This episode offers Amazon sellers a deep dive into advanced PPC strategies. Learn how to leverage new Amazon data points like Brand Metrics for conversion rate optimization, implement custom bid rules in AdTomic for tailored campaign performance, and strategically consider Lifetime Value (LTV) in your Amazon advertising to achieve sustainable profitability, especially in competitive niches.
Key takeaways
Utilize Amazon's Brand Metrics (found in AdTomic's account overview/brand performance) to compare your product's conversion rate against category averages. A lower conversion rate than the category median indicates a listing/product problem, not solely an ad problem.
Implement custom bid rules within advertising platforms like AdTomic to segment keywords based on strategy (e.g., higher ACOS for top sales drivers, different ACOS for competitor targeting) rather than relying on a single, overall ACOS goal.
For new product launches, set a higher ACOS target initially to drive sales and gather data, as a low ACOS will stifle early traction and negatively impact the "honeymoon period" for ranking.
To justify high CPCs (e.g., $2+ on a $20 product), especially in competitive niches like supplements, calculate and factor in customer Lifetime Value (LTV) by analyzing repeat purchase rates. Amazon provides some LTV data via Brand Metrics (Subscribe & Save) and DSP.
If struggling with ad spend efficiency, first diagnose if it's a conversion rate problem or an advertising problem using Brand Metrics. If it's advertising, refine keyword targeting to more specific long-tail keywords (e.g., 'soft dog toy for small dogs' instead of 'dog toy') or lower bids to appear in less premium, but more profitable, ad placements.
In this episode, Destaney Wishon is back on the show, and she’ll answer many Amazon PPC questions, such as keyword isolation, sponsor display, Prime Day tips, and more.
What does this episode say about paid acquisition?
Utilize Amazon's Brand Metrics (found in AdTomic's account overview/brand performance) to compare your product's conversion rate against category averages. A lower conversion rate than the category median indicates a listing/product problem, not solely an ad problem.
What does this episode say about analytics & attribution?
Implement custom bid rules within advertising platforms like AdTomic to segment keywords based on strategy (e.g., higher ACOS for top sales drivers, different ACOS for competitor targeting) rather than relying on a single, overall ACOS goal.
What does this episode say about conversion & cro?
For new product launches, set a higher ACOS target initially to drive sales and gather data, as a low ACOS will stifle early traction and negatively impact the "honeymoon period" for ranking.
What does this episode say about amazon & marketplaces?
To justify high CPCs (e.g., $2+ on a $20 product), especially in competitive niches like supplements, calculate and factor in customer Lifetime Value (LTV) by analyzing repeat purchase rates. Amazon provides some LTV data via Brand Metrics (Subscribe & Save) and DSP.
What does this episode say about paid acquisition?
If struggling with ad spend efficiency, first diagnose if it's a conversion rate problem or an advertising problem using Brand Metrics. If it's advertising, refine keyword targeting to more specific long-tail keywords (e.g., 'soft dog toy for small dogs' instead of 'dog toy') or lower bids to appear in less premium, but more profitable, ad placements.
