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Amazon Success Story: ciao! baby

Mario Formica
May 15, 2019 10:35:00 AM

The Brand

ciao! baby is a Louisville-based manufacturer of foldable high-chairs.

 

The Challenge

Before partnering with SupplyKick, ciao! baby experienced early success on Amazon by selling to Amazon Retail. However, Amazon Retail began undercutting ciao! baby’s minimum advertised price (MAP) on a variety of items, making it difficult for ciao! baby to pursue relationships with brick and mortar retailers. As a result, ciao! baby decided to stop selling to Amazon Retail and instead partner with SupplyKick to grow their Amazon assortment.

 

The Solution

In collaboration with SupplyKick, ciao! baby was able to project Amazon’s inventory levels and estimated when they would stock out of product. SupplyKick ordered appropriate quantities to keep ciao! baby products in stock, and ciao! baby had their minimum advertised price (MAP) restored on each listing as soon as Amazon ran out of product. ciao! baby regained control of their Amazon channel without missing a beat.

In their previous agreement with Amazon Retail, ciao! baby was responsible for coordinating the shipment of their product to Amazon distribution centers. Amazon Retail does not take responsibility for labeling, paperwork, packaging, or communication with transportation providers. Additionally, ciao! baby was tasked with meeting Amazon Retail's tight delivery deadlines.

Now, SupplyKick assumes responsibility for the fulfillment of ciao! baby products. ciao! baby saves thousands of dollars while SupplyKick coordinates shipments, completes associated paperwork, and absorbs any costs associated with product fulfillment. All ciao! baby products remain eligible for Amazon Prime.

Finally, Amazon Retail does not provide brands with any information regarding advertising strategy, budget, or effectiveness. ciao! baby was one of many brands to become frustrated by Amazon Retail’s poor communication and inconsistent charge-backs.

Conversely, ciao! baby now works with a dedicated partner success manager to set goals on Amazon, including paid efforts. SupplyKick pays for, manages, and optimizes advertising campaigns for ciao! baby in accordance with its stated goals on Amazon. As a result, ciao! baby is able to sustainably grow its platform sales while stabilizing its margin.

 

The Results

After just two quarters with SupplyKick, ciao! baby grew their quarter-over-quarter sales on Amazon by 96% and increased unit sales by 103%, due in large part to the complete restoration of MAP across all products on the Amazon marketplace. With money invested by SupplyKick into on-platform advertising, ciao! baby's traffic increased by 39%

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