Amazon low-price product advertising strategy and product selection guide

1. Amazon’s advertising strategy for low-price products

1. Optimize product pages

Ensure that product page information is clear, accurate, and complete and can meet consumer needs. The key is to optimize product titles, descriptions, pictures and other elements to make them more attractive and persuasive, and increase customers’ purchase intention and unit price.

2. Utilize Amazon advertising tools

Amazon offers a variety of advertising tools such as Sponsored Products, Sponsored Brands, and Display Ads. Merchants can choose appropriate tools based on product features and attract the attention of potential customers through advertising, prompting them to purchase more products, thus increasing the unit price per customer.

3. Use promotions

Use promotional tools on the Amazon platform, such as discounts, coupons, etc., to attract customers to buy more products and increase the unit price per customer. Take advantage of Amazon’s special events like Prime Day to boost sales.

4. Provide value-added services

Attract customers and increase unit price by providing additional value-added services, such as customized products, fast delivery, extended after-sales guarantee, etc. These additional services can make customers feel that they are getting value for money and are more willing to spend more money on products.

5. Develop precise advertising positioning

Choose suitable advertising formats based on product characteristics and target audience preferences. Use the Amazon advertising platform to place search ads, product display ads, etc. to attract the attention and purchase desire of potential customers.

6. Advertising strategies under different budget situations

Advertising strategy under low budget situations: Conservative plan

  • Advertising combination: automatic advertising (close matching for standard products, substitute matching for non-standard products) + manual precise advertising (set separately for standard products and non-standard products)
  • Budget ratio: Keep bids fixed to control ACOS
  • In the low budget range, a conservative advertising strategy is recommended.

Advertising strategy under medium budget conditions: small steps and fast running plan

  • Place advertising combination: automatic advertising + manual targeted advertising
  • Budget Ratio: Automatic Advertising: Manual Accurate = 6:4
  • Within a medium budget, it is recommended to adopt a small-step strategy and gradually increase the proportion of precise words.

Advertising strategies with high budgets: proactive solutions

  • Advertisement combination: automatic advertising + manual precision advertising + brand advertising (SBV)*1
  • Budget Ratio: Automatic Advertising: Manual Precision: SBV = 2:4:4
  • Within a high budget, it is recommended to adopt an active advertising strategy and increase brand advertising to improve the overall advertising effect.

2. Selection Guide for Amazon’s Low-Customer Price Products

1. Understand the traffic distribution within the site

The site traffic distribution on the Amazon platform can determine the success or failure of low-unit-price products. After merchants understand the traffic distribution on the Amazon site, they can choose suitable products based on the traffic distribution on the site.

2. Understand your competitors

After clarifying the strengths and weaknesses of your competitors, you can optimize them to promote sales of low-unit-price products.

3. Select the appropriate product category

Merchants need to choose a single product with a large sales volume for sale. Choosing the right products is the key to operating low-unit-price products. If the products are not chosen well, the products will be unsaleable and will not be profitable.

4. Reasonable pricing

Carry out reasonable pricing based on product cost, market demand and competitor prices, both to ensure profit margins and to attract consumers.

3. Time required for Amazon advertising optimization

Amazon advertising optimization is not achieved overnight, and it takes a certain amount of time to achieve the desired results. The length of optimization time depends on several factors, including the level of product competition, advertising budget, and market demand. Typically, after initially setting up an ad, merchants need some time to accumulate data and analyze it. In this process, advertising performance can be continuously optimized by adjusting factors such as keywords, bids, and advertising creativity. It is recommended to give Amazon Advertising optimization at least a month to collect sufficient data and make corresponding adjustments based on data analysis results.

To sum up, on the Amazon platform, whether you choose products with low customer unit prices or formulate corresponding advertising strategies, you need to make choices based on your actual situation and market demand, and adopt corresponding strategies to increase product profits. Through reasonable pricing, optimized product mix, consideration of self-delivery and precision marketing, merchants can stand out in the fierce market competition and achieve sustainable development.