Walmart’s highly anticipated Deals event in July 2024 proved significant for sellers and buyers, drawing attention across various product categories. This sales event, from July 8 to July 11, 2024, aimed to attract consumers with competitive discounts and exclusive offers. As expected, sellers ramped up their advertising efforts, resulting in notable shifts in key performance metrics such as ad spend, cost-per-click (CPC), and return on ad spend (RoAS). Let’s look at how these metrics performed during the event compared to the rest of the month.
A Surge in Ad Spend: Capitalizing on Consumer Demand
During the Walmart Deals period, ad spend saw a significant surge, with an average daily spend reflecting a 19.9% increase compared to the rest of July. This spike indicates that sellers were competing to capture consumer attention and maximize sales during the deals period.
CPC and RoAS Trends: Balancing Competition and Returns
The increase in ad spend was accompanied by a rise in the average CPC during the deals period, reaching $0.63 compared to the month’s overall average of $0.60. Despite the heightened competition, sellers managed to maintain a strong RoAS, which averaged $10.03 from July 8 to July 11. The highest RoAS of $10.77 was achieved on July 8, reflecting effective ad strategies that converted clicks into purchases. This balance between increased ad costs and strong returns underscores the effectiveness of targeted advertising during peak sales events.
Ad Spend and Ad Sales – Top Categories
Specific categories saw solid ad investments, highlighting strategic efforts by sellers to leverage high consumer demand:
Top Categories by Ad Spend:
- Home (19.7%)
- Patio & Garden (12.5%)
- Home Improvement (6.5%)
- Electronics (4.2%)
- Sports & Outdoors (3.7%)
These categories focus on home-centric and seasonal products, aligning with summer trends and consumer preferences.
Top Categories by Ad Sales:
- Home (14.0%)
- Patio & Garden (11.7%)
- Electronics (11.1%)
- Home Improvement (6.8%)
- Sports & Outdoors (2.4%)
The substantial ad spend and ad sales performance for categories like “Home” and “Patio & Garden” suggest that these areas were particularly appealing to consumers during the event, likely driven by targeted promotions and deals.
Insights Compared to Previous Year
When comparing this year’s event to the same period in 2023, we observe an upward trend in ad spend and CPC, indicating a more competitive landscape. However, the steady RoAS demonstrates that sellers effectively managed to sustain their returns on investment, even amidst increased advertising competition.
Key Takeaways for Future Events
The Walmart Deals event in July 2024 demonstrates the importance of strategic ad spending during peak sales events. Sellers who invest wisely and optimize their advertising strategies are better positioned to capitalize on consumer demand, achieve strong returns, and maintain a competitive edge. Focusing on dynamic pricing, targeted promotions, and efficient budget allocation for future events will be crucial for maximizing success.
By leveraging these insights, sellers can enhance their readiness for upcoming sales opportunities and drive growth. Ready to leverage these insights? Whether you’re looking to optimize your eCommerce advertising strategy or gain a deeper understanding of your brand’s position, Teikametrics’ AI-driven tools can help. With access to near real-time data and automated optimizations, our software is designed to enhance your performance. Discover the difference with a free demo webinar today!
*The percentage values above represent each category’s share within the overall marketplace.*
