This Amazon PPC case study I’m about to show you will go over the fact that if you stick to these top three Amazon PPC strategies (even when the market contracts, given the current pandemic) you can still not only lower your ACOS, but improve your sales.
I’m just about to show you how to do all of the above – this case study couldn’t have come at a better time.
Now this seller started their own PPC campaigns in February, and we took over in March. And I just wanted to show you some of the dramatic results that we’ve been able to help this client get.
What you can see is that in February, sales were $181, with a 34% ACOS. And now in March – and we’re still in March – we have the sales at $917 and a 22% ACOS. You can see that this is almost ten times more in sales – and we still have another week left in March.
We’ve even been able to lower the ACOS by almost 15%.
So what I wanted just to show you is what these three strategies are so that way you can also improve your Amazon PPC campaigns.
However, be aware that results like this are possible because when the market contracts, a lot of sellers are just being more wary. Also, some categories might have even been slowed down right now with traffic.
As a result, a lot of sellers are contracting their PPC campaigns or pulling back on the bids or lowering the budgets just to see what flies over with the pandemic.
However, even though the markets contracting and traffic is lower just across the board as Amazon’s putting more pressure on essential only items (and this particular product is not an essential only item), other sellers (like the one in our Amazon PPC case study here) think that the best a point of attack is to actually expand when everyone else’s contracting, since we’ve noticed that bids are cheaper.
We’ve also noticed we’re getting a lot more impressions because there’s probably fewer sellers advertising right now, which is a golden opportunity that I’m about to go over. And it has allowed us to almost 10x the sales for this particular client so far.
Strategy #1: Diversify your Amazon portfolio
The first Amazon PPC strategy is really simple. It’s basically just diversifying your Amazon portfolio.
What does that mean exactly?
It just basically means having more than one campaign for any given product. And when you’re creating separate campaigns, try to target the different match types that Amazon offers:
- and auto.
In this particular instance, in addition to those campaigns, you can see a particular campaign which is one of our other proprietary campaigns, consisting of product targeting ads that we help our clients get.
Basically, that is one of the top performing campaigns. And all we’re doing in this particular campaign right here is helping clients target their top competitors. This means that we find their top competitors that are on Page 1 that our client has a better deal than them.
Then, we actually advertise on their listings, which allows another source of revenue for our clients, in addition to targeting the keywords themselves.
Strategy #2: Only add relevant keywords
So the second Amazon PPC strategy that will help you increase your sales and keep your ACOS low is making sure that all of the campaigns you have active, only have 100% relevant keywords in them.
What’s a good example of this?
Let’s say you’re selling charcoal toothpaste. A few keywords that would be good not to add in those campaigns would be
- charcoal mouthwash
- and charcoal toothbrush.
Though the keywords are related to your product, they’re not 100% relevant, and this could negatively impact your ACOS score.
So try to only find keywords that match your product 100% or as closely as possible in order to keep your ACOS low and maximize the efficiency of your ad spend.
Strategy #3: Lower your price
The third strategy is really simple: lowering your price. For our particular client in this Amazon PPC case study, we advised that they lowered the price by 20%.
There’s nothing wrong with wanting to sell your product right away at the premium price; but it’s best to work your way towards a premium price and start selling a little bit below your premium price in order to encourage more sales.
When you lower your price, more people are simply going to click on your Amazon PPC campaigns. This will allow you to build up your organic review rate much faster, because you’re selling at a more competitive price and if they’re buying full price, you’ll get those verified reviews much faster.
And when you get more verified reviews, that’s going to feed into more sales in return. And you can see how this entire system flows efficiently over time.
So the three strategies that we used in this Amazon PPC case study were:
- Diversify the client’s campaigns, targeting all Amazon match types
- We made sure that the keywords inside of the particular campaigns were 100% relevant
- We advised on a lower price point to encourage more sales.
And as you can see, the strategies are super simple, right?
We really try to keep things simple for our clients. At ZonRush, we try to maximize not only the efficiency of the ad spend, but the sales potential, too.
And I just wanted to show you that what you want to look for in your campaigns, after you’re doing optimizations is the blue line going up in your Amazon report. In this particular case, you can see the trajectory is clearly going up. It’s almost like an unbalanced scale here.
And we’re really excited for the results we’re going to produce for this client in April and so on.
Also, one of the reasons I was really excited to show you guys this case study was because with the events around the world, all Amazon sellers are being affected.
But if you stick to these three principles that I just went over, you should be able to not only improve the sales on your Amazon account, but also dramatically lower your ACOS. And this is a perfect example because again, the seller has less than 10 reviews. It’s a brand new product; it’s not even an essential product.
Compared to what you can see in February (aka. launch month), which is $181 in sales, in March the client is almost at $1,000 in sales – and we still have another week left in March. So I just wanted to show you that these strategies do work, and if you implement them, you should see similar results in your own account. Don’t forget to join my private Facebook group which is an amazing space of other Amazon sellers who are ready to exchange tips, tricks, ideas, and anything Amazon PPC related. See you there!