Amazon Merchant with 237 products wants to start PPC efforts - Strategic suggestions?

Hey guys,

So I have a well established Amazon Merchant who wants me to manage PPC efforts on Amazon UK

They have 237 products listed, 40-45 of which are currently bringing in revenue.

Any advice on how to best handle and charge for this beast?
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Comments

  • constantineconstantine ✭✭
    edited January 2016
    As a merchant with 200 products, I am not sure where to start... When you say PPC, do you mean Amazon PPC or Google Adwords PPC ? ...because both of those need to be worked on. I will not be able to say it all here - I have a dedicated person working on this, but the general strategy is to create auto-targeting campaigns as well as manual targeting campaigns, revisit the campaigns to analyze performance - conversion and cost, bid more on what converts best, collect keywords and add them to product descriptions, names, features as well a Search Terms of the products...

    Also, you can use this and other keyword research for Adwords, linking campaigns to specific listings and again re-evaluate the campaigns on click through rate and cost... There is no way to track the results for this, but the results should drive relevant traffic to what are hopefully great products, with great reviews and with higher Amazon conversion rates compared to stand alone sites, this should increase product rank and add sales... No way to know what they are... but this does help...

    Is this what you are asking?
  • EcomTomEcomTom
    edited January 2016
    Hi There @constantine,

    Thanks for your insights, so we are currently managing their Adwords account and they now want us to manage their Amazon PPC efforts.

    I should have been more clear with my question, so we know how to setup and run Amazon PPC, the real issue is knowing which products out the 200+ we should start on

    As said around 40 of their products are selling well organically, I can also mention we have an initial budget of around 1,500 pounds a month.

    I am thinking of

    > Take their top 3 selling products (as they are converting already) run PPC on those
    > Once we have shown we can bring in a positive ROI, they will up our budget and we will expand to 10 of their top selling products
    > Rinse and repeat until we've covered the 40+ that are selling well already
    > At this point we would target products that have high reviews and low sales (around 100 products)
    > Then we would look to run campaigns on the high hanging fruit (Products with low / no reviews and low / no sales

    On top of this all, I am looking to charge around 15% of ad spend + Setup fees per product for our costs.

    Any opinions, insights or experiences would be invaluable.

    Thanks,

    Tom
  • As many here would agree, Amazon PPC sales are an addition to your organic sales. They do not take away... Our ACOS (cost of sales) vary from 10 to 20% (recently competition seems to have heated up)... Our profit margin allows for this, so there is profit here and this is free money. Amazon PPC actually helps organic search standings - Amazon takes this data into consideration for their A9 algorithm... so conversions, feedback from PPC sales help you rank for organic searches for the keywords that buyers used to get your product...

    The answer to your question "which products" is simple - ALL of them... Another thought - you enter keyword "red nike shoes" and see them first on the first page organically... but then also at the end of the page via paid ads... or on the next page also via PPC... You may click on the organic listing or on the PPC ad... either way the chances for the click and for the conversion increase with the number of times a buyer is viewing the ad... that's just common sense...
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