If you are reading this article, you are contemplating or are about to launch a new product on Amazon. Maybe you've already tried a few Amazon PPC campaigns but ACOS has just been to high for you. So how do you make your launch be the most effective?
Why Amazon PPC?
PPC stands for “pay per click.” In the case of an Amazon PPC campaign, the buyer is already on the Amazon web site. If the seller bids for a PPC campaign on Amazon, they are paying to advertise on Amazon.
The purpose of this advertising is to get your product to list higher on the Amazon product search listing. Studies have found that approximately 70 percent of searchers on Amazon do not go any deeper than clicking on the first page of the search results. Over a third of buyers on Amazon that do a search will click on the first product listing. The top three search results get almost two-thirds of the clicks. Thus, it is crucial that you advertise on Amazon in order to move yourself to the top page of the search results for your product.
Before Getting Started Carefully Research Your Product -
The competition within some categories of products is fierce on Amazon. The cost of bidding for keyword PPC advertising is competitive. It may be prohibitively costly to pay for PPC advertising on Amazon for a product in a highly competitive category. Instead, research products that do not have as much competition that will allow you to lower your keyword bidding costs. Here at Zonrush, we are experts in Amazon PPC management and can help you determine keyword market share from our extensive experience with Amazon PPC.
Have a Relevant Picture and Detailed Listing -
Amazon has an algorithm that helps them decide upon the ranking of each product in the search listings. Although the ranking algorithm is proprietary information, it is clear that there a certain direct and indirect factors that influence product ranking in the search listing. The main direct factors that Amazon lists as key in search listing ranking are the item's price; its availability; the relevancy of the title, features, and product description in your listing; and the item's sales velocity (how well the item sells on a daily basis and its click to buy ratio). Customers expect to get their questions answered on Amazon product listings before they buy, so ensure your product listing is highly descriptive and answers the questions your customers will have about your product's suitability for their needs.
At Zonrush, we are a consulting agency committed to help you create the most detailed listing that meets the needs of Amazon's search algorithm and is optimized for SEO. Our Amazon listing optimization service is top grade and will help you convert visitors into paying customers.
Arrive on Search Listing Page 1 on Day 1 -
If you pull up any product listing on Amazon, you will see that the first set of listings all state they are “sponsored.” After every sponsored listings come the organic product listings. Remember, one of the most important factors in your search listing ranking is sales velocity. How can you get up to Page 1 when you are just launching your product? The answer is sponsored listings. These types of listings not only precede the organic product listings, but they are the products that are viewed in the carousels of related products you will find half-way down the your product listing. So, if you are buying sponsored listings, you will show up in the top of the search rankings and also on your competitor's product listing pages. Amazon PPC sponsored product listings have a click to buy ratio of around 10 percent.
Have a Mini-Launch -
Now, we will get into the nitty gritty of Amazon PPC management. When you choose a sponsored listing in order to rise to the top of the search results, you will need to choose the type of sponsored listing. Automatic listings allow Amazon's algorithm to figure out, with a given search query, if your listing matches what the customer is actually looking for. Manual listings allow you to be placed in the search ranking based upon keywords that you choose. The problem is that, at first, you will not know the optimal keywords and product placement that work best for your listing. For this reason, you need to begin an automatic keyword listing and run it for the first week of your product launch.
There are a few Amazon PPC keyword research tools out there, helium10 is one of our favorites that help you best prepare targeted keyword campaigns if you choose to start with a manual campaign.
Conduct a Week-Long Manual Listing -
After running your ad for one week as a sponsored automatic listing, you will be able to better utilize your Amazon PPC strategy. You will go into your Seller Central Account and harvest some keywords. Amazon will show you which search terms led to a customer clicking on your product listing and which of these led to sales. These are the keywords that you will harvest for your next week of sponsored Amazon PPC product listing.
Now you are ready for a week-long, manual Amazon PPC sponsored product listing with the keywords that have led to sales. You will need to decide what types of search matches you are willing to pay for. There are broad matches, phrase matches, and exact matches of keywords. At Zonrush, an Amazon PPC management group, we can help you determine in your Amazon PPC strategy when it is best to use each type of search match, based upon our extensive experience.
Use Amazon PPC Strategies -
After you have run your manual listing on Amazon, you will need to again look at the keyword data in your Amazon Seller Central and decide which keywords are converting clicks to sales and which are not converting. Keywords that don't convert to sales are a waste of money. It is best to choose the keywords that have converted from clicks to sales 10 percent of the time or better. This is a key part of Amazon PPC strategy. You don't want to waste your advertising dollars.
Look for Long Tails in Your Keywords -
Another part of keyword management in Amazon PPC strategy deals with long tails and short tails. There are two different types of keywords, long tails and short tails. The latter contain two or less words. They are often more expensive than long tails because they convert to more clicks and sales. Long tail theory states that there is an advantage in using the longer key word phrases at times because it is cheaper and often is more reliable for converting clicks to sales. This is because the customer is often looking for something more exact than the short tail when they type in the longer search query. Now that you have some reliable keywords from actual sales, you will need to think about longer, related keyword phrases that the customer may type in. There are online keyword research tools that may help you in your quest to convert short tail keywords to longer phrases, but they will not be as helpful as the advice from an Amazon PPC management professional.
Optimize Your Keyword Bids -
After your second week of manual listings, you will be able to discern if the new long tail keywords are working for you and tweak that a bit. You will also be able to see if there are keywords that are just not converting to sales or at too low of a rate that need to be dropped. At this point, you will also need to tweak your bidding price on your keywords, based upon sales conversion. This is where Amazon PPC management takes more finesse.
As an Amazon PPC agency, we will help you determine the keyword optimal bid pricing for your keywords that relates directly to your conversion rate, costs, and current trends on Amazon. We will track your keywords and take all of the laborious work out of optimizing your bids. Our results are data-driven and are in keeping with the latest trends on PPC management.
PPC software will not provide you such finesse and will make your Amazon PPC management just another cookie-cutter endeavor, like all of the other sellers using the same software.
Request a consultation today with the professionals at Zonrush, an Amazon PPC agency, in order to see how you can lower your advertising costs on Amazon while driving up sales. Let us do the work, while you rake in the profits.