Home » How to Optimize Your Amazon PPC Bidding for Maximum Profit | Evica Digital

How to Optimize Your Amazon PPC Bidding for Maximum Profit | Evica Digital

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Amazon PPC advertising costs more than ever now. Having the right advertising strategy to maximize your profits and decrease the extra costs is crucial.

Every product and category is unique and requires specific learning and expertise to advertise. But you need a general bidding strategy that saves you from unnecessary spending.

Let us give you five result-oriented tips to optimize your Amazon PPC bidding and maximize your profits.

5 Result-Oriented Tips to Optimize Your Amazon PPC Bidding

Optimizing your bidding can make a huge impact on your overall profit. So, it’s an essential element that every seller and digital marketer must know. Here are some incredible tips that help you make an impactful bidding strategy.

1.    Identify the Suitable Bid Type for Your Brand

Amazon has introduced three bid types for better bid adjustments.

●      Down-only bid

Amazon will lower your bid automatically when your ad seems less likely to convert.

●      Up & down bid

Amazon will lower your bid when your ad seems less likely to convert. Amazon also raises your bid to a max limit of 100% when your ad seems more likely to convert.

●      Fixed bid

Amazon will leave your bid and won’t make any changes.

In these three types of bidding, you need to choose one that goes well with your brand and product category.

2.   Bid On Keywords With Low Volume

Everyone wants to rank high on high search volume keywords. But not everyone can rank for these keywords as they are more competitive and expensive. If you have a low advertising budget, choose the long tail and low volume keywords. They bring in low traffic but are more likely to convert at a lower cost whilst you gain traction.

3.   Don’t Bid on Expensive Keywords

Bidding on high-volume keywords means you have a lot of spare budget for advertising because they are super expensive. If you are just starting, you must avoid bidding on expensive keywords to maximize profit. Instead, find the keywords with low search volume and CPC.

4.   Increase Your Bids Gradually

If you increase and decrease your bids suddenly, you will lose money with a high ACoS. You need to use an inch-up method, which gives you a slow result but saves you a lot of money.

Let’s say you have no idea about a perfect bid, so keep your bid at $0.50 for day 1. Then gradually increase it to $0.75 for day two and $1 for day 3. You will notice the change in impressions, and the ACoS will be under control when you make sales.

5.   Learn, Update and Optimize Your Bid Strategy Daily.

The most important part of your bidding strategy is constant learning and consistent implementation. Each advertising campaign and the product is unique, so you must learn each day and optimize your bids accordingly. This way, you will maximize your profit by saving a lot of money.

Bottom Line

Amazon PPC bidding is a technical area and requires specific expertise to make maximum money out of it. Now, you can implement these tips to optimize your bids and make maximum profit.

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