What is Amazon’s PPC Platform?
Amazon hosts what is called a Pay-per-click platform. A pay-per-click platform is usually a tool used by search engines to monetize or add revenue for the site hosting it, in our case Amazon. (The most famous Pay-per-click system is hosted by Google and is referred to as Adwords.)
Basically, marketers and brand owners (that’s you) bid on keywords potential customers would use to search for our product. The more a marketer bids on the keyword the more your product will show up to the customer and how much you bid also determines your placement on the page. (In Amazon’s case, this could be in the main search column or on the sidebar of Amazon on the right side.)
How does PPC help us, the Amazon seller? The most important factor in any search engine is ranking. Well, search engines take in to account many factors when ranking. If you are just getting started selling on Amazon or in Google’s case, you have just created a website, it is likely you lack the factors necessary for anyone to see you in the search engine. So to even the playing field, you are allowed to bid on search terms to get a place amongst those who rank highest organically (without spending any money).
See this image below that shows where these sponsored products are on Amazon’s search result pages (click to zoom in):
All the products within the “Sponsored Section” are products being promoted by other Amazon sellers using the Amazon PPC system. If you examine the picture above you can see the power of a Amazon’s PPC program. Before you can even see the 2nd organic search result you see five product listings who paid for their spot in the search results.
Amazon PPC is Not Magic
Many Amazon sellers see Amazon PPC as a possible savior to his or her failing Amazon businesses. This is not the case, just because your listing is potentially in front of thousands of customers a day, does not mean they will pick your product over your competitor. There are other factors you absolutely have to take in to account (more on this later).
Amazon PPC is a great tool, but that is all that it is. It is not the magic pill that will get you $10,000 in sales overnight. You should see Amazon PPC as a scaling tool. Amazon PPC is used to increase profits after your product listing is already performing well. The best performance from your products with Amazon PPC will come when your product is already selling and converting customers without using it.
Additionally, Amazon PPC is not rocket science. The main reason this article is free is because I could not in full confidence make you pay for the small, but effective material one could talk about on the subject. You will find the most useful information to improve your Amazon PPC campaigns is improving the product listing itself to entice buyers to click and then buy. This will not only help your Amazon PPC campaigns, but your business as a whole.
To see a better demonstration of Amazon PPC please see the video training:
How Can I Make the Most Out of Amazon PPC?
This is a 3-parter.
The main thing you can do that most will not tell you is to optimize your listing itself.
On Amazon, you have to remember you are right next to your competitors.
You need great product photos and a decent number of reviews to find yourself not wasting money.
The second thing is you want to pick out the proper keywords.
You will want to use a site like Merchantwords.com to get an estimate of which words are searched the most.
Depending on your risk aversion, you will want to pick the words that go best with your keyword strategy (more on keyword strategies).
But for the most part you will pick the keywords that are searched the most.
In regards to PPC strategy…
You will find if your product is already ranking for the term you are bidding on, your listing may show up twice.
This will increase your chances of being chosen by potential customers.
Also, when your product begins getting chosen for the keywords you bid for, you will rise in ranking.
This is essentially the third thing, double up on your keyword optimization.
Put your chosen keywords in your listing, title, and back office keyword section then bid on those keywords in your Amazon PPC campaigns.
For more insight, please watch corresponding video.
Winning PPC Strategies
You will need to optimize the three listing elements below. You have to be seen as a true competitor to get the click. When you utilize PPC, nine times out of ten, you are putting yourself up against the very best Amazon has to offer. So, you have to measure up in some capacity, to get the click. This can come in the form of a decent review count, better rating, or outstanding photos.
If you would like to know some additional listing optimization tips or learn secret places keywords are tracked see the note below.
The first step to any kind of pay-per click campaign is to collect keywords. You can use all the tools listed here, some are free others are not, to find keywords to throw into your campaign.
- Google Adwords Keyword Planner
- Keyword Inspector
- AutoCampaign through Amazon PPC
Goal: You want to collect up to 200 Relevant Keywords Per Campaign
Strategy 1: The Auto-Campaign Keyword Strategy
This strategy is geared for beginners in a product space. You can use this strategy to not only find keywords, but determine which keywords are the absolute most profitable when it comes to your product.
- Run an Automatic campaign
- Run your own manual campaign concurrently with keywords from Merchantwords and other sources
- Let both run for 5 days
- End the Automatic Campaign
- Move the most successful keywords from the automatic campaign over to a manual campaign
If you choose to you can use this strategy to find your best keywords, then use strategy two to optimize your campaign further.
Strategy 2: The Streamlined PPC Strategy
It is rare you would start with this strategy, unless your product has very few keywords that could lead to it. This strategy can be used to optimize campaigns with a ton of keywords, so you can focus your money on the keywords bringing in the most profits.
- Max bid of $2.00 per click on all your keywords
- Increase your daily budget, BUT lower cost per click as days go on (Amazon wants to spend your money)
- Move up the daily budgets of the keywords that are most profitable gradually
For more insight, please watch corresponding video.
How Do You Maximize Keyword Relevancy on Amazon PPC?
If you haven’t already, check out the “How Can I Make the Most Out of Amazon PPC?” video(second video on this article).
Essentially, its the 3rd part to that answer.
You’ll want to both bid on your desired keyword and put that keyword in your listing
The result is…your product may show up twice on the page when your desired keyword is searched increasing your chances of being picked…and if your product begins getting sales through this keyword you will receive a bump in the ranking as well.
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