How the agency Sitruna increased Nikura’s conversion rate by 45% with the help of Perpetua
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10 min

How the agency Sitruna increased Nikura’s conversion rate by 45% with the help of Perpetua

Martin Saunders, May 6, 2024

“Self-care is not selfish; it's self-preservation," remarked the great American poet Audre Lorde. It’s just those people—people who prioritize self-care—that Nikura had in mind when they launched their business, providing pure essential oils and fragrance oils.

However, as with focusing on self-care, getting a foothold and driving growth comes with a unique set of challenges for each business. Looking to save time and improve performance, Nikura partnered with Sitruna, a full-service Amazon agency. Using Perpetua’s retail media optimization software, in the three months after taking over Nikura’s account Sitruna was able to:

  • increase conversion rate by 45%

  • increase total sales by 66%  

  • drive a 67% YOY rise in total revenue

Let’s explore Nikura’s success story in greater depth.

Turning a foothold into explosive growth

After finding strong demand for their products and launching their D2C operations, Nikura wanted to expand their business and scale. That’s when they began selling on Amazon, leveraging the power of Amazon Sponsored Ads to reach new audiences and re-engage existing customers.

As their business and product offering grew, a few pain points arose. Creating ad campaigns for their large catalog and manually adjusting bids had become time-consuming, plus a lack of insight into auction dynamics made maximizing profit difficult.

Nikura recognized that they didn’t want to invest the time and resources necessary to build in-house ad management capabilities—that’s when they partnered with Sitruna, a full-service Amazon agency, in order to continue scaling on Amazon with Sponsored Ads.

Using Perpetua to save time and improve advertising efficiency

Based on Nikura’s desired outcomes and the sales history of their products, a Sitruna advertising manager was able to use the best-in-industry playbooks built right into Perpetua’s software to launch multiple advertising campaigns per product, selecting from one of four customizable, goal-based multi-campaign structures. 

By designating a target ACOS and budget in the campaign-creation process, Sitruna was able to quickly bring down Nikrua’s costs and ensure that their campaigns would meet profitability targets. After the initial launch, Sitruna was able to use several of Perpetua’s features to fine-tune Nikura’s advertising campaigns.

Stream optimization

As maximizing profitability was a primary goal for Nikura, Sitruna used Perpetua’s Stream Optimization feature to identify hours where CPC and ACOS are higher than average, or where conversion rates are much lower. At these inefficient times of day, Sitruna dialed back spend to improve the efficiency of Nikura’s campaigns.

Keyword boost and top-of-search (TOS) multiplier

To dominate the search results, Sitruna utilized Perpetua’s Keyword Boost feature to launch separate campaigns for Nikura’s top-priority keywords with a dedicated target ACOS and budget for those specific keywords. 

When using the Perpetua’s Keyword Boost feature a TOS multiplier is also applied to the bids for the selected keyword(s), allowing Pereptua’s Ad Engine to direct more ad spend towards the ad placements in top row of the first page of search results on Amazon, long known to be the most effective advertising real estate on Amazon.

Total ACOS optimization

Because increasing performance was one of Nikura’s core goals, Sitruna used Perpetua’s Total ACOS optimization feature to track net profit margin and total advertising profitability over time.

The total ACOS optimization feature provides recommendations to increase target ACoS on goals (or segments in goals) when:

  • Total ACOS across all goals in Strategy is below Total ACOS target, or

  • Total ACOS for the goal is below target Total ACOS.

The total ACOS optimization feature provides recommendations to decrease target ACOS on goals when:

  • Total ACOS across all goals in Strategy is above target Total ACOS, or

  • Total ACOS for the goal is above target Total ACOS.

This feature saved Sitruna’s advertising manager the time that would have been spent calculating the Total ACOS performance for the selected goals, in addition to the time and effort that would have been needed to determine the ad spend changes necessary to align the campaign goals with the target Total ACOS.

Results

Nikura Product Sample

In the three months after Sitruna took over Nikura’s ad campaigns, conversion rate increased by 45%, and total sales increased by 66%. As time went on the momentum continued: At the end of 2023, Nikura ads saw a 20% year-over-year increase in conversion rate, resulting in a 67% year-over-year rise in total revenue. All of this resulted from Sitruna's expertise in combining Perpetua’s software with its own strategic insights and talent.

With Perpetua’s support, the partnership between Sitruna and Nikura continues today.

Perpetua has helped streamline our Amazon PPC ad management, leading to more efficient campaigns. An intuitive interface and automation features have simplified the process of monitoring and adjusting bids, allowing us to focus more on strategy and creativity rather than manual tasks.

Nikura

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