If you’re an Amazon advertiser searching for ways to increase your sales in 2021 as demand for the marketplace soars, our top five tactics can help.
Amazon has become a fantastic option for companies without an ecommerce store of their own to sell their products online, but is also a tried-and-tested way to diversify channels and extend reach even for those with their own online sales function.
Setting up a listing is a simple procedure, however, growing visibility so your products appear in front of Amazon shoppers and generating a significant amount of sales takes time due to the sheer volume of competition on the platform. New sellers also have to compete against established products with lots of reviews – something we know is important to modern shoppers when making purchase decisions.
Amazon Ads can be used to promote your products and generate sales while helping you build a strong reputation with reviews, sales, and increasing traffic.
As with any type of paid search, it is very important you understand how the process works so you can optimise your budget, create targeted ads with an acceptable cost per conversion and you’re your sales.
Tactic 1: Target Upcoming Competitors with Promising Products
Amazon is one of the biggest ecommerce platforms in the world and it’s getting bigger; it confirmed that last year’s Black Friday weekend was its biggest ever. During the pandemic especially, Amazon has become the preferred destination for millions of shoppers who now prefer to order online rather than visit a physical store.
Targeting competitors who are new on the scene can help you derive better results from your ad spend. To do this, shortlist your most effective keywords and then do a regular search within Amazon for those terms. Filter the results by “New Arrivals”. You can now use this information to build a new campaign, targeting your ads around ASINS with great potential whose presence on Amazon is in its infancy.
Step 1 – Filter your search by newest arrivals
Step 2 – Select a new competitor with high potential and target its ASIN inventory
How to ensure that this Amazon Ad Campaign will increase your sales:
- Try to keep the number of ASINs per ad set at 10 or less.
- Create one ad set per campaign so that it’s easier to keep tabs on performance.
- Use the data you gathered to pinpoint effective keywords.
Tactic 2: Limit your automatic campaigns for data-gathering.
If you don’t have enough data to understand how your ads will perform, automatic campaigns can be a lifeline. They provide valuable information about keywords, ASINs and a range of other factors required to run a successful advertising campaign on Amazon.
However, while you can use the automatic option to gather data, it’s essential that you switch to manual targeting campaigns thereafter. This gives you more control over ad settings, budgeting and targeting.
How to ensure that this strategy will increase your sales:
- Make sure you gather enough data to make decisions. There is no magic formula but we recommend running it for at least seven days.
- Make sure you create separate automatic targeting campaigns to allow for useful data analysis.
- Go to set Bid by targeting Group
- Create one campaign per targeting group
- 1 Campaign for Close match
- 1 Campaign for Loose match
- 1 Campaign for Substitutes
- 1 Campaign for compliments
Remember to use the automatic campaign findings to create manual campaigns (best keywords, ASINs, Categories, etc.)
This is a great strategy to begin generating leads however, you can also couple it with your competitor research for even more actionable data..
We offer a complete Amazon Advertising management service. Our experienced Amazon Ads experts will optimise your campaigns using smart data, performance insights and competitor research to deliver optimal, performance-focused campaigns. We do this with the help of specialist software which affords us a wealth of insight:
- Find a product within a 450 million products database, and validate your product’s success with analytics like seasonal trends, profit estimates, and more.
- Determine estimated sales needed per keyword to rank on page one of Amazon.
- Analyze your products seasonal demand, identify trends that will help them optimize their campaigns.
Tactic 3: Use long-tail keywords
Bidding on long-tail keywords can give your Amazon campaigns a significant boost.
Long-tail keywords are simply longer keyword phrases that are more specific.
Keyword: Japanese Knife
Long-Tail Keywords: Japanese Knife Set, Japanese Knife Santoku, Japanese Knife with Block professional
Incorporating long tail keywords means that your Amazon Ads are targeted at customers with a strong purchase intent.
If you are new to Amazon, this is a great strategy to target specific niches of your product inventory while you begin to gain a reputation, acquire more reviews, and optimize your listing and campaigns.
Tactic 4: Negative Keywords
A negative keyword strategy is essential for boosting your Amazon Ads performance. It allows you to target the right audience and to make sure you do not spend on keywords with low ROI.
In some cases, using negative keywords will also prevent your ads from competing against each other. It’s important here that you set your business priorities and use them to create well-organized ads using negative keywords in a clear and logical manner.
How to use negative keywords to ensure that this strategy will increase your sales:
- Find the right keywords: It’s natural to want to use your industry knowledge to create a list of words that could result in lower quality traffic and drive consumers with low to no purchase intent to your listing. Try to limit this approach as much as possible. We recommend data-first policy which relies more on the data you gather than a hunch. You can gather useful data to help with this decision making from Amazon; simply run automatic and broad campaigns to gather data. Review the output and create your negative keyword list based on your Amazon Advertising Search Report, you can use these criteria to help you choose the right negative keywords:
- Non-relevant keywords with high ACoS (when your products are not compatible with the nature of the search for example due to location restrictions)
- Keywords with high spend and low conversions
- High-click non-converters (consider leaving this if you are aiming to use this campaign for brand awareness, however, you’ll still need to ensure that your budget is working for you and leads to sales overall).
Tactic 5: Make sure your keywords appear organically in your listing
Organic search optimization is an essential part of your listing’s overall performance. Just as you would with a traditional paid search or SEO campaign, it’s important to understand your audience and their search habits. You can use this insight to optimise your listing and create better content for your products to rank better on Amazon.
Much like Google, Amazon’s ultimate aim is to show relevant results to users. This means your products must be relevant to the search. It’s also vital that any shoppers clicking through to your listing are then presented with clear, relevant information. No matter how well structured and optimised your Amazon Ads campaign is, if your listing itself is not optimized, your Ads performance will be compromised.
Amazon Ads can drive improved sales and greater visibility. The Amazon Ads ecosystem is expansive with new features, ad formats and tools regularly added.
If you are ready to use Amazon to grow your business, contact our Amazon specialists now to find out how we can help.