Today’s post is for those who are quite new to the Amazon scene: I’m going to give you the top five Amazon FBA PPC optimization strategies that will not only improve your sales on Amazon, but they’ll also help lower your ACOS.
Ready? Let’s jump right into it.
#1 Add negative keywords
The very first Amazon PPC strategy is adding negative keywords to your campaigns at least once every 30 days.
Adding negative keywords to your Amazon PPC campaigns helps navigate through the high ACOS waters. It means that you’re cutting off all of the excess waste on ad spend that you’re not converting on. What’s more, you can use those variables by adding them into your campaigns, so they’ll not be shown on those placements and keywords that you’re not converting on.
This will also allow Amazon to continually feed positive variables to your campaigns. Also, by continually refining your campaigns with keywords that are not converting well as negative (phrase and exact), your campaigns will continually grow and become more profitable, because you’re removing excess waste.
How to access these negative keywords for Amazon FBA PPC optimization?
One of the fastest ways to get these negative keywords is just to run a simple auto campaign with a modest budget – whatever you can afford.
After that, at the end of the 30 days, see which keywords and product placements have the highest ACOS, and use those keywords and product ASINs: add them to your manual campaigns as negative phrases and negative exacts.
#2 Optimize bids once per week
The second strategy is to optimize your Amazon PPC bids at least once every seven days.
What we found works the absolute best for our clients is our actual automation that we have in place with our software that optimizes Amazon PPC bids every single day.
However, that’s not really practical if you’re optimizing your campaigns manually. In order to make this more palatable for you to implement today, optimizing your bids at least once a week is a surefire way to increase your sales on Amazon.
Moreover, this way you feed Amazon new variables to work with, and can in turn find new ways to improve your profitability without having to continually pay really high PPC costs.
So a neat bid optimization strategy that you can use today, and measure the results every seven days is:
- increasing the bids either by 15 to 30% every seven days
- and inversely lowering the bids 15 to 30% on keywords and product placements that have a high ACOS outside your profitability.
Be sure to track your conversion rate every seven days while you’re making these optimizations. By doing so, you’ll be able to see clear cut data that will show you which bid is optimal for high sales velocity and a low ACOS.
The only way to know what combinations and what bid strategies work best for your particular product is to actually measure it, and test out these different bid strategies every seven days in order to find the optimal balance for your account.
#3 Lower your price
The third strategy is going to be experimenting with a lower price point.
The reason why you’ll want to experiment with a lower price point is because you don’t know what the optimal price point for your product is – unless you do some sort of experimentation.
Also, you could potentially hurt your conversion rate with your Amazon PPC campaigns by being priced a little too high relative to your review count.
So let’s say, for example, your product has less than 50 reviews, yet your price is either the same price as your competition, or priced higher than your competition with more reviews. It’s going to be really hard for you to compete and move up in keyword ranking if you don’t have some sort of a competitive advantage.
Even though your product may be better, you still need to gain the necessary sales velocity and the necessary conversion rate in order to rank higher on the page one for keywords.
Secondly, if you’re priced too high, you can also end up having an extremely high ACOS. This doesn’t necessarily mean that the keywords themselves are not 100% relevant, it just might mean that you’re priced too high, and the competition is priced either lower or has more social proof with reviews. Therefore, they’re taking all of the sales.
How low do you need to go?
You don’t have to lower your price a whole lot.
Just make sure you’re not overpriced relative to your competition, or that you’re providing a lot more value than your competition.
So by even lowering your price, you’ll have a more appealing offer than by trying to compete at the exact same price.
A lot of new sellers don’t know this, and they’re trying to sell out their premium price too soon. This way, their Amazon PPC costs go out of control, because they’re priced a little bit too high relative to what the market is willing to pay.
Until you gain positive reviews and momentum with these social proofs, it’s going to be easier for your competition to stay where they are, and it’s going to be harder for you to improve where you are. The reason for this is that you’re not optimising for higher sales velocity.
So before you spend too much money on PPC, lower your price point, and see if it improves your conversion rate. If it does, you’ll get more verified reviews in turn, and this can result in an overall improvement of your Amazon business.
#4 Add new keywords every 30 days
Our fourth Amazon FBA PPC optimization strategy is adding new keywords to your campaigns at least every 30 days.
Why should you do this?
The reason for this is that you want to improve your sales, and you want to continually find new opportunities that may have an extremely low ACOS and a high sales output for your particular product.
This is because
- either your competition is not advertising those particular keywords,
- or those particular groups of keywords might even have a higher relevance than what you’re currently optimizing with at the moment.
But the only way to find out which keywords are going to be the best for your account is to continually add new variables.
And why 30 days?
The reason why we say add new keywords every 30 days is because I usually recommend having no more than 50 keywords active in any campaign at any time.
If you have more than 50 keywords, you’re optimizing for too many variables, and it can be extremely hard to scale your Amazon PPC campaigns when there’s too many keywords in it.
So when you’re adding keywords every 30 days, you’ll have a master list of keywords – maybe you’ve already done some keyword research of 300 keywords, and you already have 50 active keywords. Then you have to have those blocked out from your list already, because you know you’ve already used them.
And from that list of 300 keywords, you can add maybe 25 more keywords every single month, look at the previous month’s performance, and remove keywords that were underperforming or just had an extremely high ACOS for your account.
This is the easiest and most manageable way for you to grow your sales while keeping your ACOS low.
One of the tools we really like for keyword research at ZonRush is called Helium 10. If you use this link, you’ll save 50% off your first month.
And what’s really neat about Helium 10 is that you can actually reverse engineer your current ASIN to actually see where you’re ranked on page one.
Then, you can add the keywords that rank on page one into an Amazon PPC campaign, so that you can continually move up the keyword ranking, and stay on top of page one for those keywords.
You can also find new opportunities where you’re ranked on page two, for example, and add those keywords to your Amazon PPC campaigns to push more traffic to them in order for you to rank on page one for those keywords much faster.
#5 Add a listing coupon
The fifth Amazon PPC optimization tip for you is adding a listing coupon.
The listing coupon doesn’t even have to be a really high percentage. You can start with the 5% listing coupon and then work your way up depending on what your conversions look like.
One of the really neat things about listing coupons is that they’re one of the fastest ways to improve your PPC and organic conversion rate on Amazon. The reason for this is that once a customer sees your product after clicking on it, they’re more likely to convert if they see an appealing offer in front of them.
Also, if a lot of your competitors don’t have listing coupons, it gives you more of a competitive advantage.
And even if you’re starting with the 5% coupon, it’s not really much of a sacrifice. If you think about it, it’s more of an opportunity for you to grow your sales where some of your competitors might be falling short.
Now a real quick bonus tip from us…
Being patient is one of the most critical skills that you’re going to need as an Amazon seller when you’re trying to optimize your Amazon PPC campaigns. To take maximum advantage of Amazon PPC performance takes time, experimentation, and testing.
These are just a few of the ways that we help our clients with their Amazon FBA PPC optimization at ZonRush, and we’re very happy to share these strategies with you.
If you’re interested in more Amazon PPC tips & tricks to start boosting your sales today, join my private Facebook group where we share Amazon PPC strategies and product launch strategies that you can use to help improve your Amazon business.
So if you’re a brand new beginner seller on Amazon, do start experimenting with some of these strategies to improve your current sales – we can’t wait to hear about your results! ZonRush is a top Amazon PPC agency that’ll help you maximize the efficiency of your ad spend.