This strategy and optimization guide is designed to help you through the entire process. After reading this blog, you’ll have a solid grasp of campaign implementation and optimization.

This article will teach you what you need to know about PPC advertising. We’ll cover topics like:

• What is Amazon PPC, and how does it work?The different types of Amazon ad campaigns

• How to set up and manage your PPC advertising

• Tips and strategies for optimizing your Amazon ad campaigns and ad spend

• Common mistakes sellers make with their Amazon ads (and how to avoid them)

At the end of this guide, you will thoroughly understand how to set up and manage your own campaigns. So let’s get started!

What does Amazon PPC Entail?

Amazon pay per click advertising is a paid marketing strategy in which sellers bid on keywords to show their product listings in Amazon’s search results and sponsored product ads.

When a consumer searches for one of your selected keywords, your ad will appear in either the “Sponsored Products” section at the top of the search results page or the “Product Ads” section on the right-hand side. You’ll pay Amazon a small fee if your ad is clicked (hence the name “pay-per-click”).

Why Should I Use PPC Ads?

1. To get your products in front of shoppers who are already interested in what you’re selling. When someone searches for one of your targeted keywords, it means they’re already interested in products like yours.

   So if your ad is relevant and catches their eye, there’s a good chance they’ll click through to your listing or landing page and consider making a purchase.

2. To increase your organic ranking for certain relevant keywords. Amazon uses a complex algorithm to determine which products to show for each search query.

   But one of the factors they consider is whether or not a product has been running PPC ads for the corresponding keyword, which is an integral part of digital marketing.

So if you want to improve your organic ranking for certain keywords, running PPC ads can help.

How Do Amazon FBA Ads Work?

These ads work on an auction-based system, where sellers bid on keywords to try and win the ad space. Amazon has a PPC advertising strategy to help sellers get extra visibility on Amazon.

When a shopper searches for one of your targeted keywords, Amazon will look at all the sellers who are running ads for that keyword and select the one with the highest “ad rank.” Ad rank is determined by a combination of your bid amount and your “quality score,” which is based on factors like relevancy, click-through rate, and conversion rate.

If you have a higher ad rank than other sellers, your ad will likely be shown to shoppers. And if you have a lower ad rank, your ad is less likely to be shown.

Of course, this means that you’ll need to carefully select the keywords you bid on and how much you’re willing to pay per click. But we’ll cover all of that in more detail later on.

Selecting Which Type of PPC Advertising Is Right For Your Business

Amazon provides a variety of ad formats for sellers with varying targeting. These ads help you to know what kinds of searches are suitable for a product or service on Amazon. Let us look at the options in the upcoming section.

What Are the 4 Types of Amazon PPC Advertising?

There are four different types of Amazon advertising campaigns:

1. Amazon Sponsored Product Ads

Sponsored Product ads are the most common type of Amazon ad campaign. They allow you to target specific keywords and have your ad show up in the “Sponsored Products” section at the top of the search results page.

2. Product Display Ads Campaigns

Product Display Ads (formerly known as Product Targeting ads) campaigns are similar to Sponsored Products campaigns but give you more control over ad placement. With this type of campaign, you can target specific products, categories, or brands, and your ad will appear on those product pages.

3. Headline Search Ads Campaigns

Headline Search Ads allow you to place your ad above the search results for certain keywords, which will take visitors to your listing or landing page.

4. Sponsored Brands Campaigns

Sponsored brand ads (formerly known as Brand Registry ads) are a way to promote your brand on Amazon rather than individual products. With this type of campaign, you can create an ad that features your brand logo and up to three of your products. Your ad will appear in the “Sponsored Brands” section at the top of the search results page.

How Do I Determine My Advertising Budget?

Your Amazon PPC budget will depend on several factors, including your product’s price, the competitiveness of your niche, and how much you’re willing to spend per sale.

It will be helpful for your business in determining your advertising budget based on your estimated ROI (RoAS) – Return On Investment or Return on Ad Spend.

To start, we recommend allocating 5-10% of your total revenue to your Amazon PPC budget. So if you’re selling $10,000 worth of products per month, you would aim to spend $500-$1,000 on PPC ads.

Of course, this is just a general guideline. You’ll need to experiment with different ad budgets to see what works best for your business. But it’s a good starting point.

Top 5 Reasons To Try Amazon Pay-Per-Click Marketing

If you’re still on the fence about whether or not Amazon advertising is right for your business, here are five good reasons to give it a try:

1. It can help you increase your sales and revenue.

2. It can help you get your products in front of more shoppers.

3. It can help you improve your product’s ranking on Amazon.

4. It can help you build brand awareness and recognition.

5. It can help you test new keywords and products.

Amazon marketing campaigns are an excellent way to get sales. All campaigns have an objective to grow sales for a given product.

How Do I Get Started? How to Set Up a Campaign

Now that you know the different types of campaigns, let’s take a look at how to set one up.

1. Log in to your Amazon Seller Central account and click on the “Advertising” tab.
2. Click on “Campaign Manager.”
3. Click on “Create Campaign.”
4. Select the type of campaign you want to create and give your campaign a name. Then click on “Continue.”
5. You’ll need to select your target audience on the next page. You can target by:
   Location: Choose the countries/regions where you want your ad to be shown. For example, if you’re only selling to shoppers in the United States, you would only select “United States.”
   Language: Choose the languages that your target audience speaks. For example, if you’re targeting Spanish speakers in the United States, you would select “Spanish (United States).”
   Gender: You can target males, females, or both.
   Age Range: You can target a specific age range or all ages.
   Household Income: You can target shoppers based on their household income.
   Marital Status: You can target shoppers based on their marital status.
   You can also create a custom audience by targeting shoppers who have visited your Amazon listing or store.

6. On the next page, you’ll need to set your budget and schedule. For your budget, you’ll need to set a daily budget and a maximum bid.

Your daily budget is how much you’re comfortable spending on your ad each day, and your maximum bid is the most money you’re willing to spend for one click on your ad.

You can run your campaign continuously or select specific start and end dates for your schedule.

7. On the next page, you’ll need to set up your payment information. If you don’t have a credit card on file with Amazon, you’ll need to add one now.

8. On the next page, you’ll need to select the products you want to advertise. You can either search for specific products or browse by product category. Once you’ve selected all of the products you want to include in your campaign, click on “Continue.”

9. You’ll need to create your ad on the next page. Start by choosing a template for your ad. Then enter your headline, brand name, and product images. You can also add additional text to your ad if you want. Once you’re done creating your ad, click on “Continue.”

10. On the next page, you’ll need to review your campaign settings and ensure everything is correct. Once you’re happy with everything, click on “Submit Campaign.”

Your campaign will now be submitted for review and will go live once it’s been approved by Amazon.

Amazon Ads Keywords & Match Type

When creating your Amazon PPC campaigns, you’ll need to choose the keywords that you want to target by doing keyword research for different products. There are three different types of keyword match types on Amazon:

• Broad match keywords will show your ad for any searches that include your keyword and related terms you found when doing keyword research. For example, if you’re targeting the keyword “women’s shoes,” your ad could show for searches like “women’s shoes size 8” or “black women’s shoes.”

• Phrase match keywords will show your ad for any searches that include your exact keyword phrase and related terms. For example, if you’re targeting the phrase “women’s shoes size 8,” your ad could show for searches like “women’s shoe size 8 wide” or “women’s shoe size 8 black.”

• Exact match keywords will only show your ad for searches that include your exact keyword phrase. For example, if you’re targeting the phrase “women’s shoes size 8,” your ad would only show for the search “women’s shoe size 8.” It would not show for related searches like “women’s shoe size 8 wide” or “women’s shoe size 8 black.”

You can choose to target all three types of keywords or just one or two. It depends on your goals for your campaign.

Amazon Ads Bidding Strategy Including Negative Keywords

There are two different types of bidding strategies you can use for your PPC campaigns:

Automatic Bidding: Automatic bidding on Amazon allows the website to set your bids for you, which is determined by how much you’re willing to spend each day. Amazon will work to get as many clicks on your ads as possible for the budget you set.

Manual Bidding: With manual bidding, you’ll need to set your own bids for each keyword. You can set different bids for different keywords depending on their competitiveness.

You can choose to use either type of bidding strategy or a combination of both. It all depends on your goals and preferences.

How to Optimize Your Amazon Advertising Campaign

Optimizing your ad campaigns is the best way to constantly test and experiment. Try different types of ads, ad groups, ad placement, target keywords, and bidding strategies. Monitor your campaign’s performance and make changes as needed.

It’s also important to keep an eye on your competition. See what they’re doing and try to improve upon it. If you’re not sure where to start, here are a few things you can do to optimize your campaigns:

1. Start with a small budget: When you’re first starting out, it’s best to start with a small budget. You can increase your budget as you start to see results from your campaigns.

2. Target long-tail keywords: Long-tail keywords are less competitive and usually have lower cost-per-click. They’re also more likely to convert since they’re more specific.

3. Negative keywords can help you filter out irrelevant searches so that your ad only shows relevant searches. This helps improve your click-through rate and conversion rate.

4. Test different ad types: There are a few different types of ads you can use on Amazon. Try out different types and ad groups to see which works best for your products and target keywords.

5. Test different bidding strategies: You can use either automatic or manual bidding or a combination of both. Test out different bidding strategies to determine which works best for your campaign.

6. Monitor your campaign’s performance: It’s important to monitor your campaign’s performance and make necessary adjustments. Amazon Advertising Console is a great way to do this.

7. Keep testing and optimizing: PPC is an ongoing process. You should always test and optimize your campaigns to get the best results possible.

Amazon ads are a great way to drive traffic to your listings and boost sales. By following the tips above, you can optimize your campaign for success.

PPC Reporting & Tracking

Now that you know how to set up a PPC ad campaign, it’s time to learn how to manage it.

• The first step is to check your campaign results regularly. Amazon will provide you with your campaign’s performance data, including the number of impressions, clicks, and sales your ad has generated.

• Once your campaign is up and running, you’ll need to track its performance to make necessary adjustments. You can track your ad performance with Amazon Advertising Console.

You can see how many clicks and sales you’re getting and your average CPC and ACoS. You can also make changes to your campaign from here.

Conclusion

Amazon PPC is a great way to get your products in front of potential customers on Amazon. When creating your campaigns, you should keep a few things in mind, such as your budget, target keywords, and ad types.

You should also monitor your campaign’s performance and make necessary adjustments. By following these best practices, you can create successful campaigns that will help you boost sales and grow your business.

Amazon pay per click is a great way to drive traffic to your product listings and boost sales. However, it’s important to understand how the system works before you get started.

Are you looking for Amazon PPC services? Reach out to Norm and his team here, to book a consultation