Managing your Amazon PPC cost is an important step in a successful Amazon PPC campaign. With the increasing competition in the Amazon marketplace, it is important to manage your cost effectively, so you can stay on top of the game. Here are our top 4 hacks to effectively reduce your Amazon PPC cost.
Optimise your keywords
One of the things you can work on when reducing your PPC cost is your keywords. Make sure that your keywords are highly relevant, but not too competitive to avoid a high cost-per-click. Having competitive keywords means bidding against a large number of sellers, which actually increases the cost-per-click. By optimising your keywords, you can reduce your cost per click and increase your ad’s relevance to your target audience.
Optimise your keywords by doing keyword research to find the most relevant ones with low competition. You can use Amazon’s keyword research tool, “Amazon Keyword Planner”, or use third party tools like SEMrush and MerchantWords to make your research more efficient.
Once you have a list of keywords, place them in your title, bullet points, and product description. This will help you rank higher in search results, increase your visibility, and reduce your cost per click.
Target the right audience
Another aspect that you can look at to reduce your PPC cost is the target audience. Targeting a broad audience calls for more advertising spend and also less control over performance. However, if you target the right audience, your chances of conversion increase, as your targeting becomes more specific and relevant.
To target the right audience, make sure to understand your target customer’s buying behaviour. You can use Amazon’s “Audience Insights” to learn more about your target audience and find out what they are looking for when they purchase your product. You can also use Amazon’s “Interests & Habits” to target specific audience segments that are likely to be interested in your product.
Once you have identified your audience, you can use Amazon’s targeting options, such as “Automatic Targeting” and “Manual Targeting,” to reach them. This will help you minimise your advertising cost and increase your chances of success.
Use negative keywords
Negative keywords can be one of the factors in a high PPC cost. These are keywords that you don’t want to show your ads for simply because they don’t convert for your product. When these keywords are in your campaign, they generate irrelevant clicks, causing your ad cost to increase.
Before starting your campaigns, find keywords that are not relevant to your product and exclude them. Be careful with this step, as you don’t want to exclude keywords that might be good targets for your campaigns. While running campaigns, you can go in and find those keywords that are not performing for your product. You can turn them off or negate them as needed.
Use A/B testing
One helpful way to reduce your ad cost is to do A/B testing. Test ad copy, different keywords, and targeting to find those that work for your product. This will help reduce your PPC cost.
A/B testing may include the following. You can test different keywords and see which ones generate the most sales, but low cost. You can also test different targeting options, such as “Automatic Targeting” and “Manual Targeting”, to see which one works best for your campaign. Additionally, you can test different ad copy, such as different headlines and descriptions, to see which ones generate the most conversions.
Using A/B testing requires time and patience. Make sure to give each test enough time to provide insightful data before you make any changes.
In conclusion, these are our top 4 hacks to effectively reduce your Amazon PPC cost. By optimising your keywords, targeting the right audience, using negative keywords, and using A/B testing, you can reduce your advertising costs and increase the effectiveness of your Amazon PPC campaign.
At Lezzat, we have years of experience in managing Amazon PPC campaigns and have helped many sellers to reduce their advertising costs and increase their sales. If you need help with your Amazon PPC campaign, please feel free to contact us for a consultation. We would be happy to help you achieve your goals on the Amazon marketplace.
Another possible reason why your campaigns have a high cost is because of non-performing ads. Learn more about the possible reasons why your ads are not converting.