This podcast episode explores the importance of considering lifetime value and repeat purchases when setting advertising targets on Amazon. The hosts highlight the potential for customers to make multiple purchases over their lifetime and emphasize the need to adjust ACOS (advertising cost of sales) goals accordingly. They discuss the significance of brand loyalty and marketing investment in building a strong brand, using Otterbox as an example. The conversation also delves into strategies for increasing average order value and the challenges of measuring the true impact of advertising efforts. Ultimately, advertisers are encouraged to focus on cost per acquisition and analyze the potential benefits of repeat purchases when determining advertising goals.
