Question: Why do advertisers set loyalty goals?
- To drive repeat purchases and increase the lifetime value of customers.
- To steal market share from their competitors.
- To ensure that shoppers are loyal and make a significant purchase from their brand
Explanation
Loyalty goals focus on retaining customers after purchase and encouraging continued engagement with the brand. Repeat purchases show that customers are returning instead of stopping after a single transaction. Increasing customer lifetime value depends on building longer-term purchasing behavior over time. This goal supports post-purchase relationship building rather than initial discovery or immediate acquisition.
Why the other options are incorrect
Steal market share is incorrect because loyalty focuses on retaining and growing customer relationships, not competitor displacement.
Significant purchase is incorrect because loyalty is measured by repeat engagement over time, not only one large purchase.
Source for verification
https://advertising.amazon.com/library/guides/customer-journey
The answer(s) to the question is highlighted in the BOLD text above. You can also find more questions and answers related to the exams on the "Amazon Ads Foundations Certification" page.
