Amazon PPC advertisements are Amazon’s pay-per-click advertising program which displays ads within Amazon’s search results as well as pages for products.
The ads are only available by sellers who have an account with a professional selling service, or sellers using Vendor Central which isn’t accessible in all product categories.
The ads boost visibility and sales because they appear when people are looking for similar items on Amazon.
Pay-per-click is a method of advertising where the advertiser pays only for its advertisement after an interested customer clicks it to open the page.
Sponsored Products Vs Sponsored Brands
There are two primary types of Amazon PPC ads: Sponsored Products and Sponsored Brands.
Sponsored Products highlight specific product descriptions, and Sponsored brands market different collections of items within one brand.
When using Sponsored Product ads, the vendor chooses the product, and then selects their keywords or lets Amazon take care of it for them.
The seller can control the amount of money spent on ads and bids for keywords and track performance metrics that are associated with the campaign. When you click on an ad, it takes you to a particular listing.
Sponsored Product ads appear in search results, or on the Amazon product detail pages.
Sponsored Brands are more extensive advertisements that showcase several items, the logo of the brand, and a unique headline. When you click on an ad, it takes you to the page of the brand either a store or website landing on Amazon.
Advertisements from Sponsored Brands appear in prominent locations in the results of searches: in the middle of the webpage, on the bottom, however, in a smaller format, or on the side in the web browser’s window.
Amazon PPC ads also appear in mobile searches and are a rising source of traffic each year.
Do Amazon PPC ads worth it?
Yes, they do. In addition to being less expensive and more effective than Google and Facebook ads, you’re placing your product in front of those who are on Amazon to purchase.
The fact that buyers are intent to buy is a huge benefit that will make Amazon PPC more likely to boost sales and help you get your product higher in search results.
With a well-planned strategy and efficient administration, Amazon PPC ads can be extremely effective, especially when the time comes to launch an innovative product.
How does Amazon determine which ads to display?
In general, the person who has the highest bid will get the first spot in the results of the search, while the second-highest bidder is placed in the second position and the cycle continues.
However, the most expensive bid doesn’t always get the first position, because there are other elements that Amazon considers.
Check out SellerApp’s Amazon PPC tool to optimize your Amazon PPC campaigns.
Amazon employs its algorithm for displaying ads to determine the advertisements to display to customers depending on the type of search they’re doing on the website.
- The price at which the seller bid
- The value of the product
- The quality score of the ad campaign
The quality of the campaign score can be described as an internal Amazon measurement. The score is not visible anywhere else, since it is solely for Amazon’s use.
Based on our research, we have concluded that it considers the rate of clicks (CTR) and the percent of total clicks age of the campaign as well as other factors to assess the effectiveness of the advertisement.
Recommended Guide: How to increase Amazon sales in 2022.