Case Study: Improving Profitability for a Home Improvement Brand on Amazon

How Amazon Consultancy Services Reduced TACOS from 37% to 28% in Just One Month

A Home Improvement brand approached Amazon Consultancy Services after experiencing a common challenge faced by many Amazon sellers: generating sales but struggling to make a profit.

Although the account was generating approximately £6,000 per month in revenue, high advertising costs and inefficient campaign management meant that profitability was being severely impacted. The client lacked clear visibility of key performance metrics and was finding it difficult to identify which marketing activities were actually driving profitable growth.

Within just one month, Amazon Consultancy Services implemented a comprehensive optimisation strategy that increased revenue to £7,000 per month whilst reducing TACOS from 37% to 28%, resulting in significantly improved profitability.

Client Testimonial

“We were making sales but not actually making any money after the advertising had been paid for. Thankfully we spoke to ACS! Within a month we could see a huge improvement in profits and we actually had money coming into our bank account again.”

– Home Improvement Brand Owner

The Challenge

The client faced several challenges that were limiting growth and profitability:

Limited Understanding of Performance Metrics

The business had little visibility into the key Amazon metrics needed to make informed decisions. While sales were being generated, it was unclear whether advertising activity was producing a sustainable return on investment.

Difficult Keyword Selection

Due to the nature of the products and the competitive home improvement market, identifying the most relevant and profitable keywords proved challenging. Existing advertising campaigns lacked focus and were spending budget inefficiently.

Underperforming Product Listings

Product listings had not been fully optimised to meet customer expectations. Product images lacked clarity, listing content did not effectively communicate key benefits, and opportunities to improve conversion rates were being missed.

Our Approach

Following a detailed account review, Amazon Consultancy Services developed a strategy focused on improving both conversion rates and advertising efficiency.

Competitor Analysis

We conducted an extensive competitor audit to understand:

  • How leading competitors positioned their products
  • Customer expectations within the category
  • Common customer questions and concerns
  • Key features influencing purchase decisions
  • Competitive keyword opportunities

 

Listing Optimisation

Based on our findings, we completely rewrote the product listings, including:

  • SEO-optimised product titles
  • Improved bullet points
  • Enhanced product descriptions
  • New product imagery recommendations
  • Conversion-focused A+ Content

The revised listings better addressed customer needs while improving keyword relevance and search visibility.

PPC Campaign Restructure

We developed a new advertising strategy designed to improve efficiency and profitability.

This included:

  • New Sponsored Products campaigns
  • Improved keyword targeting
  • Better budget allocation
  • Search term analysis
  • Ongoing optimisation and performance monitoring

The Results

Within just one month, the account showed measurable improvements across both revenue and profitability metrics.

Revenue Growth

Monthly Amazon revenue increased from:

£6,000 per month → £7,000 per month

Representing a:

17% Increase in Revenue

Improved Advertising Efficiency

TACOS reduced from:

37% → 28%

Representing a:

24% Reduction in Total Advertising Cost of Sales

This improvement allowed the client to retain significantly more profit from every sale generated.

Revenue increased by 17%

TACOS reduced by 24%

Improved account profitability

Better understanding of key performance metrics

More effective keyword targeting

Enhanced product listings and imagery

Improved customer experience

Strong foundation for future growth

Why the Strategy Worked

Rather than focusing solely on increasing traffic, we addressed the entire customer journey.

By combining competitor research, listing optimisation and a more strategic PPC approach, we were able to improve both conversion rates and advertising efficiency simultaneously.

The result was not only increased sales, but significantly improved profitability.

Why Choose Amazon Consultancy Services?

We Understand Amazon Brands

As active Amazon sellers ourselves, we understand the importance of protecting your listings, maintaining brand integrity, and creating a strong customer experience.

End-to-End Support

From trademark guidance through to Brand Registry enrolment and ongoing protection, we provide comprehensive support throughout the process.

No Long-Term Contracts

We believe in earning your business through results, not restrictive contracts.

Practical, Commercial Advice

We focus on practical solutions that help businesses protect revenue, improve conversion rates, and scale sustainably.

UK-Based Amazon Experts

We support brands selling across:

  • Amazon UK
  • Amazon Germany
  • Amazon France
  • Amazon Italy
  • Amazon Spain
  • Amazon Netherlands
  • Amazon Sweden
  • Amazon USA

Looking to Improve Your Amazon Profitability?

Many Amazon sellers focus exclusively on sales growth while overlooking profitability metrics such as TACOS, conversion rate and advertising efficiency.

At Amazon Consultancy Services, we help brands identify opportunities to increase sales, improve margins and build sustainable growth strategies.

Book Your Free Amazon Account Audit