PPC Strategy for Q4 Holiday Sales with Expert Pat Lum from Asteroid X (Part 2)
Firing The Man · with Pat Lum · November 15, 2022 · 31 min
Summary
This episode is a must-listen for Amazon sellers looking to optimize their PPC strategy for Q4 and beyond. Pat Lum breaks down the fundamentals of Amazon PPC, explaining automatic vs. manual campaigns, keyword strategies, and how to effectively scale ad spend while maintaining profitability through ACoS management. He provides actionable advice on setting up initial campaigns and understanding key metrics.
Key takeaways
Start with automatic campaigns with all products at a conservative bid of $0.20-$0.30 and a daily budget of $10-$15 to gather data. This 'catch-all' approach helps identify winning keywords.
Continuously analyze data from automatic campaigns to identify high-performing keywords. Migrate these keywords into manual campaigns and increase bids strategically to optimize spend and scale sales while staying within profit margins.
Understand and monitor your ACoS (Advertising Cost of Sale). Aim for a healthy ACoS (around 30% or lower) to ensure your ad spend is generating profitable returns. Use ACoS to guide budget adjustments and keyword bidding.
Scale winning campaigns by increasing bids on high-performing keywords that are still within your target ACoS. Additionally, increase overall campaign budgets for products/keywords with high search volume and proven conversion rates.
Use sponsored products as your primary ad type, especially if you are not brand registered, as this is where 80-90% of your Amazon sales will likely come from.
Pat is the co-founder and President of AstroidX, an Amazon Partnered Agency that helps its clients dominate its pay-per-click advertising. Over the 5-years, Ken and I have worked with Pat and his team with great results and service. This is part two of our interview with Pat and in this episode, he shares how to succeed as an Amazon seller through efficient systems and strategies. [00:01 - 08:31] The Secret to Succeeding in Amazon The right level of ad spend for your busines...
What does this episode say about amazon & marketplaces?
Start with automatic campaigns with all products at a conservative bid of $0.20-$0.30 and a daily budget of $10-$15 to gather data. This 'catch-all' approach helps identify winning keywords.
What does this episode say about paid acquisition?
Continuously analyze data from automatic campaigns to identify high-performing keywords. Migrate these keywords into manual campaigns and increase bids strategically to optimize spend and scale sales while staying within profit margins.
What does this episode say about analytics & attribution?
Understand and monitor your ACoS (Advertising Cost of Sale). Aim for a healthy ACoS (around 30% or lower) to ensure your ad spend is generating profitable returns. Use ACoS to guide budget adjustments and keyword bidding.
What does this episode say about amazon & marketplaces?
Scale winning campaigns by increasing bids on high-performing keywords that are still within your target ACoS. Additionally, increase overall campaign budgets for products/keywords with high search volume and proven conversion rates.
What does this episode say about amazon & marketplaces?
Use sponsored products as your primary ad type, especially if you are not brand registered, as this is where 80-90% of your Amazon sales will likely come from.
