Hello! This is Orcel Saito.
If you open a store on Rakuten Market, you will receive advertising sales pitches from Rakuten's consulting firm, ECC.
Since the end of January, I have been in charge of running a shop selling automatic opening and closing trash cans, and this week I received an advertising pitch.
This is what happened last week when he called me to say hello.
When I was asked, "How is your situation?"
"There are reviews saying that it's convenient for mothers to throw away diapers. There are many things you can't know until you actually run the business."
This is in response to what I said.
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<ECC Sales>
"Rakuten Market has a website called Mamawari, which is just for moms."
"Advertising for the Mama Discount starts at 70,000 yen, and by advertising here, you can raise awareness among mothers."
"Let's tell moms how convenient it is to throw away diapers and get them to buy it."
"Raise awareness and translate that into sales during super sales, shopping marathons, etc."
"ROAS is 100 at best."
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The content was as follows.
What do you all think about this business?
To this, I responded as follows:
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<My Answer>
"In the first place, trash cans are something you buy with a specific purpose in mind, not something you just drop in and buy. This should be obvious if you look at the data, but what do you think about this?"
"When I look at the Mamawari website, there are links to products like milk, baby bottles, and cribs, but no links to trash cans. How do they even link to trash cans in the first place? I can't find any relevant categories."
"And how do you tell moms that it's convenient for throwing away diapers?"
"What is the rationale for increasing awareness during super sales and shopping marathons by listing it in the Mama Discount section? I can't see any rationale.
By the way, the number of reviews is increasing every day, but is there any effect that exceeds that?
Or rather, aren't there really that many people who know about the "Mamawari" discount in the first place?
"An ROAS of 100 means that an advertising budget of 10,000 yen will result in sales of 10,000 yen. If there are no other benefits to be expected with such a figure, I don't think there is any point in advertising. What do you think about that?"
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I ended the call without receiving any response.
When thinking about "what to do," not just in advertising sales on Rakuten Market, you need to carefully consider "why it is happening."
Toyota Motor Corporation has a rule that says, "Repeat 'why' five times."
In this example, "We have reviews from moms, so let's advertise a moms' discount," which is a very simplistic approach, but you might fall into the trap of thinking something similar.
I hope this is helpful.
Learning the importance of "why" from Rakuten ECC's advertising sales
