A Beginner’s Guide to Advertising on Amazon

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If you are a business owner with products to sell then you’re probably asking yourself two things:

Where can I sell my products?

How can I advertise my products? 

You probably already invested in an E-commerce website, which means that you have started some advertising campaigns on one or more search engines, such as Google or Yandex. To put it more bluntly, this would mean that you’re using a PPC strategy on Google Ads to make sure that your website appears in the top search results. 

Now, if you’re not using a PPC advertising campaign, then you should seriously consider it, because it is one of the fastest ways in which your website can reach the top. And to help you out, here are our top strategies that will help you improve your PPC campaigns once you’ve started them. 

Why Amazon?

You might be thinking that if you already have a website where you sell your products, then you might not need to invest in Amazon anymore. You might be right, but we think otherwise, and let us tell you why. Or better yet, let’s allow the facts to tell you why you should sell your products on Amazon, and why you should start your own Amazon advertising campaigns. 

Studies show us that since 2018, most people start their product search directly on Amazon, which means that they will not bother with Google, or any other search engine for that matter. Therefore, potential customers will be lost, because they will not even get to see your products, let alone buy it. Also, people don’t just go on Amazon to buy. They visit the website to get inspired. This means that even though people will not purchase your product, they will still see it, which promotes customer recognition. 

If you’re still on the fence, then read more about the benefits of advertising on Amazon and see how much Amazon Ads can help your ROI. 

The Basics of Amazon Advertising

Amazon has a self-serving platform where you can advertise your products, which is called the Amazon Marketing Service (AMS). The great thing about AMS is that you can use it without having any special account. As long as you’re selling your products on Amazon, you’re set. 

The advertising on Amazon works on a PPC basis and you can target audiences based on keywords or product category. We’ve talked extensively about the importance of keywords in ad campaigns because in any advertising campaign, you will need keywords. If you want to know more about keywords and their selection process, we have a perfect guide that you can check out here

There are three types of ads on Amazon: 

  1. Headline Search Ads- they stand above the search results and you can advertise at least 3 products
  2. Sponsored Product Ads- they appear at the top of the search results and sometimes they can appear at the bottom of the page as well
  3. Display Product Placement- these ads appear on the side of the page while you’re actually looking at a product

The first two kinds of ads depend on keywords, and on Amazon we have exact, phrase, broad match, and negative keywords, which is why you should select your keywords accordingly. Obviously, you will have to bid on keywords, and on Amazon the minimum bid that you can have is 0.10$ per keyword. There is also a minimum daily budget of 1$.

The Display Product Placement ads do not operate on keywords, but rather on the interest of the customer. In other words, they are targeting the products that might transform lead into a customer.

Amazon also presents different bidding types for sponsored ads, which come in 3 different categories: 

  1. Dynamic Bids, Down Only- when you select this kind of bids, Amazon will reduce your bids when it’s unlikely for a click to be converted into a sale, which can efficiently save some of your financial resources.
  2. Dynamic Bids, Up and Down- just like for the previous type of bids, Amazon will automatically adjust the bids, but it’s going to do so whenever the chances of converting into a sale either rise or plummet. When there are high chances, the bid will increase and when the chances are low, the bid will decrease. 
  3. Fixed Bids- as the name suggests, these bids will remain the same until you manually change them. 

Out of the many features that Amazon offers, it also gives you the opportunity to either go for a manual advertising campaign or an automatic campaign. With the automatic campaign, you just select the maximum daily budget and the CPC, set the campaign on running and just lay back and relax. With the manual campaign though, you have to perform the keyword research yourself (this includes the negative keywords as well) and set the bids and match types.

Once you start your Amazon campaign for one or several products that you have, you can of course start optimizing them, which leads us to the next point. 

What You Should Consider Before You Start

The most important decision that you need to make is not whether or not you should start advertising on Amazon, but whether or not you should automate your online advertising campaigns once you have them. You might be asking yourself: ‘Okay, but what are the benefits of automatization in advertisements?’ in which case we recommend you read our article that exemplifies how automatisation is changing digital ads. 

But, to simplify the process, this is how Adspert will help you: Adspert will take your advertising campaigns and optimize them, ensuring that your campaigns will have the right keywords, as a result of its keyword harvesting. Also, Adpert is constantly forecasting advertising performances and this means that your bids are being changed accordingly, so you’re not losing money.

And the best part is that with our 100% Plug&Play feature, you don’t need to become a PPC expert overnight. With a few simple clicks,  allow Adspert to manage your campaigns, while you are taking care of your business’ needs. And the best thing about Adspert is that you get a 30-day free trial in which you can test out all of the features and see if Adspert is the right fit for you and your business. Don’t wait any more time and come claim your free trial today! 

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