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The Halo Report: Revolutionizing DTC Advertising Insights

Fospha, a prominent marketing measurement platform, has introduced a groundbreaking study elucidating the complex relationship between direct-to-consumer (DTC) advertising and sales on third-party marketplaces like Amazon. This comprehensive research finally provides marketers with the tools needed to measure the "halo effect"—a term that describes the indirect impact that advertising on social platforms such as TikTok, Meta, and YouTube has on Amazon sales.

Until now, many marketers have struggled to quantify this crucial connection due to the limitations of existing measurement solutions. However, Fospha's Halo Report presents a concise and actionable metric: Unified Return on Ad Spend (ROAS). This innovative approach aggregates the revenue generated from various platforms, helping businesses gain clarity on the performance of their ad spend.

Key Findings: A Shift in Perspective

The findings of the Halo Report are eye-opening:

• - 42% of Amazon Sales: A staggering 42% of a brand's sales on Amazon are driven by advertising efforts on non-Amazon platforms.
• - Unified ROAS: The study reveals that the Unified ROAS for upper-funnel campaigns is, on average, 45% greater than the traditional DTC-only ROAS. This insight indicates that brands may be significantly undervaluing their investment in advertising across multiple channels.
• - TikTok's Dominance: Among the platforms assessed, TikTok stands out remarkably. It exhibits an 80% higher Unified ROAS than single-channel DTC ROAS when Amazon revenue is accounted for, proving its effectiveness in driving sales.

One notable success story featured in the report comes from premium skincare brand Nécessaire. Participating in the beta launch of the Halo program, the brand sought to comprehend how its advertising on TikTok and Meta influenced conversions on Amazon. The results were promising: the Unified ROAS from their TikTok ads was twice as high as the DTC-only ROAS, while their Meta ads yielded an 87% higher Unified ROAS. This powerful data prompted Nécessaire to refine its marketing strategies ahead of Amazon Prime Day, ultimately enabling them to surpass industry revenue benchmarks by an impressive 47%.

The Importance of Understanding the Halo Effect

In today’s competitive market, knowing the precise impact of advertising across diverse platforms has never been more essential. Sam Carter, CEO of Fospha, underscores this need, stating, "For too long, marketers have been in the dark about the true impact of their DTC ad spend on Amazon sales. The Halo Report sheds light on this blind spot, which is more critical than ever with Amazon now capturing a third of all US eCommerce sales."

The Halo Report serves as a pivotal resource for marketers aiming to optimize their advertising strategies and measure their true returns in an increasingly complex digital landscape.

For those interested in exploring these insights further, a free copy of The Halo Report can be downloaded at Fospha's official website.

About Fospha

Fospha has been at the forefront of marketing measurement for over a decade, enabling retail brands to maximize their spending efficiency and growth. The company specializes in privacy-safe measurement, helping brands regain visibility lost to data privacy regulations while providing precise attribution and predictive analytics through a single algorithm.

For more details on Fospha and its measurement solutions, visit www.fospha.com.