Amazon’s Pay per click (PPC) advertising platform allows you to sell more products online. All you need is to create and manage your Amazon PPC campaign properly, which is very simple and easy, and all your products will be sold faster that will further increase your ranking.
How paid search works?
Amazon receives millions of long term search queries every day, especially from purchase-ready customers. People rarely do window shopping there. They type www.amazon.com and enter the desired product name in its search engine. Results of products returned in response are called organic results. Paid results are those mixed with organic results and also appear on the right column.
Amazon Pay Per Click Campaigns: The Strategy
Creating the Amazon PPC campaign is fairly simple. But you need to understand its strategy well before you start it.
Let’s know this in brief outline of how we will run these PPC Campaigns:
- Run campaigns to find profitable keywords that convert to sales.
- Stop using keywords that don’t convert and don’t target them.
- Focus on the keywords that convert well and bid on them.
The key metrics of the Amazon are: Advertising Cost of Sales, Attributed Sales, Impressions (the number of times your ads were displayed) and number of clicks on your ads.
How to create your first campaign?
You have to pay attention to only a few settings and campaign becomes super easy. The first thing is the name of the campaign. Make sure that the name is descriptive and it is easy to scale when you create new campaigns and ad groups. Basic campaign settings are: campaign status, average daily budget, date range and campaign targeting.
How much should you spend on advertising?
It depends on you; what is your budget, how much you are willing to invest in long term and much more. But, if you are getting customers profitably, it is advisable to spend on your ad with a better amount.
One metric to help you here is the Average Cost of Sakes (ACoS) that will help you calculate the ideal cost before you start with your campaigns. To calculate your ideal ACoS, you will need following factors: selling price that you are selling your products for, cost of goods that you are paying to the supplier on per unit basis, All FBA Fees, miscellaneous variable costs (cost of shipping, packaging, etc.), except promotion and discount costs.
Creating your First Amazon PPC campaign involves the following steps:
- Start your automatic targeting campaign by clicking on”Create a Campaign”.
- Start your manual targeting campaign that allows you to upload selected keywords’ list.
- Import your keywords.
- Run the campaign for a week without making any adjustments.
Optimize Your Campaign
The last and most important step is to optimize your campaign for selected keywords. The Amazon PPC advertising platform is easy and simple, not only for management, but for optimization too. You have to focus on the following areas for campaign optimization:
- Filter the keywords by ACoS: Identify the keywords that convert to sales and at what ACos, after a week.
- Filter by Order Numbers: Helps you check the keywords that convert the most.
- Filter the Keywords by Spend: Filter by Spend to make sure that you know all of the keywords that you are investing in.
- Bids: If keywords are converting, but at ACoS, then adjust the bids accordingly.
- Broad Match: Most of the time, this is the only match type offered by Amazon if you want to control searchers accurately for which you have to employ negative keywords.
Now, you are ready to start with your Amazon PPC campaign. Good Luck!
If you want to increase sales for your private label products faster, then Amazon’s Pay per click (PPC) advertising platform comes with an easy, simple and effective solution for you. Here’s your guide.