NEOGEN: Amazon Ad Operations and Client Profitability Improvement
Project Details

NEOGEN: Amazon Ad Operations and Client Profitability Improvement
Neogen, in its 9th year of expansion into the US market, faced challenges with declining ad efficiency and profitability. MXNC USA optimized Amazon PPC operations through an AI-Based PPC Solution and a Dedicated Manager system. As a result, single product sales grew up to 50 times, and Amazon PPC campaigns for approximately 150 SKUs were effectively managed. Most importantly, TACOS was reduced from 70% to 14%, securing a stable profit structure and laying the groundwork for long-term growth.
Neogen, entering its 9th year in the US market, was a representative K-Beauty brand that had maintained a long-standing connection with US customers. However, as growth continued, competition within Amazon intensified, and simple ad operations alone made it difficult to achieve both profitability and sales growth. Particularly, managing TACOS (Total Advertising Cost of Sales) became a major challenge, requiring the simultaneous achievement of stable sales expansion and profitability improvement.
To address these challenges, MXN Commerce USA began collaborating with Neogen on Amazon ad operations, combining an AI-Based PPC Solution with a Dedicated Manager system. The AI-based solution analyzed vast amounts of data in real-time to automate bid adjustments, keyword optimization, and budget allocation, while the dedicated manager finely adjusted strategies to suit market conditions and brand characteristics, stably leading operations. Through these operating services, Neogen's ad execution functioned as a strategic tool tailored to the brand's situation, going beyond simple operations.
During the collaboration period, Amazon PPC campaigns were systematically operated for approximately 150 SKUs, and individual products experienced sales growth of up to 50 times. The most significant achievement was profitability improvement. Initially, TACOS was at 70%, which led to a serious deficit in the client's operations and poor ad efficiency. However, through systematic campaign optimization, it was reduced to 14%, securing a stable profit structure for market expansion. This was a crucial turning point not only for short-term sales performance but also for long-term business sustainability.
Through this process, Neogen not only improved ad efficiency but also laid the foundation for an online channel that could outline a long-term growth roadmap in the US market. Our data-driven operations and local experience were key factors in helping Neogen continue to grow in the increasingly competitive K-Beauty market. Through a project spanning more than two years, Neogen was able to expand its contact with US consumers and strengthen the brand's value.
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Neogen
Neogen is a brand that develops competitive skincare products based on its own manufacturing capabilities. It has successfully expanded its market presence with ingredient-focused products that are preferred by customers in the US.