Walmart’s early October Deals event, from October 8th to 13th, was a game changer for sellers looking to jump on the holiday shopping season. With eager shoppers on the hunt for deep discounts and special offers, this event provided a golden opportunity for sellers to boost their ad visibility and drive traffic before the major holiday rush kicked in.
This surge in shopper activity led to exciting shifts in advertising metrics like ad spend, CPC (Cost Per Click), and RoAS (Return on Ad Spend). Let’s look at the advertising trends from this period and gain valuable insights for our upcoming sales events!
Ad Spend Surge and CPC Trends During Walmart Deals (October 8th – 13th)
During the Deals event, sellers ramped up their ad spend, averaging a 23% increase compared to the days leading up to the event. That’s not all. CPC also increased by 7%, indicating increased competition for ad placements as sellers competed for deal seekers’ attention.
- October 8: Ad spending skyrocketed by 26%, paired with a 6% increase in CPC—this marked the highest investment spike of the month.
- October 9: There was a slight dip in ad spend of 3%, but CPC continued to rise by 3%, showing the competitive landscape remained fierce.
- October 10-12: Daily ad spending dropped by an average of 5%, yet CPC stayed elevated at 5% above pre-event levels, indicating a robust ongoing competition.
- October 13: As the event wrapped up, ad spending rebounded by 5%, while CPC showed a slight decline, hinting at a return to normalcy.
RoAS Performance: Strong Returns Amid Increased Ad Spend
Now, let’s talk about RoAS, which had impressive gains during the event. On October 8th, it peaked with a 30% increase compared to pre-event levels. Sellers who upped their ad budgets benefited from heightened shopper engagement, with RoAS remaining, on average, 20% higher than pre-event levels throughout the deals period.
- October 8: In line with the spike in ad spend, RoAS rose by 15%, proving that shoppers responded positively to the promotions.
- October 9: Although RoAS dipped by 7%, it remained steady at 13% higher than pre-event averages, ensuring solid returns.
- October 10-12: A gradual 10% decrease in RoAS was noted, but it maintained an impressive 18% higher-than-normal performance.
- October 13: RoAS bounced back slightly, ending with a 5% increase as sellers kept their visibility strong toward the end of the event.
Comparison to Pre-Event Trends
Looking back at the days leading up to the event (October 1st to 7th), ad spend and CPC were relatively stable. CPC remained 7% lower than during the event, while RoAS was 20% lower, showing that increased investments during sales events can lead to higher returns—even with rising CPC.
Post-Event Ad Spend, CPC, and RoAS
Once the deals wrapped up, ad spending dropped by 16% on October 14th, while CPC fell by 7% back to pre-event levels. RoAS, however, saw a 15% drop, indicating a slowdown in shopper engagement after the event. Ad spending remained steady between October 14th and 20th, but RoAS declined by an average of 10%, suggesting sellers scaled back their efforts as returns began diminishing.
Top Categories That Dominated During the Deals
Several categories stood out during the Walmart Deals period. The Home category took the lead, contributing an impressive 37.8% of ad sales as shoppers splurged on home goods. Electronics followed with 20.2%, as shoppers snagged discounted tech items. Patio & Garden ranked third, making up 9.9%, reflecting the growing interest in outdoor products. Other categories like Sports and outdoors, Home Improvement, and Toys contributed between 3% and 5%, but the top three were the heavy hitters.
Insights and Takeaways
- CPC Increase During the Deals Period: The 7% rise in CPC highlights how competitive events like Walmart Deals become. Sellers should be ready for this and adjust their bids to stay visible.
- High RoAS at the Start of the Event: The 30% increase in RoAS on October 8th shows that investing early during promotional events can pay off big time. Sellers who boosted their budgets at the event’s start saw better returns.
- Top Categories Performance: The Home category led with 37.8% of sales, while Patio & Garden and Electronics also performed well. Sellers focusing on these categories should leverage similar events for added visibility.
Conclusion
The Walmart Deals event in early October showed how strategic ad investments, even with rising CPC, can drive strong returns. Ad spending increased by 23% during the event, RoAS improved by 20%, and categories like Home and Electronics stood out as top performers. However, it’s interesting to note that there was a decrease of approximately 10.42% in average ad spend from July to October despite the extended duration of the October deals, which lasted 6 days compared to 4 days in July.. As we gear up for the holiday season, sellers should take these insights to heart when planning future promotional events, remembering the need to balance ad spending with rising CPC to maximize RoAS. Happy selling!
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*The percentage values above represent each category’s share within the overall marketplace during that*