If you’re selling on Amazon, then you are most definitely leveraging Amazon PPC strategies and campaigns. PPC (pay per click) on Amazon refers to a form of advertising whereby you pay every time someone clicks on your ad. Are you trying to figure out how to make the most out of them while also not burning a hole in your pocket?
PPC strategies vary depending on the seller’s goals. The goal could be either to launch a new product, promote existing ones, build brand awareness, or promotion for quickly doing away with excess inventory.
Table of Contents
TL;DR - Advanced PPC Strategies
Running successful Amazon PPC campaigns comes down to these strategies:
- Start with automatic campaigns to gather data, then switch to manual for better control.
- Use negative keywords to stop wasting money on irrelevant clicks.
- Set your daily budget around $50, but control spending through smart bidding
- Monitor performance weekly using ACoS (Advertising Cost of Sales) to adjust bids.
- Let your PPC and SEO work together – use winning ad keywords in your product listings.
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Amazon PPC Campaign Strategy Essentials
Having a solid PPC strategy isn’t just helpful—it’s essential.
Recent data shows that Amazon’s advertising revenue increased by 50.5% from 2021 to 2023, growing from $31.16 billion to $46.91 billion, indicating the growing importance of PPC in the platform’s ecosystem.
Before going into advanced PPC strategies, let’s understand the fundamental building blocks that make up an Amazon PPC campaign:
- Keywords: The search terms you want to target to trigger your ads.
- Match types: How closely the search term needs to match your keyword.
- Placements: Where your ad appears on Amazon (product listings, top of search results, etc.).
- Bidding: The max you’ll pay per click based on competition and expected conversion value.
- Budget: Daily limit on ad spending to manage cash flow.
These core elements work together across three main campaign types:
- Sponsored Products: The most basic and essential ad type that promotes individual products within Amazon search results.
- Sponsored Brands: Advanced ads that showcase your brand logo, custom headline, and multiple products in a banner format.
- Sponsored Display: Ads that can appear both on and off Amazon, helping you reach customers who’ve viewed your products before.
Carefully consider and optimize each element based on your product, market, and business goals.
Also, take a deeper look into Amazon ads based on the strategies mentioned below!
7 Best Amazon PPC Strategies
The following strategies are guaranteed to be useful to sellers while streamlining their PPC campaigns
1. Negative Keywords to Improve Visibility
Negative keywords are keywords that ensure your ad does not display for products that are irrelevant. While running manual campaigns, you would have already marked all of the keywords for which you do not want your ad to display. However, when it comes to running automatic campaigns on Amazon, it works differently and there won’t be any predefined negative keywords. This means that there are increased chances for your ad to be displayed for irrelevant search terms. Thus, sellers need to keep looking for those keywords that are generating clicks but not bringing in any sales and move them to negative keywords.
You have to be cautious while designating negative match words, and ensure you don’t include ones that are highly relevant to your product. Even if they’re low-converting ones, what you can do is retain them and lower their bids instead of marking them as negative. This works towards improving your visibility on Amazon and simultaneously reducing ACoS so that you have more to spend on keywords that have value.
2. Bidding According to Search Rank
When you’re running multiple campaigns with varying bids and budgets, you need to set your bid and budget for keywords, according to where the product listing ranks on the Amazon SERP. Identify the top-performing keywords, along with their page rank and listing position.
For a listing that appears beyond page 5 of Amazon search results, you need to take into consideration only the top-performing keywords from there that are generating sales and set modest bids for them.
For a listing that appears anywhere from pages 2 to 5, choose the top-performing keywords that are generating the most sales after a process of constant bidding. You can then optimize your PPC campaigns with those keywords as they boost your listing’s organic ranking along with an increase in the conversion rate.
For a listing that appears on pages 1 and 2 of Amazon SERPs, it is evident that the keywords used are high-converting. Thus, you need to adopt an aggressive bidding strategy for these keywords so that you can win the highest positions and this will enhance the visibility of your product.
3. PPC to Ee-Engage Customers
One of the very important parts of a PPC strategy is that you can use it to re-engage customers, or re-market products to customers who have visited your product listing pages. This is useful in bringing customers back to your product page by advertising off Amazon. Use your PPC campaigns in such a way that their content persuades customers to go back and complete the purchase or to purchase from you again and again.
4. Amazon Keyword Translations
If you’re selling on different Amazon marketplaces globally, then translating your keywords to another language so that you can cater to that country’s customers is one strategy. However, you cannot just simply translate the keywords in these ads to another language as there will be several roadblocks. First, the complete product listing content will have to be translated correctly including the back-end search terms. It is preferable to get a certified translator or a native speaker to do it so that you avoid making grammatical and spelling errors. Also, you must ensure that you translate according to the audience, and use those translated keywords only in that particular marketplace. For eg – use Italian keywords only while selling on Amazon Italy and use English keywords while selling on Amazon US.
5. Manual Campaigns in Tandem with Automatic Campaigns
The way you structure and run your Amazon PPC campaigns is another strategy. Manual campaigns give you more control over targeting and other specifics but automatic campaigns make it easier especially when you’re running several campaigns at a time. Both have their pros and cons, however, the best thing to do is to use both.
You should run automated campaigns prior to manual ones. This is so that you can obtain valuable keyword data which you can then use in your manual campaigns. With this strategy, you can use automated campaigns as a great source to constantly find new, top-performing keywords.
With the keyword data that has been collected, sellers can use varying keyword match types – broad, phrase, and exact, in all the different campaigns. Amazon’s A9 algorithm favors the exact match type the most but it is also the most expensive so ensure you include only high-converting keywords in the exact match campaigns. Bidding strategy to secure your brand name and beat the competition.
6. Bidding Strategy to Secure Your Brand Name and Beat the Competition
PPC campaigns are the best way to spread awareness about your brand, boost its visibility, and maximize exposure. Every other brand owner is also looking to do the same thing. Therefore, one of the most important things to do is to bid on your own brand name.
A lot of people tend to overlook this particular function. This leaves room for your competitors to bid on your brand name. Every time someone searches for your brand, your competitor’s brand and products will show up, and this reduces your exposure. Sellers must bid aggressively on their own brand name to ensure that doesn’t happen. With you bidding, it becomes more expensive for them and deters them.
Conversely, one can take it a step further by doing what your competitors would do: start bidding on their brand name so that your products show up when someone types their name into the search box. This is another way to increase visibility and see a significant boost to your sales. However, also ensure that this is not eating into your profits. As mentioned earlier, bidding on a competitor’s brand name is going to be expensive, so you must set a budget and not exceed it.
7. Advertising Automation
Using automatic campaigns is a great way to save time and facilitate keyword research among other things. This is especially true when you have multiple campaigns. However, it can have its shortcomings when you don’t use the right tools. This is where SellerApp’s ad automation comes into play.
You can leverage automation such as SellerApp’s pre-defined rules for PPC campaigns, depending on the goals and achieve increased visibility and sales. Their rule-based algorithms are used to optimize bids, reduce wasted ad spend, minimize ACoS, increase conversion rates, and do so much more with ease. All you have to do is input metrics like ACoS, orders, clicks, etc… Now, just sit back and reap the benefits, while the expert tools take care of everything.
Choose from 3 different rule-based algorithms to automate your campaigns.
- Money Saver
This works towards minimizing wasted ad spend from low and non-converting search terms. If you have set a target ACoS, you can achieve it easily as it optimizes your ad spending and improves negative targeting.
- ROI Optimizer
If you want to achieve a target ROI for any campaign, set a minimum RoAS, and this rule will help you achieve it by targeting your RoAS benchmark. It will increase the bid value only up to the threshold value set by you. It will also consistently uncover potential keywords while the software makes changes to your bids so that you can reach your goals for each campaign.
- Keyword Harvester
This rule is used to increase visibility and conversions. How is it done? The algorithms let you optimize your bids so that you can reach a wider audience, thereby increasing your conversion rate.
SellerApp’s PPC automation takes strategizing and campaign management one step further with their Bulk actions feature, which makes it easy for the advertiser to create, edit and optimize multiple campaigns with just a few clicks. SellerApp saves you a lot of valuable time. Read this helpful article from Seller App to know more about how it works.
How These Amazon PPC Tips Can Help Your Business
These PPC tactics and strategies can provide several key benefits:
- Increase Sales: By winning more high-converting clicks and impressions
- Lower Costs: By filtering out irrelevant traffic and right-sizing bids
- Protect Margins: By putting guardrails around low-profit campaigns
- Gain Insights: By testing new options and analyzing performance data
- Build Momentum: By coordinating seasonal launch strategies.
The end goal is to maximize your advertising ROI and ensure a healthy Amazon profit margin to outpace competitors.
Implementing Effective Amazon PPC Strategies
Now let’s see how to implement the Amazon PPC strategies mentioned above, spanning keywords, bids, new product launches, and more:
PPC Keyword Strategy
Proper keyword research and implementation is the foundation of any successful Amazon PPC campaign.
Start by running automatic campaigns. Use all four targeting types: close match, loose match, substitutes, and complements.
Use it like a research tool that helps you discover what your customers are actually searching for.
Give these campaigns at least 2 weeks to gather enough data. Amazon may automatically match your products with various customer searches during this time.
Your daily budget matters here. While it might seem tempting to start small, a budget of at least $50 will give you enough data to make informed decisions.
After gathering data, it’s time to analyze what’s working. Review ‘Search Term Reports’ every 7-14 days.
Look for keywords with:
- Keywords that got at least 10 clicks
- Terms that helped you make sales
- Searches with good conversion rates
Many sellers make a mistake by forgetting about negative keywords. These are terms you don’t want your ads to show up for.
Add terms that:
- Have high spending with no sales
- Are irrelevant to your product
- Have an ACoS above your target
For example, if you’re selling premium coffee makers, you might want to exclude terms like “cheap” or “budget” to avoid wasting your ad spend.
Amazon PPC Bidding Strategy
Consider bidding as setting the right price for your product—bid too high, and you lose money; bid too low, and no one sees your ads.
Let’s make this simple with a practical approach.
First, you need to know your numbers. Here’s a straightforward formula you can use:
Your ideal bid = Your profit margin × Expected conversion rate
Let’s say you make $8 profit on each sale and expect a 10% conversion rate. Your ideal starting bid would be $0.80 per click.
This way, you’re making sure each click can potentially lead to profitable sales.
When it comes to adjusting your bids, follow these common-sense rules based on your ACoS (Advertising Cost of Sale – the percentage of sales you’re spending on ads):
When your ACoS is too high:
- Decrease bids by 10% if ACoS is 1-2x target
- Decrease by 20% if ACoS is 2-3x target
- Decrease by 30% if ACoS is >3x target
On the flip side, when keywords are performing well (below your target ACoS), don’t be afraid to increase bids by 10% to get more sales.
Amazon PPC Product Launch Strategy
When launching new products, follow this proven sequence:
- Week 1-2:
- Launch an automatic campaign with an aggressive daily budget
- Set your bids about 15-20% above Amazon’s suggested bid
- Enable the “Dynamic Bids – Down Only” option to keep some control over your spending
When Amazon suggests a bid, they provide both a suggested amount and a bid range.
For example, if Amazon suggests $0.70 with a range of $0.40-$1.40, bidding 15-20% higher would put you at $0.85-$0.90.
This keeps you competitive enough to gather data quickly while staying within a reasonable range.
You could bid even higher depending on your budget and how aggressive/competitive you want to be with your advertising campaigns!
- Week 3-4:
- Review “Search Term Report” and pick out the keywords that are actually working
- Create a manual campaign with top-performing keywords
- Start with phrase match targeting
By Week 5-6, you should have a good understanding of what works.
Now you can:
- Create exact match campaigns for your best-performing keywords
- Start reducing spending on your automatic campaign
- Add negative keywords to stop wasting money on irrelevant searches
PPC and SEO Strategy
Your PPC and SEO efforts should work together like partners, not competitors. PPC is your fast-acting strategy, while good Amazon SEO strategies build long-term success.
When you run PPC campaigns, you gather valuable data about what makes customers click and buy. Use this information to improve your product listings.
For example, if certain keywords in your ads convert well, ensure they’re added (naturally!) in your product title and bullet points.
Your listing optimization directly affects your PPC success, too. A well-optimized listing with clear images, compelling bullet points, and relevant keywords will give you better organic and paid traffic conversion rates.
Pro tip: Monitor your organic rankings for keywords where your PPC campaigns perform well. Consistent PPC performance can often help improve your organic visibility for these same terms.
Strong sales (even through PPC) send positive signals to Amazon’s algorithm about your product’s relevance for those search terms.
Update your backend keywords based on your PPC findings regularly.
These hidden keywords help Amazon understand what your product is about, even if they’re not visible to customers.
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Frequently Asked Questions (FAQs)
Let’s address some common questions about Amazon’s PPC strategy:
Is Amazon PPC Worth It for Low-Margin Products?
Not always.
For products with less than 20% profit margin, spending over 5-10% of the sale value on advertising makes breaking even tough.
Ensure you have enough margin buffer before aggressive PPC.
What Are Some Mistakes to Avoid with PPC Marketing Strategy?
Common pitfalls include:
- Chasing every keyword without budget controls in place
- Not having any optimization plan to weed out bad performers
- Failing to analyze reports
These mistakes lead to overspending. Stay disciplined.
What’s the Impact of Seasonality on My Amazon PPC Campaign Strategies?
It’s huge. The entire plan timeline needs to shift based on buying cycles.
Consider pre-launching holiday ads in October, then pausing most non-essential campaigns in January through summer lulls. Plan around sales peaks and troughs.
Conclusion
When it comes to optimizing and strategizing PPC campaigns, sellers have to be extremely careful as there is a lot of room for error. Leveraging expert data intelligence tools and following strategies like the ones mentioned above are the best way to secure yourself against weak campaigns. So, you can go ahead and start making the most out of PPC now!
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