Amazon PPC, also known as Pay-Per-Click, is a kind of paid advertising on Amazon that helps sellers advertise their products to their customers by bidding on the keywords.
The seller is only paid when someone clicks on the advert. However, just like all things in the world, Amazon Pay-per-click has pros and cons.
Advantages Of Amazon PPC
Advertising with Amazon PPC ads has a massive impact on your sales. If you're wondering whether you should go with Sponsored Advertising on behalf of your Amazon items, this is the reason you should choose it.
Pro tip: We have created a solution in the form of SellerApp's Amazon PPC Management Agency to assist professional sellers properly building and optimizing their campaigns.
1. Freedom of Choice
Amazon PPC is cost-effective as you only pay when a customer can click on your advertisement.
You can decide on the amount you'd like to invest without spending limits. You can choose what amount to pay each time visitors click on your advertisement. Other hidden costs are not included.
2. Relevant Traffic
Another major benefit of using PPC is that it's highly effective in targeting the appropriate audience. It is possible to select your viewers based on their country, language, relevance and time, date, and device. You can also utilize ad Re-targeting, which displays your advertisement to a person who has already visited your site.
3. Performance Metrics
PPC can be calculated. Since everything has a quantifiable objective, you can track the entire aspect of Amazon's PPC regardless of the profit views, clicks, or visits. It will also give you an idea of what you're spending, and whether you're making profits or losses.
In this way, you'll be able to determine what's working for you and focus to improve what's not working.
The metrics you have recorded from the previous PPC campaign can also help you to make an informed decision for the future.
4. Device Friendly
The Amazon PPC campaign is mobile-friendly because it permits your product's URL to appear on Amazon Apps for mobile phones, laptops, smartphones as well as tablets.
5. Faster Results
With PPC you can get more results faster and you will notice the results almost immediately unlike SEO which may take months to show any tangible effect.
It's great for those who want immediate traffic that will create instant momentum, while you wait for SEO to develop.
6. You Reach Buyers, Not Viewers
Amazon Customers typically are towards the end of their purchasing journey, meaning they already know what they're searching for.
Thus, your PPC ads can make life easier for both buyers and sellers by displaying relevant advertisements. This can save time since the information about your product is displayed alongside their search.
7. Enhances your Organic Ranking
If your product is on the last pages of the results page You can make use of paid ads to reach the top of the page and be noticeable. This can increase your sales. When your sales grow, your product will slowly climb to the top organically.
If your item is listed first thanks to simultaneous PPC or organic rank which is a good thing, you'll be able significantly to increase sales and earn higher profits.
It's extremely customizable and lets you make a variety of small adjustments based on the data discussed previously.
9. Complements Amazon's Search Engine Optimization
Through Amazon PPC you get all the keywords buyers will use to locate your items. This information is essential to incorporate SEO-related keywords for your listing's titles, bullets, descriptions, and backend keywords.
10. Increased Discoverability
Amazon PPC helps your new products to be noticed since they don't rank immediately organically.
As free giveaways for products for reviews are no more allowed the use of sponsored advertisements on Amazon for the launch of your product is even more essential. Advertisements can aid in getting faster reviews and, in turn, boost your organic rank.
Disadvantages Of Amazon PPC
Knowing the disadvantages is more important than analyzing the benefits of any company. There are a few drawbacks of Amazon PPC you need to be aware of
One of the drawbacks that come with Amazon PPC is that it can be very lengthy. Setting up the PPC Campaign and leaving it isn't something you should do if you'd like to see it succeed. A PPC advertising campaign requires regular optimization and adjustments depending on the results it's obtaining.
2. Involves budget risks
An unintentionally planned PPC campaign that is not properly planned can result in an enormous loss of resources. Even if you are bidding for the wrong keywords it could result in having to lose hundreds of dollars.
This is the reason why many companies either automatize or automatize their PPC Campaign or employ expert experts to assist them in this field.
3. Pay for clicks, not for sales
You'll be required to pay Amazon each time a person clicks on your ad, regardless of whether the click has been converted into a sale or not. This can result in payments or advertisements that haven't turned into sales.
As with other things, Amazon PPC has its advantages and disadvantages. Which one to select the option for your business is dependent on the needs of the vendor. But, the advantages of using Amazon PPC are far more important than the disadvantages.
Recommended Guide: How to sell on Amazon to get more sales in 2023.