Amazon PPC Strategy [Back to Basics]

Bobsled has been managing and writing about Amazon PPC consistently since 2015. We have generated millions in sales for our clients and Bobsled’s unique subject matter expertise has even been recognized by Amazon Advertising.

There’s a lot of information out there for brands looking to figure out Amazon PPC. This ‘back-to-basics’ overview outlines the basic components of Amazon Advertising. We’ve also included useful links to more in-depth articles within each section if you’d like to expand your knowledge further.

Amazon PPC Preparation

Before spending a cent on Amazon PPC, there’s a few things you need to figure out. 

Advertising Goals

• Generate buzz for a new product, boost general traffic, liquidate excess inventory, supercharge brand awareness; it’s important to establish what you’re trying to achieve through advertising. Establishing clear goals up front will help you choose which products to advertise, how to structure campaigns, and optimize performance moving forward.

Determine What Products You Want to Advertise

• When creating PPC campaigns, it makes sense to group similar products together, as there will be crossover with similar search terms.
• Remember that your product must be in stock and priced competitively in order to win the Buy Box, so take into account product pricing and availability when deciding which products to advertise. If your products aren’t winning the Buy Box or are out of stock, your ad won’t run. The upside is that you don’t waste PPC budget on out of stock items - the downside is that you can’t generate more sales through advertising! 
• SEO optimized product listings will achieve better advertising results compared to bare-bones listings – this should factor into your product selection criteria

💡 Check out Amazon SEO - Bobsled’s Crash Course

Audit Your Retail Pages

• Shoppers who click on your ad will be taken to your product detail page, and a strong product detail page can help convert the click into a sale. Take a close look at your product detail pages and check do they have next things in order:
• Accurate, descriptive titles?
• High-quality images?
• At least 5 bullet points?
• Relevant and useful product information?
• Contains backend search terms?

💡 Check out Amazon Keywords Tips

Types of PPC ads

There are three types of PPC ads on Amazon.

1. Sponsored Products
2. Sponsored Brands
3. Sponsored Display

Each ad type allows brands to target a different section of the Amazon marketplace.

1) Sponsored Products

Sponsored Products ads target search term keywords, ASINs or product categories. These ads are served on desktop and mobile browsers as well as on the Amazon mobile app. When customers click your ad, they are taken to the advertised product’s detail page.

Amazon will only run your ads if your product is winning the Buy Box when the customer completes their search. You can manually create campaigns, or let Amazon’s systems target relevant keywords automatically. You control how much you spend on campaigns and have the ability to monitor every aspect of your ads’ performance.

Above: Example of two Sponsored Products ads for the search term ‘flatscreen television’ on the Search Results page

💡 Check out Sponsored Products Case Study

2) Sponsored Brands

Sponsored Brands campaigns help customers discover and engage with your brand in prominent search placements. They generate awareness and consideration with customizable ads that link directly to a landing page or an Amazon storefront.

There are 3 different Sponsored Brands Ads to choose from:

1. Promote multiple products with a landing page of your choice: 

1. Amazon Stores (including sub-pages) 
2. New product list page

2. Store Spotlight (Beta)

1. Store Spotlight is mobile only ad type, still in Beta phase. For the landing page only Storefront is an option. Requirement for this ad type is that there should be a minimum 4 sub-pages, each with one or more unique products.

3. Video (Beta)

1. Feature a single product with an autoplaying feature. 

Above: Example of a Sponsored Brands ad for the search term ‘football gloves’ on the Search Results page

These ads appear in multiple locations on desktop and mobile pages, including above the search results. When Amazon shoppers click your brand logo, they go to a Store, a custom landing page, or a simple landing page. When they click a product, they go to the product detail page.

When you create your Sponsored Brands ad, it will go through a review process. The review process is usually completed within 24 hours but may take as long as three business days.

💡 Check out Amazon Sponsored Brands Video Ads Best
Practices & Case Study

3) Sponsored Display

Sponsored Display Ads allow brands to target shoppers browsing their own product listings or similar products sold by other parties. 

With Sponsored Display ads you can choose between 2 targeting options:

1. Audience targeting
2. Product and category targeting

Display Ads have lower performance results compared to Sponsored Product Ads (SPAs). This is because Display Ads are aimed at growing brand awareness and target people who are not necessarily ready to purchase. 

Sponsored Display Ads can appear:

• Off-Amazon (on 3rd party websites and apps)
• On Amazon product detail pages
• On Amazon shopping result pages
• On other Amazon pages

Above: Example of a Product Display ad on a product detail page

💡 Check out Amazon Sponsored Display vs DSP

Amazon DSP

Everything humming along really well with your Amazon PPC campaigns? The next logical step is to start experimenting with Amazon’s Demand Side Platform (DSP), which allows advertisers to programmatically buy display, video, and audio ads both on and off Amazon.

Learn more about DSP by reading the below articles.

• Growing Brand Awareness: Utilizing Amazon Advertising & Amazon DSP
• Amazon DSP Retargeting - The First 30 Days