*The images in this article are from the Shopee Seller Center and Shopee University.
Shopee, the e-commerce giant in Vietnam, commands a staggering 63% share of sales across all e-commerce platforms. Beyond this impressive statistic, the platform has 57.5 million monthly visits, with an average session duration of 17 minutes and 28 seconds. (Source: VIETTIMES)
This fertile landscape presents a treasure trove for businesses aiming to harness the potential of Shopee Ads. Leveraging this tool enables enterprises to efficiently deliver their products to prospective customers on Shopee, streamlining the customer journey and optimizing revenue generation. For businesses with an extensive array of products, Shopee Ads also serves as an excellent channel to test new offerings before scaling through broader social media ad campaigns.
Shopee Ads stands as a strategic advertising service provided by Shopee, affording sellers the opportunity to showcase their products on the Shopee platform. By crafting campaigns directly on Shopee's website and app, vendors can elevate the visibility of their products and storefronts to pertinent buyers, strategically positioned within high-traffic zones on Shopee. This orchestrated approach contributes to augmenting sales figures and attracting a larger audience.
There are varieties of Shopee Advertising including Shopee Search, Discovery Ads, and Boost Ads. Shopee Ads can shorten your customer journey in your marketing funnel by helping you to approach the right customers in their platform who already have a demand to buy.
To set up Shopee Ads, Sellers can visit the Shopee Ads page on the Merchant Channel or on the Shopee App.
a. Product Shopee Search: This variant displays products on the search results page when a buyer searches using specific keywords designated by the seller.
b. Shop Search Ads: Ads bearing the seller's name, image logo, and ad tagline appear at the pinnacle of search results when buyers search using keywords linked to the advertisement.
Both types of ads are cost-per-click, with fees determined by the bid set within the ad account. However, it's important to note that not all bids will result in immediate prominence in search results. Three pivotal factors influencing bid performance and visibility are:
To excel in Shopee Search Ads, implement the following strategies:
*Hero Image: Hero Image (A product hero image is an oversized image of a product highlighting important product attributes such as brand, size, quantity, and differentiation points)
Discovery Ads are showcased in "Today's Suggestions" on Shopee's homepage and during the Shopee Farm game. Additionally, they appear in the "You May Also Like" section on product detail pages, effectively attracting a wider array of buyers. Different from Search ads, discovery ads show your products to your audience and similar audience based on the data learned by Shopee Algorithm. You can set up your bidding cost or let the system Auto Optimisation.
Shopee employs three core strategies to ensure accurate buyer targeting:
Popularity-Based Approach: Machine learning algorithms analyze user behaviors, purchase histories, and product interactions to discern trends and patterns. This data fuels recommendations, emphasizing popular items and enhancing the overall shopping experience. The application of the Popularity-based Approach includes:
Content-based machine learning: This algorithm recommends systems analyze the content of products and match them to the preferences or past behaviors of users.
While popularity-based and content-based recommendation systems are straightforward, collaborative filtering is complicated a little bit - a method uncovering concealed similarities in user-item interactions across distinct users. For instance, if two users both purchase earrings from the same seller, this implies a degree of similarity. If one user explores watches afterward, the engine could recommend similar watches to the other user based on perceived likeness.
Item Maybe You Also Like
Ads will show in the Maybe You Also Like section of the Product Detail page to attract more buyers.
Today's Suggestions
Your ad will show up in the Recommended Today section of the Shopee Home page to buyers who have viewed, added to their cart, liked, or rated a product similar to yours in the last 30 days.
Boost Ads constitute Shopee's novel ad type, effectively augmenting product exposure across multiple high-traffic locations. This automated solution permits sellers to maximize sales with minimal intervention.
In essence, while both Discovery ads and Boost ads aim to increase product visibility and sales, Discovery Ads focus on showcasing products to specific audiences based on various recommendation strategies, whereas Boost Ads are more automated and optimize product exposure across multiple high-traffic areas on the platform and reach beyond of similar audience.
Shopee's algorithm forecasts shopper purchase likelihood, bidding higher for products deemed more likely to be purchased. Conversely, bids decrease if the purchase likelihood is lower. The algorithm dynamically adjusts bids to ensure a favorable Return on Ad Spend (ROAS).
Embracing Boost Ads facilitates business expansion within Shopee, broadening product visibility among interested consumers.
Search results
Ads appear on the search results page when shoppers search using keywords that match your ads
You May Also Like
Ads appear in the product detail pages of similar or complementary products to capture a highly relevant audience
Daily Discover
Ads appear on the Shopee homepage’s Daily Discover section to shoppers who have shown interest in similar products in the past 30 days
Shopee Ads have emerged as a pivotal tool in the arsenal of businesses seeking prominence within the Vietnamese e-commerce realm. The multifaceted approach, encompassing Search Ads, Discovery Ads, and Boost Ads, empowers sellers to engage customers strategically, optimizing visibility, sales, and revenue.
By capitalizing on Shopee's algorithm-driven recommendations, businesses can attain higher conversion rates and a more efficient customer journey. But if you want to maximize the power of Shopee Ads, you should consider enhancing your competitive rate by increasing vouchers, and discounts and improving your brand positioning by investing in social media. As Shopee continues to reign as a dominant force in Vietnamese e-commerce, adept utilization of its advertising services remains a cornerstone of success for both established enterprises and emerging businesses alike.
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