How to Fix Your Zero-ROI Amazon Sponsored Display Ads

Last updated on March 9th, 2023

Written by Ken Zhou

To boost sales on Amazon, you must let your target audiences know about your product. Amazon Sponsored Display Ads (SDA) can help you with that. 

What is an Amazon Sponsored Display Ad? It’s an ad that a seller can buy and display in key Amazon spaces such as the home page, search results, and product pages.

Amazon Sponsored Display Ads are targeted, appearing only to users who have shown an interest in similar products. You can customize these ads to target specific demographics, interests, and purchase histories.

Sometimes when running a Sponsored Display campaign, you might not get the ROI you were hoping for. What could be the reason behind this?

In this blog we'll explore some of the reasons your SDA campaign is not performing and offer tips on how to get better results.

Reasons Your Ads Have Low ROI

Your Amazon advertising campaigns are a necessary part of your Amazon marketing strategy, but they can drain your resources if they're ineffective in generating sales. 

Feeling like you’re throwing away money is frustrating for Amazon sellers. So if you're not seeing the ROI you want from your Amazon Sponsored Display Ads, take a look at these common reasons.

1. Poor targeting

The wrong audience will see your ads when you mistarget them. No matter how great your products are, the shoppers who will see your ads won't buy your product simply because it's not what they're looking for. 

Make sure your ads will convert into Amazon sales by targeting the right audience. You can target your audience based on demographics, interests, and habits. Once you have a good grasp of your target demographic and what they want, you can build ads that will catch their attention and compel them to take your desired action.

2. Boring ad copy 

Grabbing attention is critical when it comes to ad copy. It’s ideal to create headlines and descriptions that are enticing and intriguing enough for shoppers to want to learn more about your product. If your ad copy isn't interesting, no one will click on it. 

How can you make your ad copy irresistible?

• Use powerful words to trigger curiosity or desire.
• Make your descriptions clear and concise. Provide enough information to pique someone's interest without giving too much away.
• Don't forget to add a call to action to urge people to take the next step.

By following these tips, your ad copy will grab attention and convert visitors into customers.

3. Lackluster ad design

If you want to generate sales from your ads, you need to consider your ad design. A well-designed ad will help you stand out from the competition because it will capture your audience’s attention and communicate your intended message. Aside from increased sales, investing in professional graphic design pays off through increased brand recognition.

When designing your ad, keep the following in mind::

• Use high-quality images that are relevant to your product or service.
• Keep the copy short and sharp.
• Use colour and contrast to make your ad visually appealing.

4. Bidding too low or too high on keywords

When choosing keywords to bid on, it's important to strike a balance. If you bid too low, not enough people will see it; if you bid too high, you are spending more money than necessary. In either case, getting a strong ROI is not a guarantee.

Experimenting with different bids to determine what works best for your products is the smart approach to striking that balance and getting maximum results for a minimum ad spend.

PPC Management: The Secret Behind a Winning Sponsored Display Ad Campaign

Just because you didn't see amazing results from your first few Sponsored Display ad campaigns doesn't mean you should give up. You can keep testing and tweaking your campaign or let an Amazon sponsored ads expert handle them for you. 

Running a successful ad campaign takes more than just placing a few ads and watching the money come rolling into their account. It takes planning, creativity, and a deep understanding of your audience to create ads that resonate and achieve your desired results. 

If you have low- or zero-ROI Amazon Sponsored Display ads, there’s still hope. Amazon account management experts can help you plan and execute a winning campaign to maximize its impact and achieve your desired results. Here's how:

Laser-focused audience targeting 

With laser-focused audience targeting, you can be sure your message will be visible to shoppers who are most likely to be interested in your offer. Their expertise in audience targeting can save you money by avoiding wasteful impressions on people who are unlikely to convert.

Performance tracking and campaign adjustments 

By tracking your results, Amazon ad managers see what works and what doesn’t.  They can make the necessary adjustments to improve your results. 

For example, if they see that your page views are not as high as you would like, they will adjust your targeting options. Or, if they see that your click-through rate is low, they will work on making your ad copy more relevant and compelling to your target audience.

Ready to Boost Your Ad Campaign’s ROI? 

Setting up a sponsored display ad campaign requires strategy and expertise. You have to put some serious thought into targeting, copywriting, design, bidding, and performance tracking if you want to see any ROI from your ads.

That’s why it’s worth investing in an ad expert. You pay them not only for the campaigns but also for access to their expertise and experience in making successful ads on Amazon. They have the resources and skills to manage your advertisements more wisely and effectively than you can on your own.

At Seller Interactive, our team of ad experts has driven successful sponsored campaigns for hundreds of Amazon businesses. If you need help getting started or want someone to take a look at your current campaign, book a consultation call. We're always happy to assist sellers looking to establish a name for themselves on Amazon.