The online marketplace is growing rapidly, bringing in lucrative opportunities for PPC advertisers. If you have had enough of Google Ads and Facebook, and want to try your luck in the fast-growing digital marketplace, Amazon Advertising is just the right option for you.
Amazon is the No. 3 PPC ad seller at the moment, posing tough competition for Google and Facebook – the market leaders in pay-per-click advertising. One of the best things about this platform is consumers are at the bottom of the sales funnel, i.e. they are ready to buy. They have a genuine interest in buying and therefore, are more likely to convert. Plus, the competition is also less on Amazon. As such, conversion rates are higher than Google Ads.
Want to leverage this powerful e-marketplace for successful PPC campaigns? In this blog, we will discuss how to set up an Amazon PPC management campaign and key steps to make it a success.
How to Set up Your Amazon PPC Campaign: A Quick Overview
First, let’s start with getting your Amazon PPC campaign up and running with these simple steps.
Step 1: To get started, you have to sign in to your Amazon Seller Central account. On the home page, click the “Advertising” menu on the top panel and choose “Campaign Manager.”
Step 2: On the “Campaign Manager,” you will have to “Set up your campaign budget and duration.” There is no rocket science here. But if you want to make your PPC campaign successful, here are some tips from Amazon PPC experts:
- Amazon allows you to create several ad groups within a PPC campaign. So, pick a broad name that defines all your ad groups together. You can then individually name each ad group based on its niche on the next page.
- It is crucial that you first determine your monthly Amazon PPC budget and likewise set the daily budget. That is because a meager daily budget of $20 will cost you $280 in just two weeks.
- Do not leave your “End date” open, even if you do not have any set plans as to when the campaign should stop. What if you get busy with another PPC campaign and your advertising dollars continue draining out through this without generating desired results!
- Before you select a targeting type, you should know the differences between “Automatic Targeting” and “Manual Targeting.” The below infographic will help make a wise choice here:
Source: Single Grain
Consult your Amazon PPC agency that can best guide you to choose the right targeting option. Once you fill in all details, click “Continue to next step.”
Step 3: Here, you have to input “Name this group of ads.” Remember, you can create multiple ad groups for the same campaign. Therefore, pick suitable names that distinguish one from the other.
Step 4: Next, select products that you want to advertise. Amazon allows you to advertise only one product for each PPC ad campaign.
Step 5: Select how much you are ready to spend for each keyword. By setting your keyword bid and daily budget, you can determine the number of clicks per day you can generate. For instance, if the daily budget is $10 and the keyword bid is $1, you can expect to get only 10 clicks per day. For maximum effectiveness in bidding and CTR, hire an experienced Amazon PPC consultancy.
Step 6: Next is the most important and trickiest part of setting up an Amazon PPC optimization campaign – choosing the right keywords. Amazon automatically provides “Suggested keywords” based on the type of product you want to promote. You can start by using these suggestions or “Provide your own keywords.” Keyword suggestions will be shown against their respective match type and keyword bid set by you.
If you are a beginner, it is good to go with Amazon’s suggested keywords. Otherwise, you can hire an Amazon PPC management agency to create a comprehensive list of keywords you want to target. They will also help match the keywords on a “Broad,” “Phrase” and “Exact” basis. This aids in better keyword optimization and higher clicks.
Not sure what these keyword types are? Here are some valuable insights that will help choose Amazon PPC keywords wisely and make the campaign a success:
- Broad Match: These are search terms/keywords that broadly match your product. Broad match keywords are less competitive and therefore, cheaper.
- Phrase Match: These are not keywords, rather phrases, which customers use to search a product on the Amazon search engine. Such key-phrases are more specific than broad match and therefore, more competitive and costlier.
- Exact Match: These are keywords that exactly match the product to be advertised. They are quite competitive and thus, more expensive.
- Negative Keywords: Negative keywords are the search terms that you DO NOT want to appear for. Adding negative keywords is an effective Amazon PPC optimisation technique that helps prevent irrelevant clicks, reduces wasted ad spend, and increase conversions.
The below image (with examples) will help you determine which keyword type should you use and when:
Source: The Content Authority
Step 7: Once you are done, click “Save and Finish.” You will be automatically directed to the Campaign Manager and receive a “Success” notification. The new campaign may take 1 hour before the ads start showing up in Amazon searches.
We always recommend hiring Amazon PPC management experts to set up and launch a successful ad campaign.
Amazon PPC Success Depends on Effective Bidding Strategy
A lot depends on how strategically you bid on keywords. Here’s a quick guide for you:
- Bidding Low: When you bid low, especially on high-competition keywords, you can reduce your Advertising Cost of Sale (ACoS) and improve ROI. But it can affect your ad visibility and ranking.
- Bidding High: Higher bids on keywords can help boost your ad visibility on Amazon but can increase your ACoS. Typically, you should bid high on most competitive keywords to appear for them.
Source: amazon campaign bidding strategy