No matter how long you have been selling on Amazon, Amazon advertising is undoubtedly the most difficult part for Amazon sellers.
So, we are going to give you a complete guide with everything you need to know when running Sponsored Products Automatic Campaigns on Amazon. But the Strategies of Amazon ad campaigns are very complicated, we will talk about the automatic targeting campaigns first in this article.
Since the internal advertising is one of the traffic portals that Amazon sellers can actively control, we should enrich our understanding of it. By the use of automatic targeting, Amazon will automatically show ads for your products and match keywords and corresponding product categories for your listings during the display process.
The machine algorithm is one of the AI applications widely used in Amazon ad campaigns. The system crawls product titles, images, and bullet points, etc.
However, we have to pay attention to a few points.
The effect of automatic campaigns depends on the quality of your listing, that is, whether the title, product images, and bullet points are accurate.
The automatic ads will be matched to the bottom of the details page of your competitors; as shown in the figure below:
When you bid for Amazon campaigns, price is the vital factor that directly affects whether your listing can be displayed on the first page of the product details page, otherwise, it only starts to come up from the 2nd page.
Sellers need to download the Advertising Reports at least once a week when starting on automatic campaigns.
There are a few things that need to be done when you analyze the Amazon advertising reports.
1. Find out which are the valuable keywords gaining higher exposure, conversion rates and click-through rates (CTR);
Keywords with high exposure should be placed at the beginning of the title, followed by those with high conversion rates. What’s more, all these keywords shall be included in the search terms.
In addition, keyword relevance is one of the important ranking factors that Amazon’s system determines how ‘rankable’ for a listing is. So, the listing will achieve a higher relevance score if you repeat these keywords in the bullet points, long descriptions, and A + content. Then, use these keywords separately to run the manual targeting campaigns.
2. See which keywords are a waste of money；
It refers to the keywords that produce fewer conversions even with high exposures. Many sellers claim that automatic targeting helps them increase exposure to products, but the ads do not generate enough clicks. This is mainly because your listing is not accurate that results in mismatches by the system.
Supposing that you are selling men’s shirts on Amazon, but the system matches your products to the category of women’s shoes. Under that, it, of course, fails to get buyers engaged and to click on ads.
Some keywords receive a high CTR, but you are not seeing any conversions. For example, a keyword that has dozens of clicks without a single conversion. This at least indicates that your main image looks great that can attract clicks from customers, but they do not add your product to cart after viewing the detail page.
There are a variety of reasons why customers do not buy from you. Two of them are as follows:
1. The price is too high.
2. Product listing that has no reviews, or even negative reviews
The above two reasons are obvious. If we exclude these two points, the other possible causes for failure to persuade customers to buy your products are the frustrating product titles, bullet points or A + content.
We can put these keywords back after optimizing the listing. As shown in the figure:
3. Keep your automatic targeting campaign running every day
Most sellers set a budget to only $3-4 for automatic targeting ads. As a result, they get less than 5 clicks on ads because the budget runs out in a day. Some set a daily budget of $50 but turn off the campaign after three days, which is also useless.
Three important points should be paid attention to when running auto ads:
1. Keep running at least 30 days
2. Start with a budget of at least $10/day
3. Continue to add wrong or money-wasting keywords to negative keywords
We have made some statistical analysis and concluded the fact that:
A keyword with a high CTR may waste your budget of $5 a day, or $150 a month.
Anything can be accomplished as long as you persist. We hope you will follow us for more business analysis blogs about Amazon advertising.