Optimization and errors in PPC
2 Apr 2024
Understanding and leveraging PPC (Pay-Per-Click) campaign optimisation on Amazon is crucial for effective management of the advertising budget and maximising return on investment. In this article, we will present best practices for optimisation and the most common mistakes to avoid when running PPC campaigns.
Campaign Optimisation
PPC campaign optimisation is a process that should be carried out regularly to align marketing activities with actual results based on KPI metrics. Key aspects of optimisation include:
Increasing bids for low ACOS campaigns: Campaigns with an ACOS of up to 15% have the potential to generate more traffic and conversions. Increasing bids can contribute to enhancing their effectiveness.
Decreasing bids for high ACOS campaigns: Campaigns with an ACOS of 80-100% or more are less profitable. Lowering bids can help reduce costs and improve profitability.
Removing keywords with high click-through rates and low sales: Such keywords can waste the budget without generating an adequate amount of sales.
Evaluating keyword performance: Keywords that perform well should be kept at the top, while those that are draining the budget should have reduced bids.
Testing: Experimenting with different strategies and keywords is essential to find the optimal approach.
Attribution Time
When optimising, it is important to consider the attribution time, which is the time during which sales are attributed to specific ads. Sponsored Products have a 7-day attribution period, while Sponsored Brands and Sponsored Display have a 14-day period. Making decisions based on data from the last few days can be misleading, so it is recommended to analyse data over a longer period, such as 30 days.
PPC Mistakes to Avoid
Having too many ad groups in one campaign: This can lead to a loss of control over the budget and inefficient allocation of resources.
Too many keywords or ASINs in a campaign: This results in a loss of control over the even distribution of spending.
Omitting valuable keywords identified in automatic campaigns: Not adding them to manual campaigns is a lost opportunity to increase efficiency.
Lack of regular addition of negative keywords: This is a key element of campaign management that allows you to eliminate inefficient spending.
Mixing keyword match types in one campaign: You should avoid mixing broad, phrase, and exact match in one campaign to maintain strategy clarity.
Lack of regular optimisation: Regular analysis and adjustment of campaigns are essential to maintain their effectiveness.
Summary
Optimising PPC campaigns on Amazon requires continuous monitoring, analysis, and adjustment of advertising strategies to changing market conditions and consumer behaviour. Avoiding the mistakes outlined above and adhering to optimisation recommendations can significantly contribute to improving campaign effectiveness and maximising ROI. Remember that success in PPC does not come overnight – it requires patience, testing, and continuous learning. Good luck!