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- Stage 1: Bulk Optimization
- Stage 2: Isolated Campaign Optimization
- Phase 3: Autopilot Mode
Anyone may create a campaign for a product, run it for a certain length of time, and hope for sales. Marketers who do business in this manner are betting on finding a winner before their finances run out. In order to launch a successful Amazon ad campaign, they’re looking for a miraculous break.
To be successful in the Amazon advertising sector, every Amazon seller must master the art of Amazon Sponsored Ads campaign optimization. Sellers frequently fail to see that their campaigns are set up in a way that hinders rather than aids sales. Even if a seller uses this strategy to create a winning campaign, they won’t know how to make the essential improvements the next time around.
Many Amazon sellers are unaware that their campaigns are set up in a way that hinders rather than boosts sales. To be successful in the Amazon advertising sector, every Amazon seller must master the art of Amazon Sponsored Ads campaign optimization. Consider Campaign Optimization to be the foundation upon which you will construct the robust framework of your Amazon business.
To properly manage and optimize Amazon Sponsored Ads campaigns, let us explore a few terminologies and concepts of Amazon PPC.
Targeting (Keyword, ASIN, Category, Views remarketing) – When you create an Amazon PPC campaign, you may select to target your advertisements based on keywords, product ASINs, and Amazon categories, as well as remarketing on other websites to audiences who have previously visited particular Amazon items.
Search terms vs. Targets (e.g. Keywords) – In the case of product page placements, ‘search terms’ refers to any search query the buyer puts into the Amazon search field, or the ASIN the ad appears on. ‘Targets’ are the keywords, ASINs, and categories that you, as the advertiser, bid on in your ad campaigns. A target (for example, a keyword) might encompass numerous search phrases depending on the match type used.
Keyword Match Types – For an ad to show on Amazon, the degree of match between the keyword and the consumer search term is determined by Keyword Match Types. Broad, Phrase, and Exact match categories are provided, each with various degrees of ad targeting precision and administrative work.
Negative Targeting – Negative targeting is used by advertisers to assist them to filter out undesired search phrases from their campaigns. Negative targeting, when used correctly, maybe a very strong technique for controlling your Amazon PPC operations. Negative keywords (which exclude impressions for specific searches) and negative ASINs are examples of negative targets.
Campaign types – There are two types of campaigns: automated and manual. The primary distinction is that a manual campaign will provide you with more precise results. You let Amazon run your advertisements for you in an automated campaign, and your ad will be automatically matched to all the search phrases Amazon considers relevant to your product. You specify the targets for which your ad should be displayed in a manual campaign, providing you with more ad targeting precision.
Dynamic Bidding – Advertisers may establish preset bids or utilize Amazon’s dynamic bidding options (‘bid down,’ bid ‘up and down,’) to have Amazon alter their bids in real-time depending on conversion likelihood.
Adjust Bids by Placement – Advertisers may use this tool to change their bids to target the top of the search page and the product detail page. For targeted placements, a bid modifier ranging from 0% to 900% might be used.
ACoS – A brief understanding
If handled appropriately with the relevant Performance metrics, Sponsored Ads campaigns may yield significant revenues for an Amazon merchant. The advertising cost of sales, which exposes the expense of acquiring one client, is an essential indicator to watch.
Managing ACoS will allow you to easily pinpoint the efficacy of each Sponsored campaign, while consistently optimizing your ad expenditure will help you achieve a lower ACoS. It is a criterion that helps you measure the effectiveness or the potency of your ad campaign. To be brief, there is nothing called a good or a bad ACoS. It all depends on your way of approaching the ad and the strategies you put into it.
Here’s what you need to know to guarantee that your Sponsored Products, Sponsored Brands, and Sponsored Display campaigns are as efficient and optimized as possible.
The 3 Stage Process of Campaign Optimization
Stage 1: Bulk Optimization
A large subset of Amazon Advertising Management Services clients was discovered to have done very little optimization in their Sponsored Products campaigns, while their Sponsored Brands, Sponsored Brands Video, and Sponsored Display campaigns remained essentially unchanged.
Bulk Edit enables you to apply Campaign Optimization methods to several campaigns and ad groups at the same time. It is only done if you have established campaigns that have been running for some time. You may choose from a variety of campaigns, apply criteria (or use pre-built filters), and then look for underperforming SKUs, keywords and targets, search phrases, and words.
You may make large-scale bid modifications at once, halt particular SKUs inside certain ad groups if they aren’t reacting well to advertisements, and even bulk-add negative exacts to campaigns and ad groups. Individual words that are your worst offenders can also be found and optimized.
Bulk Edits include the following optimization methods :
- Find underperforming search phrases across all of your campaigns that are producing clicks but no income at the same time.
- Find particular keywords or targets that are underperforming concerning your stored campaign settings across all of your campaigns.
- Identify all of your campaigns’ particular terms that aren’t connected to successful sales at the same time.
- Find the SKUs that aren’t doing well across all of your campaigns.
Stage 2: Isolated Campaign Optimization
This stage is where you delve a little further into each specific campaign to improve it. Here are four basic Campaign Optimization tactics to help you reduce your ad cost.
Optimizing your keywords and targets
It is ideally suited for Phrase/Exact Match Campaigns and also Automatic Targeting Types and Product Targeting. This includes pausing irrelevant terms when required and raising or lowering your keyword bid to align with your ACoS Strategy.
You’ll make your items visible to more relevant, high-value prospects than ever before with the appropriate Amazon keyword research approach. Plus, with well-optimized product titles and product detail pages, you’ll be able to convert that increased exposure into clicks and conversions at a rapid pace.
It’s also a positive feedback loop. Higher visibility is the result of excellent keyword research. More clicks are generated by increased exposure and better product names. More conversions result from more clicks and excellent product detail pages. More conversions equal better search ranks, and so on.
Optimizing your SKU
It may be applied to any campaign with many SKUs or variants. This is the most fundamental type of optimization. SKU optimization, also known as rationalization, is a method for determining which products to stay on the shelf and which to retire based on profitability. Inventory optimization is another name for the procedure.
SKU optimization provides information on which goods are performing effectively and how much income each of them contributes to your business, allowing you to make smarter business decisions. Here SKUs that aren’t doing well should be put on hold.
Search Term Optimization
Efficiently works for all campaigns but especially well for Research, ACoS Scraping, and Phrase/Exact Match Type Expansion. For a particular keyword, this is used to determine the specific search words that aren’t converting. Within a campaign, it may be used on both advantageous and non-profitable keywords. Use a “Negative Exact” method to exclude search phrases that are weighing down the progress of your advertisements.
Thorough knowledge of keywords and search phrases provides your Amazon approach with specificity, cost efficiency, and competitive advantage.
Isolated search phrases allow you to control the bid on a single search term rather than a group of search terms connected to a keyword. This is the only way for Amazon advertising to expand while maintaining true ACoS and profitability.
Every dollar of your marketing budget matters and isolating search phrases can help you make sure you’re not wasting it. You’ll also have the perfect recipe to grow if you can find a technique to separate search phrases automatically with technology. You may take gradual control of your PPC ads, discover search term gaps, and enhance conversions with specific information from an analytics tool. It’s even better if you can segment this data into locations, personas, and purchasing paths.
Negative Word Optimization
Works particularly well in the Automatic, Research, and ACoS Scraping campaigns. But can also be extended to all campaigns. Here you identify the terms that haven’t been related to any significant sales and use a “Negative Phrase” strategy to keep them out of the spotlight.
It’s rather straightforward to detect which search phrases are causing your campaign problems using Amazon Advertising’s measurability.
You can use this information to create a safety net around your advertisements, preventing these phrases from inflicting more devastation.
The measures listed below are recommendations, not rules, that can be tweaked to match certain niches. To discover low-performing phrases that should be transformed into negative keywords, apply the following three metrics:
- Low CTR non-converters – It’s not worth your effort to use search phrases that bring your ad over 2500 impressions with a CTR of less than 0.18 percent and no conversions. They are lowering the ranking of your product. They must be stopped.
- High spend non-converters – This may vary depending on your budget and profit margins, but any search phrases that generate more than $35 in ad cost but no conversions should be deleted.
- High click non-converters – Given that Amazon sellers’ average conversion rate is 9.8%, anything with more than 34 clicks that haven’t converted yet is already failing terribly. It must be eliminated.
Negative keywords are an important part of any excellent Amazon PPC campaign since they cut down on wasted money, improve product ranks, and prevent keyword cannibalism. The sooner you begin implementing them, the sooner you will be able to accomplish all of your Amazon seller goals.
Phase 3: Autopilot Mode
Once all of your campaigns have been bulk optimized and personalized, automation may be enabled to make tiny modifications in the background without having to spend time doing it manually.
Use Autopilot Mode to track the ACoS, CTR percent, and a number of impressions for each term, as well as raise or lower bid rates based on the criteria you’ve defined (defaults settings can also be used). You can set up autopilot for both automated and manual campaigns to include bad-performing search phrases as negative exacts depending on the number of clicks without sales or the CTR percent.
- Autopilot constantly stays in the loop by running a single time every day
- Every target in the campaign is reviewed by Autopilot. It then compares the keyword bid price to your previously defined ACoS. The system then tries to match your bid price to your ACoS.
- Your bid price may be raised (to produce more impressions for successful ads) or decreased by Autopilot (in an attempt to get a more favorable click price)
- By default, Autopilot examines 90 days of data.
- If a search word (Negative Exact) satisfies certain specified criteria based on search term data, Autopilot allows you to automatically reject it. This may be customized based on the campaign type (phrase/exact match).
- Autopilot will ignore keywords, enabling you to retain a term in your campaigns and prevent it from ever getting optimized out. There will be no changes to the bid pricing. There will be no search phrase optimization.
It’s critical to have a well-thought-out, properly planned advertising strategy when developing Amazon commercials.
When establishing a single campaign, there are a plethora of variables to consider, and this becomes even more complicated when considering how numerous campaigns will work together to reach your marketing goals.
All of your Sponsored Products, Sponsored Brands, and Sponsored Display campaigns must be optimized on a regular basis. It keeps your campaigns fresh and offers you a clear view of their performance over time. Campaign optimization is, once again, a crucial component in establishing and maintaining a profitable and growing Amazon business.
Use these three stages of Campaign Optimization as your unique blueprint for achieving the financial and personal independence you seek.