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Is PPC worth it on Amazon?

Mar 5

It is a big challenge for many sellers to figure out how to use Amazon PPC and how it works. It is impossible to successfully use paid advertising in a cost-effective and truly sales-driven manner without profound knowledge of PPC or professional assistance from the outside. Amazon PPC is unknown to many sellers, who wonder if it's worth their money and time. They usually think that promotional ads are not an important factor when selling on Amazon. 

This article answers whether Amazon PPC management is worth it once and for all. We will review the most important benefits of PPC advertising, which errors to avoid, as well as the best methods to use. 

We provide very affordable and best PPC management services at our Amazon PPC agency Urtasker. We have helped more than 200 new Amazon sellers in achieving their dream sales and still continue to do so. You can be among these sellers as well. Stop waiting and kick-start your PPC campaign with Urtasker, we 100% guarantee that Amazon PPC is totally worth it.  

Your products will be more noticeable and more exposed with Amazon PPC.

Running PPC ads on Amazon has one obvious advantage: your product listings receive a greater degree of visibility in comparison to non-sponsored listings. Ads are displayed in various prominent places on Amazon in three different types:

  • Sponsored Product Ads. Sponsored Product Ads may appear between search results, to the right of the results, and below the results. These ads can also appear on the product detail pages of your competitors. The sponsored product advertising type is the most common type of Amazon PPC advertising.
  • Sponsored Brand Ads. You can display sponsored brand ads above, below, or to the left of search results. When you choose to advertise your brand as a Sponsor, you will be able to showcase multiple products as well as your logo as part of them as well.
  • Sponsored Display Ads. A sponsored display advertisement is very special since it can be displayed both within and outside of Amazon. As well as being displayed on your website, your product can be placed on sites whose content matches yours. As an example, on the Amazon product detail page, you can see them alongside other products.

There are different kinds of ads, each with its own strengths and weaknesses as well as possessing specific requirements. 

If you're a vendor or a professional seller, you can get brand ads only if you're part of the Amazon Vendor program.

No matter which format you utilize, however, your advertisements will always appear prominently on the search result pages no matter what you do. By making your products more visible, you will increase the chance that browsing customers will notice what you have to offer. This is particularly true when you launch a new product without having a history of sales or customer reviews. For the best results, it is advisable to use Amazon PPC in order so that the first ones to know about your product can turn into customers.

It Has a Very High Conversion Probability

Amazon is the site of choice for more than half of all online shoppers today. In contrast to Google, where users may be interested in other search inquiries or social media advertisements, customers visiting Amazon are already willing to make a purchase.

Presented on Amazon, your products are only shown to people who are clearly in the market to purchase. The disadvantage of Facebook and Instagram advertisements, however, is that your advertisements are also seen by many customers who have zero interest in the products you sell. 

It's because of this and other factors that the conversion rate on Amazon is very high as compared to other platforms. The conversion rate on Amazon varies by price segment, category, and density of competition, but it is typically around 10%.

PPC Ads Help Boost Organic Positions

Amazon PPC ads can have a positive impact on your organic search rankings as well, which is a nice side effect. There is a science behind Amazon SEO, but you just need to know that Amazon ranks the products most probably to be purchased at the top of the search results. In addition to your total sales and reviews, your organic ranking is affected by a number of other variables. Your ranking rises in direct proportion to your sales volume.

Achieving a high position in highly competitive categories, especially for new products, is nearly difficult or takes a long time when you don't have any previous sales history or customer reviews.

You can increase the number of visitors to your listing, get people to buy your goods, and obtain your first reviews by running Amazon PPC advertisements. In the A9 algorithm, which is used to rank products on Amazon, these performance indicators are taken into account and rewarded with an improvement in your rating.

Insights from Amazon PPC can help you improve your business.

Amazon PPC ads are also a good thing because they give you important data observations that you wouldn't get if you didn't run them. It is possible to learn a lot about your customers' search intent by examining your campaign results; for example, you can discover what terms lead to the highest sales and what terms have no relation to your product at all. You can use this information to upgrade your listing's content, so it comes in the organic search results.

You can also show off your product better by identifying what features your customers want, like in your product photos and videos.

Ad clicks are what you pay for

Last but not least, even if Amazon PPC advertising isn't inexpensive, the charging model is rather reasonable. In contrast to a flat cost or a rich fee, you only pay for real clicks on your advertising rather than impressions.

If you want to start, you don't have to pay an activation fee or a subscription fee. You can start with just a few dollars and pay as you go. As a bonus, your budget can be set and changed at any time. If you want to control your Amazon PPC campaigns, this makes it easy. You can run successful PPC campaigns even when you have a limited budget because you can set up a budget for each campaign.

Keep in Mind That Not Everything Is Bright And Beautiful

Not at all. Amazon PPC is a good thing to do. But even though Amazon PPC has a lot of great benefits, there are some things you should keep in mind to keep your ad money from going to waste.

You can't advertise on Amazon unless you have a well-thought-out PPC plan in place. There are a lot of things that can go wrong if you run a haphazard campaign that isn't well thought out or done right. People who see your ads but don't buy from them might think your offer isn't relevant or appealing enough for their search. This is what the A9 algorithm thinks when your ads don't get a lot of sales, for example.

In addition, you should not only use Amazon PPC ads for advertising your business. You should also think about other advertising methods and ways to get traffic from outside your business. Hire an Amazon PPC expert if you don't know how Amazon PPC works or if you don't have the time to learn and master it on your own. Urtasker can help you if you need a PPC expert to handle all of your advertising on Amazon.

Conclusion

The money you spend on Amazon PPC will always be worth it, but there's a fine line between making money and losing money. Any campaign that begins without a strategy and allocates resources to the inappropriate, expensive, and ineffective keyword phrases is destined to fail from the start, regardless of how good your intentions are.

Even though it can be hard to learn Amazon PPC on your own, if you put the time and effort into it or hire an Amazon PPC expert, paid ads can be a gold mine.

With new products, PPC advertisements are a great way to jumpstart sales and boost your position in search results.