Amazon advertising is a must-have skill for Amazon sellers. Learning how to master advertising is a course that new sellers must learn. Although advertising is a basic course, it cannot be successful through keywords and delivery on the shelf. We should analyze the lack of traffic from all aspects. No clicks and other problems, and then optimize. Today, I will share the delivery strategy of Amazon advertising with new sellers.
1. Bid based on historical records.
Data can help sellers succeed. All sellers have to do is find the perfect CPC (cost per click) by calculating the revenue per click. Calculate the total sales obtained by the keyword, and then calculate the revenue per click, divided by the total number of clicks on the keyword.
Calculate the revenue per click for the past 30 days, 60 days, and 90 days to understand the seasonal factors that affect the revenue per click and the long-term effects of keywords.
After calculating the revenue per click, divide it by the target ACOS, and the result is CPC, which is your bid.
There is also a simple trick, divide the target ACOS by the current ACOS, and then multiply the ratio by your current CPC to get the CPC that meets your indicators.
2. Set the expected conversion rate.
If there is no relevant advertising data for the product, the seller cannot calculate the bid based on the history. But the seller can set the expected conversion rate.
Expected conversion rate.
Sales price.
Target ACOS.
The expected conversion rate is how many clicks are needed to convert the sale. The average conversion rate on Amazon is about 10%, so sellers can regard 10% as your expected conversion rate.
Sales price is the product price, and target ACOS is the ideal advertising cost for the seller.
For example, the expected conversion rate is 8%, the product price is $29.99, and the target ACOS is 30%, so the advertising bid = product price * target ACOS * expected conversion rate. The final ideal bid is $0.72.
If the seller finds that there are 15 keyword clicks but no sales, the expected conversion rate may not be 10%, and the expected conversion rate needs to be adjusted, and then the bid is adjusted.
Whether it is predicting indicators or adjusting bids, sellers need to use relevant data before making decisions.
Don’t use intuition as the basis for bidding. All ideal bidding models rely on the calculation of account data and use simple and fast calculation methods to make wise decisions.
The above is the full content of Amazon advertising bidding strategy. I hope it will be helpful to sellers. Lianlian Cross-border Payment always pays attention to every little thing of sellers, and will bring articles on related aspects in future articles to help sellers operate better.