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These days, many Amazon third-party sellers turn to PPC, or pay-per-click advertising, to increase revenue and stay ahead of their competition. Studies have shown that PPC ads do deliver results, which means you’re investing money in the right platform.
However, the potential for risk is always there and makes vendors wonder, what if I won’t be able to earn more than what I invested?
That’s a reason why they often turn to an Amazon PPC agency for guidance and support. By virtue of their expertise, these agencies provide various services for advertisers to manage and enhance their PPC campaigns.
In this article, we'll tell you what Amazon PPC is, why you need it, where to find the best Amazon PPC agencies, and everything else you might want to know about Amazon PPC. So, read on.
Amazon PPC is an advertising system that amazon offers brands, third-party sellers, and agencies. With Amazon PPC, you can target specific keywords or phrases for your products, and they will appear on Amazon competitor product listings and search results.
This is called pay-per-click because each time a customer clicks on your ad, you will get charged. PPC is based on an auction-style system, summarized here below.
Keep in mind that you can always change the bidding for your existing campaigns. Additionally, you should know that the PPC campaign process is not an easy one, but you can still do it yourself if you're willing to take a risk.
Naturally, though, hiring an experienced Amazon PPC agency seems to be the most convenient option for many business owners and brands.
Regardless of whether you want to experiment or keep your business strategy professional, you’ll have to find the type of PPC ad that works best for you first.
You need more than just organic search engine optimization (SEO) to compete on Amazon. For better visibility, better reach, increased sales, and staying ahead of the competition, your PPC campaign needs to be well-executed.
That’s why it’s important to familiarize yourself with different ad types, and the benefits each can provide.
In addition to screen placements, budgets, and conversion rates, click-through rates vary greatly between ad types. In choosing an ad for your product, you must keep three things in mind:
Even though Amazon advertising is more than PPC, Amazon experts typically optimize three types of Amazon ads.
Businesses can advertise their products based on keywords through Sponsored Product Ads.
Sponsored Product Ads always perform well in terms of click-through rates and sales conversions. As these ads mimic search results, they are intermingled with them and often generate a lot of clicks.
Although, their success highly depends on keyword research.
They usually appear on the left side of Amazon's organic search results, below the product detail page.
There are two types of keyword targeting strategies you can use when creating a Sponsored Product ad.
When using the automatic strategy, Amazon's algorithm determines which keywords are relevant to your listing. Amazon adjusts your ads based on customer clicks and purchases to boost conversions and better fit your listings.
Keyword matches within automatic targeting can be classified into four types.
In comparison to other types of targeting, automatic targeting is relatively easy. This method, however, lacks the optimization options provided by the other method, which is manual targeting.
Manual targeting allows you to pick specific keywords and bid on them. Customers will only see these results if they search for your exact keywords.
Manual targeting enables you to monitor changes in cost closely so that you can adjust as needed. In the long run, these optimizations lead to more efficient and effective ads.
Amazon Sponsored Product ads have proven to be more effective than Google Adwords for many businesses. Furthermore, they are three times cheaper than Google's CPCs or cost-per-click.
Another type of PPC ad is Product Display Ads, which appear on product pages. Marketers can target behavioral segments more effectively with these ads, which are designed as a self-service option paired with ASINs.
Sellers on Amazon can match every deal with an intended audience for a Display Ad.
A seller can target a product's detail page, related categories, related interests, and complementary listings.
Amazon Brand Directory-registered brands are eligible to place Sponsored Brands ads. New and developing brands may want to consider sponsored brands since these can help their target audience become familiar with their brand.
A Sponsored Brand ad appears either as a headline banner or as a video at the top of Amazon search results. With Product Collection or Store Spotlight, you are able to include a logo, a custom headline, and multiple products.
With the video format, you can use a 15-30 seconds video to showcase a single product.
These ads will direct customers to your product details pages or Amazon Storefronts for brands.
Did you know that the “cost to play” on Amazon's marketplace has gone up as more and more sellers flood the market, increasing bidding competition? As a result, sellers will have to employ elaborate marketing campaigns and strategies to stay ahead of the competition.
Moreover, the amount of money you spend on advertising doesn't guarantee that you will reach more shoppers. As a matter of fact, many people spend a great deal of time and money on a project only to get low returns on investment (ROI).
To save both time and money, many Amazon sellers hire an Amazon PPC management service, no matter what their objectives are.
An Amazon PPC agency uses a variety of PPC tools and strategies to optimize your campaigns for significant results.
Ideally, an Amazon account management service will not simply offer a one-size-fits-all approach to brands and sellers. Rather, hiring an Amazon PPC agency helps you figure out which strategy is most effective for your business.
The agency may even provide you with an account manager to whom you can speak whenever you have questions about your campaign.
Perhaps the biggest advantage of working with a PPC ad agency is the expert guidance that takes the stress out of managing your PPC campaign on your own. Here are some of the other notable benefits of working with an Amazon agency:
If you’re thinking about hiring an Amazon PPC agency and want to know what strategies they use to help you increase revenue, keep reading.
Using PPC campaigns effectively means getting your ads in front of shoppers who are already searching for a product like yours. Otherwise, you'll waste money on clicks that won't result in sales. For this reason, your keyword strategy is of great importance.
In order to maximize ad deliverability and spending, Amazon Sponsored Ads should include relevant keywords.
To maximize your return on ad spend (RoAS), you need to match irrelevant keywords negatively. Finding negative keywords can help you avoid paying for clicks that are unlikely to convert into sales. It is not in Amazon's interest nor yours to want your ads to appear in front of unqualified shoppers.
Once you use negative keywords, Amazon won't display your ads when customers search with those terms or keywords. For example, if you sell only bags, you would want "shoes" as a negative keyword so that your advertising budget isn't wasted on irrelevant searches.
The Amazon advertising tool belt includes a number of tools that can be used for negative keyword matching. You can find out which keywords are costing you money by examining your campaign data with the help of an experienced advertising agency.
Optimizing your bidding strategy is a turning point in your Amazon PPC strategy.
It takes time, expertise, and constant monitoring for things to run smoothly.
You can benefit from the expertise of Amazon ad specialists, who know the inner workings of PPC advertising from a critical standpoint.
How much does your average click-through cost? Do you need to use dynamic or fixed bidding? Do you bid on the right keywords? Could you use any other strategies to bring in low-cost conversions?
Answering these questions allow specialists to develop a profitable and data-driven Amazon bidding strategy for you.
Finding out what your competitors are doing right so you can improve your Amazon business is the essence of any competitive analysis.
A PPC manager can help brands stay ahead of the competition by monitoring their competition. With their help, you'll be able to track your Amazon SEO, rank for high-volume keywords that your competitors aren't, and increase your ROI.
By analyzing your competitors' tactics, you can determine what they are doing to achieve success and how aggressive you must be in your advertising campaign to win Amazon's Buy Box.
Depending on your strategy, you may choose to compete on the same keywords as your competitors or target queries they aren't targeting.
By examining your own reports diligently, you can identify which queries are most frequently used, which keywords are performing well, and which keywords may be overlooked. By doing so, you'll have a better idea of search volume, keyword rankings, and the placement of ads.
Amazon PPC agencies combine this marketing knowledge with research on your top competitors to find the gaps you can find and exploit. However, this process requires considerable time and expertise.
How many times have you been the victim of cart abandonment? How many clicks resulted in a sale? What was the percentage of new-to-brand purchases? The most important question is, who’s going to track all that data and adjust accordingly?
Few people enjoy staring at spreadsheets all day. Analyzing your Amazon PPC ads performance is time-consuming, but it's necessary to improve your results.
Most sellers review their campaign reports only on occasion. Amazon PPC agencies, on the other hand, analyze keywords, products, and ad group levels regularly and adjust accordingly.
As a result, they will gain insight into the sales and performance of advertised products, the ad performance by keyword, and the performance of different placements of ads.
Now that you know the importance of hiring an Amazon PPC agency, it’s time to introduce you to one of the best in the business for effective and cost-effective campaigns.
Joshmeah is a digital marketing agency composed of a team of designers, copywriters, social media consultants, business development advisors, SEO experts, etc., that can help you manage and improve your Amazon PPC campaigns.
Whether you are a startup or a large corporation, JM&Co. experts have the experience to find new trends and take them to the next level to help you stay ahead of your competition. We are a full-service digital marketing agency that offers all the services you need to optimize your Amazon PPC campaigns, and we have the results to prove it.
Even if you’re new in the market and have opened an Amazon eCommerce store recently, our team can help you establish your brand.
With data-driven marketing strategies, research, extensive experience, and an entire suite of marketing tools, we’re here to assist you in getting the best results while running your Amazon PPC ads.
Our services include:
Don't let time pass you by, and contact a professional analyst today to discuss your Amazon goals.
One of the best ways to get your products in front of a bigger audience on Amazon is by using Amazon PPC. This advertising method targets specific keywords you have in mind, and they will show up in search results when a customer searches that term.
But it's not as easy as people think to advertise on Amazon. Thousands of competitors are promoting their brands and trying to get their products in front of customers. That’s why PPC advertisers usually get help from an Amazon PPC agency.
Agencies like JM&Co are equipped with the resources and expertise to handle everything for you so that you can focus on your business's core competencies.
We hope you found this article useful and if you did, make sure you also check our blog for more articles like this.
Wish you lots of sales and good luck!
The art is building the right growth campaign. The science is in the results.