Save Money on Your Amazon PPC Spend

November 30, 2023

Amazon Pay-Per-Click (PPC) advertising can be a super effective way to boost traffic to your product listings and amp up sales. However, it can also put a dent in your business budget. If you're not careful, you can easily overspend on your PPC campaigns and end up with a negative return on investment (ROI).

In this blog post, we'll share some tips on how to save money on your Amazon PPC spend. By following these tips, you can optimize your campaigns and get the most bang for your buck with your PPC budget.

Start with the Right Keywords for Your PPC Ads

Picking the right keywords for your campaigns is crucial for your success. If you end up choosing the wrong keywords, your ads won't reach the intended audience, and you'll just be throwing away your hard-earned money.

To nail those keywords, do some research using tools to find the ones your potential customers are searching for. Some popular keyword tools are:

Cerebro: A tool from Helium 10
SellerApp: Check out the Chrome extension
Ahrefs: Turns one term into five suggestions
Google Keyword Planner: Not specific to Amazon, but still valuable

You should also consider the search terms that people are using to find your products organically. Then turn those keywords into ad search terms for your products.

Once you've got a list of keywords, it's time to group them into tight ad groups. This way, you'll make sure your ads are super relevant to what people are searching for.

Use Negative Keywords

Using negative keywords is a fantastic way to stop your ads from appearing in irrelevant searches. It's a smart move that can save you money by making sure your ads are seen only by people who are genuinely interested in what you offer.

To find negative keywords, use the Search Terms Report in Amazon Seller Central. This report reveals the search terms people have used to find your ads and indicates if your ads appeared for those terms. Cool, right?

Once you've got a list of negative keywords, you can simply add them to your campaigns. This way, your ads won't show up for those terms in the future. Easy peasy!

Set Realistic Bids

Your bids are the amount of money you're willing to pay for each click on your ads. The higher your bids, the more likely your ads appear at the top of the search results page. That can be the right decision for some sellers. But since you’re looking to save money on your PPC, you want to set realistic bids instead.

To figure out realistic bids, take into account the average cost-per-click (CPC) for your keywords. You can find this info in the Keyword Research Report in Amazon Seller Central.

Also, keep in mind your profit margin and desired ROI when setting your bids. If you bid too high, you could end up losing money on each sale.

Use Automated Bidding

Amazon has got you covered with a range of automated bidding strategies to optimize your bids and make the most out of your PPC budget. These smart strategies use algorithms to automatically tweak your bids according to your performance goals.

If you're not too keen on setting your own bids, or if you're short on time to manage your campaigns daily, automated bidding is a fantastic option.

Diversify Your Ad Types

Amazon offers a variety of ad types, including Sponsored Products, Sponsored Brands, and Product Display Ads. Experiment with different ad types to see which ones perform best for your products. If something is not working for you in one area, shift that budget elsewhere to get the mileage you need from your PPC.

You can also leverage Amazon's targeting features to showcase your ads to specific audiences, like folks who've checked out your product listings before or who've bought similar items in the past.

Monitor Your Campaigns

It's crucial to keep an eye on your campaigns regularly to ensure they're performing well. You want to track metrics like clicks, impressions, conversion rate, and cost-per-acquisition (CPA) to gauge their effectiveness.

Amazon sellers looking to go deeper into their advertising KPIs (key performance indicators) should use Junglytics. This Amazon data analytics tool is customizable, simple to use, and makes it easy to zone in on specific products, variations, and time periods to better understand your PPC ads.

A Junglytics graph showing units sold as a bar graph, intersected by PPC units sold line graph.

If you're not getting the results you want, you can tweak your campaigns to boost their performance.

Use a PPC Management Tool

If you're juggling multiple PPC campaigns or don't have the time to manage them yourself, consider using a PPC management tool. These nifty tools automate tasks, track performance, and optimize campaigns. Some examples include:

Adtomic: A Helium 10 tool
Sellozo: includes a “smart bidding” feature
Teikametrics: Another popular tool

By following these tips, you can save money on your Amazon PPC spend and make the most of your advertising budget.

Bonus Tip: Use Amazon's PPC Promotions

Amazon frequently has PPC promotions that can help you save some bucks on your campaigns. These promotions are a fantastic way to maximize your advertising budget.

Keep these tips in mind when you're managing your Amazon PPC campaigns. By following these tips, you can save money and get the most out of your advertising budget.

For Amazon seller tips, see our blog. And while you’re at it, request a demo of Junglytics to see what our Amazon data analytics platform can do for you!

ABOUT THE AUTHOR

Isiah Kurz

Isiah is an experienced content writer with more than a decade of experience in journalism, public relations, and marketing.

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