When it comes to advertising on Amazon and maximizing your sales, avoiding critical mistakes is key.
Here you can also learn more on how to advertise your product on Amazon.
And in this article, we’ll delve into five crucial mistakes to steer clear of in order how to increase sales on Amazon effectively.
1. Selecting the Wrong Advertising Campaign
If you are just beginning your journey on Amazon Ads, then you probably do not have a lot of data available. If there is one thing that you should always remember when it comes to Amazon, the more data and information you have, the better you can advertise your products.
When launching your advertising campaign, Amazon will present two campaign options that you can select from; the automatic campaign and the manual campaign.
Since manual campaigns provide different customization and control options to the advertisers, if you are experienced in digital advertising, you might think that the manual campaigns are the best course of action. However, that is a perfect option only if you already have plenty of information on what keywords work best for your products. If you are starting, then the best route for you is to select the automated campaigns, where Amazon comes up with keywords that are relevant to your product’s details and then advertises on them.
After you let the campaign run for a few days, you can generate a search terms report and sort the keywords with the highest conversion rates for your business. These are going to be your main keywords, and by using an Amazon keyword planner tool, you can find other keywords associated with your main ones. Once you have your list, you can move to the manual campaign and optimize it to fit your product’s needs.
2. Avoiding Negative Keywords
Plain and simple, negative keywords are the keywords that you exclude from your advertising campaign; so that you don’t advertise and spend money on keywords that don’t bring you any profit.
When optimizing your keyword list for your advertisement campaign, you must analyze each keyword. This is a crucial step in how to increase sales on Amazon. See which keywords are not bringing in any new clients or are not very relevant to your product.
By decluttering your keyword list, you are not only making room for new keywords that have the potential to make a profit but also saving money that could have been wasted on less efficient keywords. Be careful when eliminating any keywords though, because if your keywords are not bringing you the return that you want, that might mean that the bids they have on them might be too high or too low.
What you can do in this case is to lower or higher the bids on them and see how they perform afterward.
3. Going Over Your Amazon Ads Budget
If you are just a startup, you might not have such a big PPC budget to allocate to keyword bidding. But like many other businesses, you can start with a lower budget and increase it gradually as you go.
A common mistake some people tend to make is to panic when they realize that their ads are not providing a high return, and that might lead to either abandoning the ads campaigns or investing more money, therefore going over their pre-settled budget.
Instead of doing that, take a close look at your campaign, analyze your keywords, and see which ones are not bringing the profit they should and lower their bids. You can also increase the bids on your top keywords, and in this case, Amazon Ads is here to point you in the right direction by showing you what the suggested bid is.
4. Failing to Optimize Amazon Ads
In an ever-changing marketing world, you have to pay close attention to any developments that might happen in your campaigns, but you need to look at the bigger picture. The way how to increase sales on Amazon is tightly connected to Amazon PPC optimization.
The optimization process doesn’t only involve keyword management, but it also requires a close investigation into each keyword’s PPC budget, which might have to be lowered or raised, depending on your competitors’ bids.
One of your main goals should be increasing your organic rank, because once you do so, you can bid lower, which, in turn, means that your budget for PPC campaigns will slowly decrease.
But getting a great organic rank is not going to happen by chance. It involves a lot of research and testing, and you will have to reevaluate your data if not daily, then once every few days.
Another thing to note is that while Amazon offers you a great variety of tools to work with, you shouldn’t forget that the reports you get off of the website have a delay of about 48 hours, so make sure you plan accordingly.
5. Not Using Artificial Intelligence to Help You
While advertising on Amazon is highly profitable in the long run, it is also very time consuming, and it might take a lot of trial and error until you learn all the tricks that can lower your Amazon ACoS.
It is easy to get lost in complexity. You must continuously optimize your campaigns, stay up to date with Amazon changing the tools and possibilities of its platform, and if you have many products you would like to sell, it might take hours until you can adjust the campaigns for a maximum return of investment.
In conclusion, answering how to increase sales on Amazon requires a strategic approach and avoiding critical mistakes. By selecting the right advertising campaign, whether it’s automated or manual, you can leverage the power of Amazon’s platform to reach your target audience effectively.
Remember, success on Amazon is not a one-time effort but an ongoing journey. By staying informed, adapting to market trends, and utilizing the available tools and technologies, you can continuously improve your sales performance and achieve long-term profitability.
So, take action today, implement the strategies outlined in this guide, and watch your sales soar on Amazon.