Posted by Amanda Stein on 2023-07-05 | 1 minute read
Use Amazon PPC bid placements feature to improve your performance and reduce your ACOS.
Tips for effective Amazon sellers
- Understand the Placement Options: Amazon offers three main ad placements: top of search, other on Amazon, and detail page. Know where your ad will be displayed.
- Prioritize Top of Search: If possible, aim for your ad to appear in the top placement in the search results as these ads are more likely to be clicked.
- Don't Neglect Other Placements: While top of search is desirable, other placements on Amazon also have value. Your ad could appear in the middle, center, or bottom of the page, or on the top of the second page.
- Utilize Detail Page: Consider placing your ad on the ASIN page, either self-targeting or targeting one of your competitors.
- Monitor Cost Per Click (CPC): Keep track of how much you're paying for each click on your ad. This will help you manage your budget effectively.
- Track Click-Through Rate (CTR): This metric shows the percentage of people who see your ad and actually click on it. Higher CTR often suggests more effective advertising.
- Check Conversion Rate: Conversion rate indicates the percentage of clicks that lead to a sale. A high conversion rate implies that your ad is not just attracting attention, but also motivating purchases.
- Assess Your ACOS: Always monitor your Advertising Cost of Sale (ACOS). The lower the ACOS, the better your return on investment.
- Adjust Bids Strategically: Depending on your ad performance, decide whether to increase your bid strategy with an extra premium to get top placements.
- Regularly Review Performance: Regularly check the data of your placement. This will help you understand what's working and what's not, enabling you to make informed decisions.
- Learn from Tutorials: Take advantage of resources like Amazon PPC bid placements tutorials to improve your performance.
- Experiment with Placements: Don't be afraid to test different placements to see what works best for your products.
- Stay Current with Trends: The world of Amazon advertising is always evolving. Stay updated with the latest trends and changes to maintain an edge over your competitors.
- Balance Cost and Visibility: While it's important to strive for top placements, remember to balance this with the cost involved. It's not always the best strategy to pay premium for top positions if it does not lead to adequate returns.
- Understand Your Competitors: Know who your competitors are and consider targeting their ASIN pages with your ads.
- Stay Patient: It may take some time to see the results of your bidding and placement strategies. Don't rush. Analyze your performance data carefully and make adjustments as needed.
Bid Placements Guide for Amazon PPC
How to use Amazon PPC bid placements
How to use the Amazon PPC bid placements feature the correct way to improve your performance and reduce your ACOS with RevenueWize.
Managing your Amazon PPC bid placements is a powerful feature Amazon provides. There are different locations your ads can appear on Amazon (placements) You should familiarize yourself with this feature as it helps your ads perform better and results in a reduced ACOS. To make the most out of this feature you need to make sure you set it correctly otherwise you risk increasing your ACOS instead of reducing it.
From a placement perspective, there are 3 main placements that the campaign is serving:
- Top of Search on Amazon – your ad is going to appear in a top placement in the search results.
- Other on Amazon – your ad will appear anywhere that is not top of search. It will show in the middle, center, or bottom of the page, or on the top of the second page.
- Detail Page on Amazon – your ad will appear on the ASIN page, whether you are self-targeting or targeting one of the competitors.
You can see here lots of details such as the cost per click (CPC), click-through rate (CTR), conversion rate.
By periodically checking the data of your placement, you can easily decide whether to increase your bid strategy with an extra premium in order to get top placements.
The following tutorial explains how to use the Amazon PPC bid placements feature the correct way to improve your performance and reduce your ACOS. It includes answers to the following questions:
- What is Amazon bids by placements?
- When should we use this functionality?
- What are the considerations we should take into account?
- What to be careful of when setting bids by placements?
You should also consider your bidding strategies to improve your ACOS performance.
Frequently Asked Questions & Answers
- What does it mean when an ad is at the "Top of Search" on Amazon?
- What does "Other on Amazon" refer to in terms of ad placement?
- What does it mean for an ad to be on the "Detail Page" on Amazon?
- What factors can I monitor to evaluate the effectiveness of my ad placement?
- How can I use the data from my ad placement to modify my bid strategy?
- What is the Amazon PPC bid placements feature?
- How can using the Amazon PPC bid placements feature correctly improve my performance and reduce my ACOS?
- What is ACOS?
- What is the purpose of self-targeting in Amazon ad placements?
- How often should I check the data of my ad placement to optimize my bid strategy?
- What is CPC?
- What is click-through rate (CTR)?
- What is conversion rate?
- What is a premium in terms of bid strategy?
- How does ad placement affect the visibility of my product?
- How does targeting a competitor's products work?
- What is the benefit of having an ad at the top of the second page?
- How can increasing my bid strategy affect my ad placement?
- What does it mean to pay an extra premium for ad placement?
- How can I use the Amazon PPC bid placements feature to compete with other sellers?
Answer: When an ad is at the "Top of Search" on Amazon, this means the ad will appear in a top placement in the search results, making it one of the first things a potential customer will see when they search for a product.
Answer: "Other on Amazon" refers to an ad placement that can be anywhere other than the top of the search results. This could be in the middle, center, or bottom of the page, or even at the top of the second page.
Answer: An ad on the "Detail Page" on Amazon means that your ad will appear on the ASIN page. This can occur whether you are self-targeting or targeting one of your competitors' products.
Answer: You can monitor factors such as cost per click (CPC), click-through rate (CTR), and conversion rate to evaluate the effectiveness of your ad placement.
Answer: By periodically checking data such as your CPC, CTR, and conversion rate, you can decide whether to increase your bid strategy with an extra premium to improve your ad's placement.
Answer: The Amazon PPC bid placements feature is a tool that allows you to adjust your bids based on where your ad will appear on Amazon.
Answer: By using the Amazon PPC bid placements feature correctly, you can strategically place your ads where they will be most effective. This can improve your click-through and conversion rates, thereby reducing your Advertising Cost of Sales (ACOS).
Answer: ACOS stands for Advertising Cost of Sales. It's a metric used to measure the performance of Amazon advertising campaigns. It calculates the ratio of ad spend to targeted sales.
Answer: In self-targeting, your ad will appear on your own ASIN page. This can help retain potential customers on your page and increase the chance of conversion.
Answer: You should check the data of your ad placement periodically. The frequency can depend on the volume of your ads and your specific business needs.
Answer: CPC stands for Cost Per Click. It's the amount you pay each time a customer clicks on your ad.
Answer: Click-through rate (CTR) is a ratio showing how often people who see your ad end up clicking it.
Answer: Conversion rate is the percentage of users who take a desired action after clicking on your ad, like making a purchase.
Answer: A premium in bid strategy refers to an extra amount you're willing to pay to improve the placement of your ad.
Answer: Ad placement affects visibility as ads at the top of the search results or on detail pages are more likely to be seen by potential customers.
Answer: When you target a competitor's product, your ad will appear on the ASIN page of that competitor's product, potentially drawing customers towards your product instead.
Answer: Having an ad at the top of the second page can attract customers who are browsing beyond the first page of search results, capturing a different segment of the market.
Answer: Increasing your bid strategy means you're willing to pay more per click, which can improve your ad placement and make your ad more likely to be seen by potential customers.
Answer: Paying an extra premium means you're willing to pay an additional amount on top of your current bid to improve the placement of your ad.
Answer: You can use the Amazon PPC bid placements feature to strategically place your ads in prominent positions, such as the top of search results or on competitor product pages, to increase visibility and compete with other sellers.