What’s the Deal with Amazon PPC Advertising?

Amazon PPC advertising has become very popular. It’s practically a must-have for any business that wants to sell their products successfully online. If you want to know more about Amazon PPC advertising and what it’s all about, you’re in the right place!

Sponsored Products vs Sponsored Brand Ads

There are two types of Amazon PPC: Sponsored Brands and Sponsored Products.

Sponsored Products are individual listings that get promoted via PPC. You choose the product and decide whether you want to pick the keywords or let Amazon handle it for you. You can also manage stuff like ad spending and keyword bids to see how your campaign is doing. These ads show up on product detail pages or in prime spots on the search results page.

Sponsored Brand Ads, on the other hand, are bigger ads that feature your brand logo, key products you offer, and a headline. When you click on these ads, you’ll get to visit the Brand Store on Amazon. You’ll spot Sponsored Brand ads at the top, bottom, or side of the search results page.

How Amazon Decides Where to Show Your Ads

The placement of your PPC ads in the search results is determined by an auction system. Generally, the seller with the highest bid and best ad quality gets to be on top. But there are other factors that Amazon takes into account, so the highest bid won’t always guarantee the top spot.

Amazon uses its internal algorithm to figure out which ads to display based on the search terms people enter. Here are the main criteria that affect the ad rankings:

  • The price offered by the seller
  • How relevant the product is
  • The quality rating of the advertising campaign
  • Whether the listing has the right browser node and relevant keywords

Will PPC Boost My Organic Sales?

But what about organic sales? Those are the transactions that happen naturally through the regular search results on Amazon, without anyone clicking on an ad first. Well, a solid PPC strategy can definitely help with organic sales growth in two main ways.

First, PPC shows Amazon that your product is relevant to certain keywords. This impacts where your Sponsored Products ads show up and even affects your organic search ranking. Higher rankings lead to more visibility, clicks, and sales, which then help you climb even higher in the rankings.

Second, a successful PPC campaign brings in sales and improves your Best Sellers Rank. And guess what? That has a direct influence on your organic ranking, and plays into the search algorithm.

So, PPC is not only great for boosting sales in general, but it also helps drive organic traffic and sales. It’s a win-win!

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