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Did you know that Amazon has taken out Google and Facebook in growth for the recent quarter? Where the e-commerce market and the advertising arena are experiencing some initial turbulence due to the rising inflation, Amazon seems to have it all worked out. In 2021, Amazon dominated 14.6% of the US digital ad market, coming very close to the top players like Google (26.4%) and Facebook (24.1%). In the face of a recession approaching, Amazon’s ad revenue has taken a jump of 18% in this quarter. Businesses are concerned about the vulnerability of advertising opportunities offered by social media giants like Facebook. So, they are allocating more of their budget to Amazon where there is a lesser impact of scrutiny and a higher return on investment.  Currently, Amazon is being viewed as the best place for brands to buy ads. It has a wealth of data on what consumers are buying, allowing advertisers to target their ads at the ideal prospects they’re trying to reach. Another reason is its growing advertising presence on non-marketplace platforms. Amazon is selling ads on other properties like its Freevee video streaming service and its Twitch gaming site. It also sells ads on websites it doesn’t own, just like Google does.  Advertising Cost on Amazon in 2022 Amazon advertising is super popular and an essential part of selling on Amazon. The cost of these ads will depend on factors like the ad type, the CPC (cost-per-click), the bidding strategy, the keywords that you choose, the competitor brands, etc.  Amazon Advertising follows a PPC model, so an Amazon seller only pays when an ad is clicked on(CPC). CPC is the amount that Amazon charges Amazon sellers or advertisers for every click that their ad gets. The average CPC is $0.81. But this is not fixed. Fab On Go PPC specialists can analyze and give you insights on CPC.<Get in touch> with them and they will take care of every advertising move determining your PPC success. Where are Advertisers and Sellers Allocating Most of the Budget? The amount that advertisers want to spend on Amazon ads begins with thinking about what goals they want to fulfill and the objectives they want to achieve. Every ad format on Amazon serves a different purpose. Amazon sellers have three different ad types to work with- Sponsored Products, Sponsored Brands, and Sponsored Display. Out of those, Sponsored Products are the most popular they’re easy on the pocket and offer a simple setup to advertise your products.   But even this outlook of only considering the cost factor is changing. Today, one has to take note of all the benefits that ad choices can bring- exposure, brand awareness, sales, etc. Let’s take a look at Sponsored Brands. These have the brand logo, tagline, and a range of products for advertising in that ad (all customizable). You can make these Amazon ads look impressionable and redirect shoppers who click on them to a designated landing page or Amazon storefront. All of this results in the highest RoAS among the three of them. Sponsored Display has gained massive popularity though it is slightly more expensive. This is where brands are looking to boost their visibility and grow their presence on Amazon. This is where they are spending. These Amazon ads have a lower RoAS but they come with the advantage of promoting your products and targeting customers both on and off Amazon. Rising Costs, Ad Spend and Amazon Sellers CPC is indeed on the rise. The CPC  on Amazon’s US site has increased by 22% from 2021 to 2022. But these ads on Amazon still cost lesser than Google and Facebook ads. Moreover, these ads have first-party sales data and are thus immune to the loss that comes with the deprecation of the 3rd party cookie as experienced with Facebook and Google. With more than 40 percent of online sales taking place on Amazon, companies are already spending between $100 to $50,000 per month on Amazon advertising. And, this is going to increase because of their decreasing trust in other advertising platforms and more economic and robust advertising options available on Amazon. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

What is Amazon Dynamic Bids?  Launched as a part of Amazon’s $15 billion investment into third-party seller tools in 2019, these allow Amazon to adjust your Sponsored Product bid in real-time according to the probability of conversion. There are three bidding options available: Down only: Your bids will be decreased by a maximum of 100% when it is likely to lose the auction. You consider historical campaign data into account for this. Up and Down:  Amazon will increase or decrease your bid(max by 100% in each case), depending on the competitors’ bids and your higher possibility of winning. Fixed: These bids don’t allow Amazon to alter bids on the likelihood of them converting. It will utilize the exact bid you have set and any other manual adjustments made by you. How do Dynamic Bids on Amazon Work? Amazon has access to such a massive amount of data that turns finding the probability of a website visitor clicking your ad and converting a child’s play. Machine learning analyzes the data on product niche, buyer behavior, previous ad performance, time of day, and all sorts of other data to decide in real-time whether your ad will result in a purchase. Do Amazon Dynamic Bids Boost Sales? Well, Amazon believes so. And, here’s something you practically do. Use Relevant and Profitable Keywords Use an Amazon keyword tool and reverse ASIN search to find keywords that determine the search results getting targeted in your advertising campaign, directly influencing the amount you need to bid and the chances of conversion.  Refine Your Listing  It is undeniable that how your listing presents itself to potential buyers converts them. They click when they take note of the high-resolution product photographs and informative product descriptions. This, in turn, improves your feedback rating on Amazon. Leverage Amazon Prime Amazon Prime, with its two-day deliveries at no extra cost, has been impacting customers’ mindset and buying behavior for some time now. Jump on this bandwagon as quickly as you can. Just qualify for Amazon Prime through FBA or Seller Fulfilled Prime and get the blue Prime badge. This badge will allow you to appear in fast shipping-filtered search results. Plan a Robust Advertising Strategy Your advertising strategy justifies your bidding tactics. Have your mind set on your business goals and stand by a strategy that you think can influence the turn of events in your favor. Types of Amazon Dynamic Bid Strategies  1. Cost reduction Ideal for newly created advertising campaigns. Features Involves decreasing your advertising costs while you are just learning about Amazon’s advertising system, trying out keywords, collecting data, and improving your listings. Saves you from overspending on advertising through the option of the ‘Down only’ bids. Allows Amazon’s computers time to collect vital information on your ad’s performance so that it can accurately predict the likelihood of conversion likelihood when you later move to ‘Up and Down’ bids. 2. Sales Ideal for currently running campaigns that are well-optimized and ready to scale to create a flywheel effect Features Involves maximizing your ad costs using competent keywords that have been tested and given results. Gives you the best opportunities to increase conversions and expand your brand’s presence on the platform through the option of The ‘Up and Down’ bid  It also allows Amazon to gather data on your ad’s previous performance and predict conversions to increase your chances of achieving success  3. Impressions Ideal for launching brand products and creating brand awareness.  Features Involves maximizing the number of times your potential customers get to see your ad, irrespective of whether they choose to click or not Gives your ads the exposure they deserve in all the relevant searches through the option of a ‘fixed’ bid  Once you have successfully launched your product or have generated desired brand awareness, you can then always switch to a sales strategy using an ‘Up and Down’ bid. It is important to remember to never run any of these campaigns together, at the same time, or for the same product because the campaigns will start bidding against each other. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

What are Amazon Bulk Files? Bulk files are simple spreadsheet-based files that help advertisers to create, manage, and optimize multiple PPC campaigns at scale without having to do all of this manually. It is an excellent solution for saving time and effort when you’re managing changes across a large number of campaigns, ad groups, ads, keywords, and product attribute targets.  Where Can You Find Them? Bulk files are found in every seller account under “Bulk Operations.” There are just so many actions that you can take to efficiently manage campaigns while reducing your workload. Even if you’re new to advertising, you can still pick up its nuances and excel in it within a short time. All you have to do is download the file with your desired date range, introduce the required changes, and afterward, upload it back to update your campaigns. Why Should You Use Amazon Bulk Files? It helps you find everything you want right from keywords and placements to ads and campaigns through a few filters. It is a robust multifunctional tool that allows you to take care of bid optimization, reporting, pausing keywords, negative harvesting and so much more. These spreadsheets are home to magnificent amounts of data for up to 60 days. Delivers results by downloading performance metrics against respective campaigns and optimizing them at scale Gives you the ability to work offline by editing your bulksheet locally How Can You Use Bulk Files? There are three main ways to use Amazon bulk files: Regular optimization: When you have a massive number of campaigns running at a time, you cannot imagine managing them manually, can you? Just think about the amount of time and concentration you will require. But if these tasks are not done quickly, you and your campaigns’ performances will be lagging behind.  Bulk files can efficiently take care of tasks like Bid & Placement optimization, Pausing/enabling Keywords & SKUs, Negative keyword harvesting, Negative Product harvesting, and adding new SKUs to existing campaigns. Campaign Creation: You must use bulk files to create your campaign when you have just started out with your Amazon account or have a new product launch and looking to create multiple new campaigns. Start humble by creating a few campaigns and go on to become an expert in optimization by using the following tips: Use simple Excel formulas to ready required templates to escape the need of filling out all the fields manually. Create multiple campaigns with a single upload by adding required lines below previously created ones. Check if all column names are correct. Reporting Using just a few filters and clicks, you can create different reports from Amazon bulk files that help in assessing the performance of your ad groups, ads, and keywords for a particular period of time. These reports help you create custom reports for yourself and your clients and serve as the base for any changes to be made down the line. Final Thoughts  Campaigns often need to be analyzed and optimized quickly, and with bulk files, you can do that in real time. Certainly, using these spreadsheets may seem quite intimidating at the beginning with actions like pausing thousands of words and creating plenty of new campaigns all at the same time. But once you get the hang of it, it only automates your approach towards optimization even further.  Though the display of information in Amazon bulk files is not very interesting and you won’t receive suggested bids for specific keywords as you would get from the advertising console, you will still be able to gauge if your PPC performance is up to the mark across all campaigns things right and will be able to drive your sales. BOOK A FREE CONSULTING CALL Amazon Service Management

To thrive in Amazon’s competitive landscape, it is necessary to explore various brand-specific opportunities, different ad types, and targeting options. A robust advertising strategy with the right mix of everything mentioned above and more will connect your better with your customers.  Dive in to discover what you will need to take your Amazon advertising strategy to another level or <get in touch> with a Fab On Go PPC expert today.  Get Clarity on Your Business Goals Clear business goals convert customers. It may sound strange at first but the fundamentals bring out the final results. Before you create campaigns, make sure you ask yourself these questions: What stage is my product in? Do I desire long-term profitability? Do I want to reach untapped customers or grow a loyal fanbase with the existing ones?  And so on… It is essential to align your business goals with your campaign objectives. Ask as many questions as you can to yourself that will extract the real potential out of your ad campaigns and justify your set campaign objectives and business goals to the greatest extent. Know Your Buyer’s Journey Your buyers might find your offering interesting but that alone isn’t the driving factor for your sales. Reaching out to them with the right message at the right time in the current stage of their buying journey will convert them. You want to create every opportunity to stay on top of your buyers’ heads till they are convinced to buy from you. Every stage in your customer’s journey serves as a touchpoint to create awareness and build trust. Understanding your buyers, influencing them through strategic excellence, and then selling them your product is what guarantees success in the long run. Choose the Right Advertising Options for Yourself  Amazon’s ad spend had jumped to 55% in 2021 which is more than double the 20.6% rise observed in the broader retail sector. This is indicative of Amazon’s ambition to stay the leading e-commerce website globally.  This is why, year after year, Amazon continues to innovate and energize its advertising and targeting options. You should be able to assess your ad choice considering where your prospect is in the funnel and optimize your campaigns accordingly. Improve Targeting Better the targeting, the better the ad performance. You have different targeting types to for displaying your ads at the right time and the right place for your ideal customers. For example, automatic targeting is great for finding competent keywords while manual targeting is essential for controlling ad spending. Then, there is a sweet spot where you introduce the keywords found through automatic targeting into your manual campaigns and reap the best results. Push for Profitability Ideally, your ad campaigns turn profitable only if the profit you generate is higher than the ad spend. It’s imperative to know your break-even ACoS to ensure the profitability of your ads. You should also know it is not the only way to earn profit. What if you want to aim for long-term profits? You will then consider nurturing the existing customer base rather than attracting new ones to increase Customer Lifetime Value(CLV). To turn profitable in the long run, you might have to reconsider or change your breakeven point and increase your ad spend. Reap More than You Sow  The ripple effect of advertising is more powerful than we can imagine. If your advertising is on point, it will boost sales. If your sales increase, you will get better rankings. Better rankings with good customer service result in enhanced product visibility, which will then drive more sales. So, it is clear that advertising will become an indispensable part of your growth and profitability. Do not have a short-sighted vision for your PPC efforts. You don’t want to be a winner just today but every day. You have to finetune your Amazon advertising strategy to keep on building a sales momentum that can, for most parts, run on autopilot and fulfill your business goals. Final Thoughts If you have observed, by now, you know that the secret sauce of a perfect advertising strategy is made up of individual ingredients so well-known to all of us. It was just harder to picture them together. Our PPC specialists are familiar with all the nuances of Amazon advertising and can simplify it for you through their expertise. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

There’s no doubt that 2022 will be an explosive year for Amazon. Amazon will do all things possible to stay the world’s leading eCommerce website. One has to stay at the top of the advertising trends to have an edge over the competition. Here are some trends that have already started showing their impact in 2022. New Features in Amazon Sponsored Display Campaigns  New Bulksheets If you’re a vendor or a seller, the new bulksheets feature that rolled out in January this year helps you create and optimize sponsored campaigns at scale and update campaign names in bulk. It offers a new spreadsheet template for better data formatting and quicker uploading time. These bulksheets help you manage thousands of keywords simultaneously. This update prevents you from investing the time and effort required to manage Amazon Sponsored Display campaigns. Sponsored Display Creative Customization From this July, advertisers using Sponsored Display could finally start customizing their creatives further by adding a headline, logo, and lifestyle image. They can choose to add one or any combination of these assets to help shoppers discover your brand and product. Expansion of Bid Recommendations Announced in February 2022, It has enabled Sponsored Display vCPM-based campaigns to use suggested bids in the Amazon Advertising console.  These recommendations are helpful for new CPC-based or vCPM-based product targeting or views-based remarketing campaigns. The machine learning bid recommendation offers you a suggested bid and bid range that is updated daily. This saves you from indulging in your own bid or competitive research. New Ad Groups for Amazon Vendors and Sellers Launched in February 2022, this new feature in the advertising console is an excellent addition for vendors and sellers. Ad groups are basically used to organize ads based on brand, product, category, targeting strategy, price range, or theme. Hence, this feature helps improve the organizing and managing of campaigns. Amazon Sponsored Display Budget Rules Amazon advertisers can now set campaign budget rules for Sponsored Display. According to this feature that was rolled out in February 2022, there are two new types of budget rules: Performance-based rules Schedule-based rules As these budget rules can be set for specific dates or events, they control overspending of the budget, giving you the chance to cash in on all the important sales events. These rules also save the time it takes to adjust budgets. Twitch Advertising  An exclusive for Amazon sellers, Sponsored Display ads can now target Twitch. As a seller, you can reach a massive untapped audience here. As you can purchase Sponsored Display ads on a cost-per-click basis with no minimum budget, there is hardly any risk in trying this out. Given the massive growth of Twitch and its faithful fan base of its content creators, this could be a game-changing investment. Amazon Interactive Audio Ads Rolled out in the month of May 2022 and available in the US, these audio ads have simplified engaging with brands or services further. When listeners hear interactive audio ads they are interested in on an Alexa-enabled device, they can simply reply to the Alexa call-to-action by voice and take actions like requesting more info via email, adding an item to their cart, etc. without interrupting their streaming audio content. Amazon Advertising Cost Increase  Last year, nearly 59% of Amazon sellers were concerned about the increasing ad costs on the platform this year. The Amazon advertising cost depends on factors such as your ad types, your daily budget, your targeting type, and your bids per keyword. But knowing that Amazon became the biggest advertiser in history with a record $16.9bn ad spend at the beginning of this year, advertisers will need to spend more to stand out. It is important to note that despite the steady hike in cost-per-click, Amazon ads cost 68% less than Google ads and 44% less than Facebook ads. Amazon Brand Registry Features  Many sellers, while selling a product under their brand, are afraid of random merchants hijacking their product. Amazon Brand Registry gives sellers sole ownership of the “Amazon Buy Box“. Therefore, even if someone tries to hijack a product, the authorized seller can get in touch with Amazon seller support to take action.  Final Thoughts There was much expected out of 2022 and much has already been delivered. Have a Fab On Go advertising specialist look into your Amazon PPC or introduce these new possibilities into your current advertising strategy to grow your brand and sales. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

If you are looking for ways to best structure your Amazon campaigns, this is worth your time.  Did you know that 6 out of 10 Amazon sellers struggle with PPC Campaigns because of limited knowledge of how to structure their campaigns?  Here are some tips and strategies for building a robust Amazon PPC campaign structure. Attain a Balance between Automatic and Manual campaigns The goal is always to create a structure that is easy to set up and manageable in the future. Remembering that the ad budget is controlled only at the campaign level, it is essential to strike a balance between the number of automatic and manual Amazon PPC campaigns to get the best of both worlds and save money. If the product PPC sales are X per month, then you set up Y campaigns: M automatic campaign(s) and N manual campaigns. You should also introduce ASINs of competing products in one of your manual campaigns so that your product will be displayed on their product detail pages. Create One Ad Group Per Campaign Amazon’s algorithm is twisted. Amazon’s mysterious algorithm gives you control over your ad campaigns and, strangely enough, takes it away as well. Things like Automatic campaign targeting and broad keyword matches are absolutely in command of Amazon. In a scenario like this, it is only natural to be thinking about your money: how much money will get distributed between ad groups and keywords.  Let’s take an example. You create a campaign and introduce multiple ad groups within it. Now it is up to Amazon to split the campaign budget between the ad groups. If the campaign budget was 500 $ and you create two ad groups, each ad group may or may not receive the perfect split amount of 250$. There could be a massive difference between the two. The algorithm calculates what will work better and distributes the budget accordingly. So, you would want to create only one ad group under a campaign to counter this problem. It guarantees the flow of the entire budget directly into that ad group, which then flows directly into the keywords. Add Only 10 Keywords Per Campaign Now that we have discussed that there should be one ad group per campaign, is it a practical choice always? You have limited control over your campaigns as can be understood from before. On a much deeper level, we cannot also control how much spend each keyword is going to get.  With much experience, knowledge, and trial and error, a count of 10 keywords per campaign is ideal. But considering Amazon’s dynamic nature, algorithm or feature changes can be introduced frequently. So, it’s best to keep an eye on it. Choose Keywords with Similar Search Volume Keywords with different search volumes cannot be mixed and put in the same ad group of an Amazon PPC campaign. When you place a high search volume keyword with a low search volume keyword, the former uses up all the budget. As a result, it receives all the impressions. Even if you have the power of a massive budget, Amazon can figure out more potential in a certain keyword. It will neither shy away from using all your money on it nor from reducing the potential of lower search volume keywords from becoming profitable. Use Long-Tailed Keywords Choosing long-tailed keywords early on controls the competition from highly competitive keywords and drives sales from all Amazon customers having high intent of purchase. This saves your budget and gets your brand the exposure it rightly deserves as you will gain a better position and reputation for those generic keywords in the Amazon marketplace. Setting Negative Keywords Negative keywords prevent your advertisement from appearing after entering search terms. They do not match your products or perform poorly in driving sales and just cost you too much for clicks. Implementing negative keywords reduces ad spending, boosts listing rankings, removes keyword cannibalization, and, in turn, maximizes ad revenue. How Can BIE Support You Honestly, we’re just a call away. We provide you with the best revenue-driving PPC management services through our years of experience and expertise.

Introducing you to some of the best tips and strategies that you may need to know and use to maximize your brand’s advertising ROI on Amazon. For expert help, contact us! BOOK A FREE CONSULTING CALL Amazon is an ever-evolving e-commerce platform introducing sellers to new advertising capabilities now and then. As an Amazon seller, there’s no doubt that you will have to stay up to date with recently launched features, formats, and campaign types and re-assess and optimize your Amazon advertising strategy in 2022. 1. Think Deeply about Your Goals As a seller, you follow success through strategies. Having a goal of ‘increased sales’ may not be enough. There are many more strategic efforts to integrate at the product, group, or brand level. An advertising strategy cannot function as a one-size-fits-all and be habituated to dynamism when introducing quick modifications to impact campaign performance ultimately. When deciding your goals, you should focus on which stage you are in the sales funnel(Awareness, Interest, Decision, and Action) and set your ad goals accordingly. For example, you will first want to create awareness for your newly launched brand and switch to sales-oriented ad campaigns. Then you will be moving forward to launching Sponsored Product, Brand, and Display ads to tap customers throughout the entire funnel. You would also want to create defensive campaigns for brand protection purposes. Some strategic approaches you can take: Be ranking on the top for a specific keyword Promote the bestselling item for your new product line   Sell out a product   Capture solid market share over a competitor   Become a market leader in a product line 2. Create a Robust Structure for your Campaigns A solid campaign structure is not one stuffed with poorly-performing keywords but enriched with high-performing keywords. How does it help? Enables you to use New Auto Campaigns: Auto campaigns allow Amazon to generate keywords that you can refine more with focused manual campaigns, a process known as search term optimization.  Use Search Term Harvesting to better match ad campaigns to your buyer’s intent. Optimize ASIN Discoverability to check whether your keywords and bids are providing your products the visibility they need. Utilize Negative Keywords to control unnecessary spending and boost product rankings. 3. Monitor Targeting When an Amazon advertising campaign or ad targeting is considered, a range of strategies is there to explore: Category Targeting, Brand Targeting, and ASIN Targeting. Category Targeting The Category Targeting feature allows you to target your product categories on the platform. This is ideal for generic products that do not have particular keywords to optimize for and for new products that are not being searched for. It was extremely challenging to sell items on Amazon that did not have a high-volume keyword search. The new product targeting features are already changing this scenario. Brand Targeting Amazon Brand Targeting helps you target high-traffic brands. This targeting helps identify your competitors who are spending big on Sponsored Brands and attracting good traffic through these ads. You can then target competitor brands using the ‘further category’ refinements. ASIN Targeting ASIN Targeting allows you to select specific products, categories, and brands that are similar to the product in your ad. It is used when your product is comparable to another but cheaper. With ASIN-targeted campaigns, two strategies come into play to select which ASINs to target: 1) those that are similar to your product and 2) those that are complementary. 4. Strike a Balance for Spending A defensive strategy could look like you spending on your branded search terms to deter competitors from targeting your listing. A good offensive strategy could be targeting your competitor’s brand. A good balance for spending on these strategies could be to allocate around 40% of the budget to defense where you target keywords directly related to your brand and about 40% to keywords you would like to own, including those of competing brands. The rest 20% can then be reserved for harvesting or testing. Final Thoughts Learning and accommodating new advertising strategies should be your consistent focus as an Amazon seller. Our team of Amazon PPC experts can look at your advertising account and share insights on the immediate and gradual area of evaluation. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

When done correctly, PPC boosts sales and improves and increases brand image and awareness. As a seller or an advertiser, this proves helpful in competing harder and staying at the top. In this blog, we deliberate on the common mistakes that cripple Amazon PPC.  BOOK A FREE CONSULTING CALL Are you dissatisfied with your Amazon PPC campaign results? Does it look like all the efforts- strategy, bidding, and rounds of optimization- were in vain? As significant as PPC advertising is, it’s a no-brainer that PPC is not just about creating and launching campaigns. If not careful, a few mistakes can convert cost-effective PPC campaigns to high-ACOS PPC campaigns. What are these mistakes? Let’s take a look. Eliminating poor-performing keywords too early: Amazon SEO is not the same as Google SEO, with different strategies working for them. As an Amazon seller, one should focus only on the Amazon A10 algorithm functionality and conduct keyword research to discover what customer search terms are. Keyword research is key to a PPC campaign’s real potential. An ideal keyword list should include root keywords, synonym keywords, generic category keywords, and broad keywords. For example,        1. Root Keywords: washer machine pan, washer drain pan, drain pan, etc.        2. Synonym Keywords: washer pan, washer tray, floor tray        3. Generic Category Keywords: washing machine, washer machine, drain pans, home improvement        4. Broad Keywords: washing machine pan for drainage, water pan for washing machine] Modifying Campaigns too quickly: PPC campaigns may give faster results but let’s be realistic. Like most ad campaigns, the Amazon PPC campaign takes 7-14 days to stabilize and reveal performance that may or may not require help. Moreover, most Amazon advertising reports have~ 48-hour delay.Doesn’t it then seem wise to change and adjust your campaigns ahead of time? Adjusting bids and adding or removing keywords early on gives you no time to collect valuable data, leaving you with nothing to analyze your ad performance by. Not using the correct bidding strategies: There are different bidding strategies to consider and know their differences well. Dynamic Bidding(Up and Down): Amazon increases your bid by up to 100% if the possibility of conversions is high or reduces it if the chances of conversions are low. Dynamic Bidding(Down Only): Amazon lowers your bids by up to 100% when the possibility of conversions is low, reducing your ad costs overall. Fixed Bids: Amazon will utilize your exact bid and any manual adjustments you make. There will be no changes to your bids based on the number of conversions. Not taking negative keywords into account: When your Amazon PPC ads show up for keywords other than those matching your product search term, they generate traffic and clicks without conversion. This can destabilize your ad budget. By removing negative keywords, you can increase sales by boosting campaign profitability. That too without any compromise of visibility. Not considering automatic and manual campaigns together: Automatic campaigns help you utilize Amazon’s data from where you can identify both top-performing and poor-performing keywords. Add these top-performing keywords to your manual campaigns and remove the poor ones from them to boost sales and maximize profitability. Together, they help control your ad expenditure. Irrelevant Targeting: Solely targeting broad, generic terms having extremely high search volume is unwise. It is misleading as one targets all the audience searching for an irrelevant product at certain times.By targeting broad terms, you are spending your ad budget on shoppers not interested in your product. Focussing on niche keywords prevents this and keeps your ACOS in control. Final Thoughts Optimizing your Amazon PPC is highly crucial. Sellers, whether beginners or established, can utilize PPC to boost their sales and gain a competitive edge. All one needs to remember is to do or repeat these mistakes and to monitor campaigns regularly. Or have someone like Fab On Go help you with it. BOOK A FREE CONSULTING CALL Get Free Consultation Amazon Service Management

The Amazon market is a challenging arena for businesses online. And Amazon Advertising, with its multiple features rolling out time and again, has only made it more competitive. Stakes are high, so the execution of Amazon PPC strategies has to be near perfect. But with much to learn about Amazon PPC, where do you start? It’s best to familiarize oneself with all the common PPC terms before any deep-diving. Advertising placement Advertising placement is the area where an advertisement is displayed. Amazon ads are commonly found at the top of search results, alongside search results, and on product display pages.  Budget The maximum amount of money that can be exhausted for a campaign. If you fix a daily budget at $30, you will not be able to spend more than $30 on that day. Bid The amount of money one is willing to pay for each click on their ad. Sellers can choose between automatic or manual bidding and avail benefits. Keywords Keywords are the most basic PPC tactic for pulling customers. Sellers can target keywords that customers utilize as search terms to find products. There are two types of targeting: automatic and manual targeting. Search Term Search Terms are not the same as keywords. They are terms within Amazon reports that refer to where your ads show up. Keywords are about what you’re targeting, while search terms are about where your ads are getting delivered. Demand-Side platform (DSP) Available across only certain countries, DSP is an Amazon software platform enabling advertisers to programmatically purchase video, display, and audio ads on and off Amazon.  Advertising Cost of Sales (ACoS) It is used to assess the performance, effectiveness, and profitability of sponsored product advertising campaigns. You can calculate it by dividing Total Ad Spend by Total Sales. Target ACoS (TACoS) Target ACoS, also known as TACoS, is the advertising spend as a percentage of total revenue generated, including organic revenue. The latter gives a more integrated perspective to your promotional efforts. Return on Ad Spend (RoAS) A popular benchmark across digital advertising, RoAS is the inverse of ACoS. It represents the dollars earned per dollar spent. Conversions It is the desired action that a customer completes, be it “Add to Cart” or a “Buy Now”. It is a measure of the times your ad ended with the desired result. Conversion rate The conversion rate is the percentage of clicks received on your ad that bring about the desired result, for example, the sale of a product. Cost-per-click (CPC) CPC is the average cost you pay each time someone clicks on your ad. It is calculated by dividing the amount of money spent on an ad by the number of clicks. CPC can be thought of as being mutually beneficial to Amazon and the sellers, as the sellers only pay for ads that get a click. Click-through Rate (CTR) The percentage of people who have clicked on your ad to those who have viewed it. In other words, CTR is (clicks/impressions) x 100. New-to-brand metrics The metric used to describe buyers purchasing your brand or product for the first time on the platform over the past year. These estimate the cost of nurturing new customers and determine the best channels and tactics to achieve their campaign goals. Automatic Campaigns Easy to use and offering access to data gathered through the e-commerce platform, Automatic Campaigns are a campaign or targeting type where Amazon itself decides when and where ads will be displayed. They take away the control out of a seller’s hands. Manual Campaigns Manual campaigns where sellers and advertisers have things in their hands. It helps to strategize and optimize campaign setup and running more effectively. PPC Spend The total amount assigned to advertising efforts on Amazon PPC. Target ACoS This isn’t TACoS or tacos. It’s Target ACoS.  It is your profit margin before advertising divided by your target profit margin post advertising. This number will be different for every seller and is determined by the various costs of making your product available. This wraps up Part I of ABC of PPC on Amazon. And for A to Z PPC management, don’t forget to contact us!