overall or a specific client that was tested.

 

Patrick Quaggin-Smith  37:21

So that's a specific client that was tested, but for the most part, I would say basically 100% of the time, we are driving cheaper traffic from TikTok. So average CPC is around like 15 cents to 35 cents. And average CPM is between like two and $4. So take that with what you will. But basically every client we have rang both I would say TikTok on average, is driving cheaper, cheaper cost per util pageview.

 

Tiffany Serbus-Gustaveson  37:51

So, great questions. You guys love that they're coming in here. So another great one is can you expand on the size mag integration? Do you need to pay for that

 

Patrick Quaggin-Smith  37:59

service? So funnily enough, we are releasing our AMC product on Friday at unboxed or maybe it's Wednesday or Thursday no today The thing is, but unbox next week, we're releasing our AMC product p one. So it will be integrated in the perpetual software as of next week. And then too

 

Tiffany Serbus-Gustaveson  38:27

yeah, a lot of acronyms that abbreviations here so CMA, what does that stand for?

 

Patrick Quaggin-Smith  38:33

cm a, I'm not sure where that came up. CPM is cost per 1000 impressions. CB DC, si p dp maybe? I don't know where language really Yeah, so that's cost per detail page view. That's what it costs to get someone to spend at least three seconds or more on your detail page. So Amazon will have their has their own definition. But basically, if someone comes to your page and immediately leaves, that doesn't count as a detailed page view. They have some time I think it's around three seconds where someone has to click and stay for that to actually count as a pageview. Three seconds. I see do you recommend using Spark ads to direct traffic to your own website 100% It can also be effective. The interesting thing about your own page is you can create pixels through TikTok and have conversion events. So you could you know target people to come to your landing page and feed that data back to TikTok. You could also do like target people add to cart to target people who convert all of that is you know possible. I would also recommend like you can drive to DTC and then also have an AMC pixel generated on your DTC. So someone then you know, drive to DTC you can also see people maybe Start on DTC then went to Amazon and purchased. You can do that even without running Spark ads. It might be interesting just to see what traffic actually ends up converting on Amazon versus DC. But super interesting, super interesting stuff.

 

Tiffany Serbus-Gustaveson  40:14

And clarification, the tracking abilities you talked about with AMC already. Is it integrated in Perpetua software? Or is that a roadmap for future?

 

Patrick Quaggin-Smith  40:25

Yeah, so as mentioned next week, at unbox, we are releasing our AMC product coming soon, awesome. So you'll

 

Tiffany Serbus-Gustaveson  40:35

be sharing the presentation deck, which is fantastic. If anybody has any questions about the acronyms that are in the presentation standard, can they Is there any way to search for that so they know what they're looking at?

 

Patrick Quaggin-Smith  40:53

So yeah, I would say maybe I didn't do the best explaining or like having definitions, but if anyone has any questions around any of the abbreviations happy to share

 

Tiffany Serbus-Gustaveson  41:04

you there was a lot of information to throw out soon for 30 minutes it was fantastic. But yeah, we'll definitely make sure that we get everybody the presentation deck and if they have questions we can reach out.

 

Patrick Quaggin-Smith  41:17

So one more come in here CPC so yeah, obviously CPC around like sponsored ads is going to be much lower funnel. So that's why it's it's more interesting, at least to us to compare it to your DSP and like more mid funnel ads, so like sponsored brands, DSP, again, even retargeting remarketing things like that. So it tends to convert better than DSP at a cheaper cost. So for us, at least has like a mid and upper funnel awareness, we we tend to think it's, you know, we're leaning more and more towards driving brands spend there. But you definitely can't compare it to like sponsored product ads, like someone goes and searches grill cleaner on Amazon. You know, they're there to buy something, being able to show the ad right there. It's like, yeah, maybe best ad unit ever invented. So totally agree.

 

Tiffany Serbus-Gustaveson  42:12

Great questions, you guys. So this is obviously a very excited lively topic of discussion. So we definitely encourage follow up conversation with the perpetuate team. We'll be sending out the presentation deck as well. And yeah, I think that is a wrap. So Patrick, thank you so much for the awesome content today. And thank you all for joining and we look forward to seeing you on an excellent awesome yeah, take care

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