What is Amazon PPC strategy? Pay per click advertising, or PPC, is an advertising strategy entirely operated via Amazon’s own online ad system, Amazon Ad. The concept is quite simple.
Amazon sellers and affiliates can only pay Amazon to post ads related to their chosen product category. There are limits, of course: not all products will qualify for inclusion, and not all ad placements will generate revenue. Nevertheless, the idea is to create a strategy centered around targeted, specific advertising. This means creating a new marketing plan focused on an exact niche market, one that is likely to have buyers seeking specific goods and services. The targeted approach establishes a strong foundation for repeat business and sales success.
One of the biggest challenges in implementing any online business model is establishing long-term profitability. Online selling requires regular ad buys by customers and regular subscription to relevant content and tools. But if a site’s purpose is simply to provide in-depth information about a particular subject, it’s difficult to predict how users will look for additional information or what types of products they will search for next. For sites with clear marketing objectives, long-term profitability becomes much more feasible.
Amazon has developed a number of excellent analytical tools to help ascertain user behavior and target markets. The most popular tool for advertisers is the Affiliate Program Behavior tool. This tool leverages Amazon’s unique insight into user behavior to generate profitable campaigns. It also runs ads in response to certain criteria passed on to it by the seller or affiliate manager.
A second useful tool for the Affiliate Program Behavior team at Amazon is the Search Volume Lookup tool. Using this feature, the sales team can find keywords most likely to appear in paid search results. Once the researchers have these keywords, they can automatically run PPC ads on these keywords. Running PPC ads based on current search volume is a time-consuming process. But using sophisticated statistical algorithms, the Amazon SEO team makes it easy to identify lucrative PPC niches and test which ads are most effective as well.
The third strategy in Amazon’s approach to smart PPC is its Marketing Execution Center. MEC provides an advanced dashboard that lets marketers easily manage ad campaigns and track keyword, ad group and CPC statistics. In addition to presenting search results from various partner advertisers, MEC displays the pay-per-click advertisement rates from each partner. And it allows tracking of ad performance history, which is vital for learning what strategies are working and what ad groups are not achieving the desired pay-per-click results.
A good pay-per-click management strategy should also be able to provide easy access to actual ad campaigns. The Amazon Digital Text Platform offers advertisers access to millions of keyword and key phrase combinations. This gives advertisers a significant advantage over their competition when it comes to selecting the most profitable campaigns to run. The AdWords Content Network also provides advertisers with thousands of contextual options. Its data feed allows for a quick view of profitable campaigns.
Amazon also makes use of its own in-house developed software tools, which are called the Amazon Ads Workflow and the Amazon Affiliate Program Workflow. These programs enable advertisers to easily create and manage pay-per-click ad formats. Additionally, they provide step-by-step instructions for creating and running highly efficient campaigns. This approach, coupled with a good PPC strategy, will improve the profitability of any online business, big or small.
The key to an effective pay-per-click advertising campaign is a comprehensive understanding of the products and services offered by your company. This begins with carefully conducting keyword research to identify popular search terms that potential customers use to find your product. Keyword research will also help you identify niche markets that may be more profitable.
After your company has identified a profitable keyword or market, your strategy must include the creation of targeted promotional campaigns. If you have already implemented an automatic-targeting and manual-targeting strategy, this is the time to test your strategies to ensure maximum profitability. For an additional cost, you can upgrade your automatic-targeting and manual-targeting strategies to include more advanced features, such as landing page customization and ad integration with Google AdWords and other marketing automation platforms.
Advertisers should be cautious about bidding on keywords that have very low traffic despite being very competitive. It is imperative to create ad campaigns that are well targeted to achieve the best pay-per-click results. Test various ad campaigns to determine which ones bring in the most revenue. Also, it is important to make sure your website does not appear on search engine results for the competitor products and/or search terms. You can easily achieve this by focusing on your keyword research and optimization efforts on the most profitable keywords.