Table of Contents Hide
- What Is the difference between Amazon SEO and Amazon PPC?
- Over Time, Amazon SEO Improves Organic Ranking
- Amazon PPC Instantly Increases Sales
- The Perfect SEO to PPC Ratio on Amazon
- Setting The Right Budget For Your Amazon SEO And Amazon PPC
- The Impact of Amazon SEO and Amazon PPC When Used Together
- Key Tips For Boosting Both Amazon SEO And Amazon PPC
- So Should You Combine Both SEO And PPC ?
Every Amazon marketing approach should be built around two cornerstones: Amazon SEO and Amazon PPC. SEO and PPC are the ideal places to start if you want to increase sales and expand your Amazon business. Is one, however, superior to the other? What’s the difference between the two? And where do you begin?
We’ll look at what Amazon SEO and Amazon PPC have in common and how they differ in this article. We’ll go through how they work and why they’re both necessary for the most effective Amazon marketing plan.
What Is the difference between Amazon SEO and Amazon PPC?
The purpose of Amazon SEO and Amazon PPC is the same: to get your products to appear higher in Amazon search results, which is vital since more visibility implies more sales.
Despite the fact that the goal outcome is the same, the two marketing tools take very different approaches.
Over Time, Amazon SEO Improves Organic Ranking
The goal of Amazon SEO is to increase product visibility by optimizing listings. Amazon SEO increases the organic ranking as well as the sales performance of product listings by containing all relevant keywords and adding content that positively affects click through and conversion rate.
When it comes to Amazon SEO, there are two categories of things to optimize. The first is the descriptive category, and the second is the buyability category
Shoppers on the internet are very visual. They want to learn as much as possible about the things you’re selling. The items buyers see about your product pages are covered by the ranking variables in this area. There are a few things you can do to improve them.
- Product names – must include keywords that are related to the product you’re selling.
- Product descriptions – must include fundamental functions, size or dimensions, and other essential information about your products.
- EBC or A+ Content is a feature that allows vendors to display their products with enhanced content, photos, and a more complete description.
- Price, quantity, and reviews are all options for additional information in your listing.
- To readily attract shoppers, images must be of good quality.
- The CTR (Click-Through Rate) indicates how many people view your listing and how many of them actually click on it.
- The conversion rate of your product refers to how many clicks it receives and how many of those hits are turned into actual sales.
This category encompasses the elements that may aid customers in determining whether or not your products are worth buying.
- Customers’ star ratings may represent how they feel about you and your product. Focusing on the quality of the things you offer may help you earn more star ratings. By delivering excellent customer service, you can raise your star rating.
- Reviews – prior customers’ experiences may provide further information to potential buyers about the quality of your products and customer service.
- Q&A — how you respond to customer questions. It may affect the customer’s decision to buy from your page or not, whether through comments or private messages.
- Inventory levels – keeping track of your inventory will help you stay on top of your business. To avoid running out of materials, prepare ahead when ordering your supplies. Always consider the things that could effect your inventory, such as holidays, demand rate, and so on.
- Good customer service approach — taking care of your customers by effectively connecting with them, whether old or new, will help you earn positive evaluations and a devoted following.
The main advantage of Amazon SEO is that it is free, and product indexing (meaning that a product appears in search results if search terms and keywords on the product listing are an exact match) occurs immediately.
The negative is that it can take a long time for a product listing to rise through the ranks and receive more notice.
Amazon PPC Instantly Increases Sales
Ad campaigns are used by Amazon PPC to attract more customers to your product listing. Let’s look at ‘Sponsored Products,’ the most prevalent type of PPC campaign (alternative formats include ‘Sponsored Brands,’ formerly known as ‘Headline Search Ads,’ and ‘Product Display Ads,’ for comparison).
The following is how it works: You place a bid on relevant keywords for your product listing.
Bidding on the website includes trading at the second price. It means you’re no longer obligated to pay for what you’re delivering on this phrase. For this term, you pay a penny more than the second-highest offer.
For example, if you offer $4.00 for a keyword and your opponent offers $3.50, you must pay $3.51 to beat your competitor’s offer. This means that your products, including this phrase or search term, will appear. Manually or automatically, this can be done.
When a consumer searches for that term or related keywords, your ad will appear in the search results or on the product page, highlighted. Regular optimization efforts, such as CPC adjustments, are required for successful campaigns.
This indicates that Amazon PPC has a wider search range than Amazon SEO because the ad isn’t only triggered by exact keywords. Furthermore, depending on how high the bids on specific keywords are, Amazon PPC has the advantage of increasing awareness (and thus sales) very quickly, sometimes even instantly.
The Perfect SEO to PPC Ratio on Amazon
Almost any keyword tool can tell you how many organic keywords you index and how many PPC keywords you advertise for. Take note of these figures.
You should have twice as many SEO keywords indexed as PPC keywords marketed. You don’t have enough ad budget to acquire as many conversions as feasible if you have too few keywords in your PPC campaign. You don’t have enough organic juice to give your PPC campaigns the best possible assistance if you have too few keywords in your SEO.
Setting The Right Budget For Your Amazon SEO And Amazon PPC
There’s also an ideal Amazon SEO to Amazon PPC spend ratio. Although paying for Amazon SEO may appear paradoxical at first, the truth is that earned media isn’t “free.” It requires time and money to optimise your Amazon SEO, whether you do it yourself or hire someone to do it for you. To get the highest ROI for both Amazon SEO and Amazon PPC, it’s critical to pay attention to how you distribute resources between the two.
Your ad spend divided by all sales, paid and organic, is your Total Advertising Cost of Sales, or Advertising Cost of Total Sales. You can experiment with this percentage, but we recommend allocating at least 10% of your gross sales on advertising. If it’s less than 10%, you’re losing sales, and if it’s less than 7%, your company is most certainly shrinking.
Let’s construct a new metric for Amazon SEO called SEO Cost of Total Sales, or SCoTS, because this ratio is by its very nature focused on PPC.
A SCoTS of around 3% is recommended. Most people set aside a certain amount of money for SEO and refuse to spend any more. There are several reasons to invest a significant amount of money in your SEO.
If you’ve been doing Amazon PPC for a while, you’ve probably seen that the costs are rising. The more people who advertise on Amazon, the more expensive it becomes. That trend will continue indefinitely, thus investing in organic marketing is a wise decision. Because fewer people spend in their Amazon SEO on a regular basis, it can provide a significant benefit.
Long-term growth is a result of earned media. It gives you a significant advantage over your competition because it necessitates long-term investment. Plus, if you continue to invest in earned media, you’ll be able to keep your lead even while your competitors invest in their own.
The majority of your sales will be organic, regardless of how effective your Amazon PPC approach is. As a result, SEO deserves to be given some resources so that it can generate as many organic conversions as feasible.
The Impact of Amazon SEO and Amazon PPC When Used Together
When both Amazon SEO and Amazon PPC are utilized together, the powerful positive reinforcement leads to even more significant improvements in ranking and sales.
How Amazon SEO Helps PPC Campaigns Succeed
On Amazon, ad placement is determined by relevance. That is, Amazon will only display your PPC campaign if it is related to a customer’s search phrase. As a result, PPC advertising can only be successful if a product listing has been optimized for relevant keywords utilizing Amazon SEO.
Increased sales are the desired objective of every PPC campaign. Customers who click on a product page and convert to buyers are said to have made a sale. What factors aid in increasing CTR and CR? Amazon Search Engine Optimization (SEO).
When you convert on a keyword for PPC, it improves the keyword’s SEO metrics. You’ll never get to the top of search results if you can’t consistently convert for a term, no matter how much money you spend on it. It’s critical to optimise your conversion-based ranking elements if you want to succeed with Amazon PPC and SEO.
One of the most important ways SEO may help you boost your PPC is by providing you with new keyword suggestions. Simply do a reverse ASIN check on your own product to see your organic keywords and where they rank, and you’ll be able to uncover high-potential keywords for which you should bid to improve your organic ranking.
How Does Amazon PPC Help Organic Rankings?
Now, Google has stated unequivocally that running advertising on a keyword has no effect on organic ranking. Meanwhile, due to brand familiarity, you do get some downstream organic bump for running advertisements on Facebook. Nonetheless, there’s no evidence that it improves your organic ranking.
The story is different on Amazon. Amazon’s paid search ranking is influenced by the same factors that drive its organic position. The purpose of Amazon’s organic ranking system, in other words, is to serve products that are both relevant and buyable.
The organic ranking of a product is directly influenced by sales. As a result, more sales produced through PPC ads will improve a product’s organic rating.
This influence is particularly relevant when it comes to new items. New items typically lack a sales history and, as a result, performance data, which hurts organic ranking. This can be changed using Amazon PPC, which drives traffic to the product listing and so increases sales.
Key Tips For Boosting Both Amazon SEO And Amazon PPC
Continue to optimize everything!
This is where things start to become “interesting.” When you launch an auto campaign, Amazon begins to show you what it considers to be related to your product. You may then evaluate your Amazon PPC statistics before editing or modifying your listing to ensure that you only appear for keywords that are actually related to your product.
Also, keep in mind that Amazon can go down at any time. If you notice that you’re showing up for items you don’t want to show up for or aren’t converting for, it’s time to modify your listing and optimize your Auto campaign using negative keyword matches. You can be quite certain that you will not optimize for your Auto campaign or the keywords that Amazon feels are appropriate for your product if your CTR is less than 0.36 percent. As a result, go back to the drawing board and improve your back end.
Take a closer look at your Amazon Advertising Reports.
Review your Amazon search phrase statistics to find the most valuable search terms that convert the best and use them to increase your organic relevancy factors.
Another issue to consider for those powerful keywords is how buyability affects Amazon’s positive feedback loop. That is, the more sales you achieve via Amazon PPC, say 100 versus 70, the more opportunity you’ll have to improve those buyability criteria.
What you actually want to consider is how many reviews are coming in from those paid orders, as well as what the organic paid review ratio is. You should begin by using these elements to assist you develop an overall strategy, which you can then utilise to improve your overall rankings, both paid and organic.
You’ll enhance your ranks and get more sales as a result, increasing your buyability. As a result, the positive feedback loop, also known as the flywheel, continues to operate.
So Should You Combine Both SEO And PPC ?
PPC on Amazon and SEO on the other hand get along fairly smoothly, but can they coexist? Should you pay for a keyword ad if you currently rank top in the search engine results? Absolutely.
On the same keyword, Amazon PPC and SEO do not compete, but rather complement each other.
To begin with, if you rank well for a term but don’t promote for it, you’re inviting your competitors to swoop in and take your sales.
Second, seeing your PPC ad near your organic results establishes you as a key industry player in your customer’s mind. This gives your goods a more legitimate appearance, enhancing your conversion chances.
You can’t afford to advertise on all of your SEO keywords at the same time. If you use PPC on broad keywords, you may wind up with a lot of clicks but no conversions, but they would be fantastic if they had high organic rankings. Where you have a high conversion rate, combine your PPC and SEO efforts.
Treat your Amazon PPC and Amazon SEO campaigns as if they’re two peas in a pod. Keeping your PPC and SEO tactics in sync will pay off handsomely.
The ideal SEO keyword-to-PPC keyword ratio is 2:1. Your ad spend is too low if that ratio is too high; if it’s too low, your PPC isn’t getting as much organic juice as it could be.
Amazon SEO should account for roughly 3% of your whole sales revenue. While SEO is a form of earned media, getting that organic deliciousness still requires time and money. Investing in Amazon SEO on a regular basis will help you build and retain a strong competitive advantage.
Amazon PPC can help you improve your Amazon SEO and vice versa. You may improve your chances of ranking high in organic search results by spending in tailored PPC advertising for your strike zone keywords. On the other hand, using reverse ASIN lookup, SEO can help you uncover fresh keywords for PPC.
Conversion is crucial in both cases, therefore alter your conversion-based ranking variables to ensure you can convert for your keywords. Conversions help you rank well in search engines and keep your PPC efforts from being throttled.
On the same keyword, don’t be scared to employ Amazon PPC and SEO. The combination of its parts is greater than just its parts. It prevents your competitors from stealing your sales while also positioning you as a prominent player in the market.