Step Up Your Game with Amazon PPC Advertising in 2023

amazon ppc advertising

Last updated on March 9th, 2023

Written by Ken Zhou

Advertising is one of the most effective tools for marketing. It is widely used across online and offline businesses to bring traffic to a business website. Amazon has acknowledged this new need with an additional cost pay-per-click (PPC) feature, the Amazon PPC advertising module.

We have compiled the most useful practices you should follow to achieve your marketing goal and reach your target audience ahead of your competitors.

What is Amazon PPC advertising

Amazon Pay Per Click is Amazon's in-house advertising system. With Amazon PPC advertising, you can develop advertisements for your products, which show up for specific keywords. 

It is available to third-party sellers like yourself. You can create ad campaigns for your products and then get charged each time a potential buyer clicks and views the ad. 

Before we go through the details of PPC, you must understand its key metrics first. This is how Amazon describes each one.

  • Attributed Sales. It is the total sales generated in 1 week of clicks on your ads. Take note that data can still take up to 48 hours to be accessible. You can see the individual sales record for promoted products in the Campaign Performance report. 
  • Impressions. This refers to how many times you can see your ads displayed. If invalid clicks are identified, it will take up to 3 days to remove them from your reports
  • Advertising Cost of Sales (ACos). A useful metric to help you understand the effectiveness of a campaign relative to the amount of advertising.
  • Clicks.  This refers to how many times your ads are displayed.

What are the Amazon PPC Ad Types

As a merchant, you can use three types of Amazon Pay Per Click (PPC) Ads, as long as you meet the eligibility requirements. You can use it to target ads by using keywords or product targeting charged on a pay-per-click basis.

  • Sponsored Product Ads. These ads are the most common types of ads you can find on Amazon. You can target your keywords. It will then appear below each result for that specific keyword. If you are enrolled in Amazon Brand Registry, you are qualified to use this service.

If you aim to rank your products higher on Amazon's site, then going the sponsored ads route is a good idea, especially for Amazon beginners. It will make your product noticeable on Amazon home page, which contrarily could have been appearing way below your competitors

  • Headline Search Ads.  Also called Banner Ads. This advert type will allow you to advertise your product and brand as well. You can see these ads at the top of the research result page. 

This type of advertising is significant — because of its unique format. The ad features multiple products to be easy for you to group products based on shared business goals. For example, you can run one Headline Search Ad that highlights products for which you are trying to grow sales and another Headline Search Ad specifically to improve your brand's visibility across certain specific categories.

  • Product Display Ads. You can target a competitor's product detail pages, interests, or related categories. Instead of using specific keywords, you will be using Amazon Standard Identification Number (ASIN) or the product categories for targeting.

If you want to improve your product's visibility on Amazon, consider going with this type of advert. This ad will direct shoppers to your site with all the essential data you need about them- this will let you advertise relevant products to them in the future.

Why Sellers Should Try the Amazon PPC

If you want your products to be noticed on the market, Amazon PPC Ads is the one you need.  After all, there are close to 120 million products on Amazon. You don't want your listings to be overwhelmed by other brands.

And while your organic ranking is vital, paid advertisements will help your product increase your reach on the platform.

If developed and managed correctly, an Amazon PPC campaign can help you increase your organic ranking and sell more inventory faster.

Requirements For Running Amazon PPC Advertising

  •  Seller Account:  It is vital to have an active Amazon seller account in good standing to start running ads. 
  • Professional Selling Plan: If you are a third-party seller, you must have a professional selling plan to use Sponsored Products. 
  • Amazon Brand Registry: You must be enrolled in Brand Registry to start using Headline Search Ads.
  • Buy Box: Third-party sellers must meet Amazon's eligibility criteria and control the Buy Box or win the Buy Box.

Amazon Advertising Strategy

The Amazon PPC strategy that you are going to follow will always depend on your product and category. However, we have come up with several tips on how to use your amazon PPC management tools strategically to help you run a successful advertising campaign.

Identify  Your Goals

You need to know your Amazon PPC Goals. Are you trying the PPC strategy to make more sales or to increase the awareness of your brand?

Pick the  Best Products

To make your ad work, choosing the right product is of utmost importance. Select the products in-demand and the most popular to give you the best chance to convert to sales. 

Optimize Product Detail Pages

 The product detail page must be concise and compelling for your potential buyers. While PPC Ads alone can make your products visible, your product detail page is untimely responsible for converting clicks to sales.

Know When to Hire Professional Help

All of these things can be overwhelming to new Amazon sellers. Luckily, you can hire a team of professionals who can provide you with a comprehensive approach to managing your Amazon PPC Advertising. 

If you need an Amazon PPC Expert, Seller interactive got you covered. We offer a wide range of services that add value to your business regardless of what phase you are at in the business cycle. We will help your business to scale.

Go from surviving to thriving on Amazon.

Use the power and influence of advertising to increase sales. Learn more about how you can benefit from our management expertise.
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