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Customer acquisition is a process that begins with generating demand through brand awareness and product discovery through top-funnel advertising.

Do you know how much it costs to acquire new customers on Amazon?  

Unfortunately, many brands do know the answer to this. Luckily Amazon’s marketing strategy is to help brands grow their customer base, and the retail giant has launched a new set of metrics for brands to better understand their audiences and who is buying on the platform. The new metrics for brands will help determine the cost per acquisition for each new customer and offer new-to-brand insights for advertisers. 

Four new metrics offer new-to-brand insights for advertisers. The metrics give an idea of what per cent of purchasers and orders are new-to-brand versus returning customers coming from your ads. This level of insight is great for learning how much it costs to reach new users with your campaigns and products. It can also influence your keyword targeting in your campaigns. 

How do “Amazon New-to-brand Metrics” work? 

According to Amazon, new-to-brand metrics determine whether an ad-attributed purchase was made by an existing customer or one buying a brand’s product on Amazon for the first time over the prior year. With new-to-brand, advertisers receive campaign performance metrics such as: 

  • Total new-to-brand purchases and sales 
  • New-to-brand purchase rate 
  • Cost per new-to-brand customer  

Which Platform is New-to-brand-Metrics Available On? 

For now, the new-to-brand metrics is for video and display ads on the Amazon DSP platform and as well as Sponsored Brands ads on the self-service platform on Campaign Manager for Seller central and the Advertising Console for Vendor Central merchants. This new set of metrics is currently not available for the Sponsored Product Ads.  

Let’s break down the new metrics and offer some ideas on what it means for your advertising campaigns.  

  • % of orders new-to-brand: The percentage of total orders that are new-to-brand orders. 
  • % of sales new-to-brand: The percentage of total sales (in the local currency) that are new-to-brand sales.
  • New-to-brand orders: The number of first-time orders for products within the brand over a one-year lookback window.
  • New-to-brand sales: The total sales (in the local currency) of new-to-brand orders. 

The New-to-brand Metrics is a great platform that can help influence your advertising strategy and following this approach means you will be able to acquire new customers. Continue to read our posts; our team of Amazon experts will update more information on what’s new on amazon.