What is Amazon PPC?
Amazon PPC (Pay-Per-Click) is Amazon’s internal advertising system that allows sellers to bid on keywords and display their products in prominent search and product listing placements. You only pay when someone clicks on your ad. When done right, PPC can skyrocket your product visibility and sales.
Why Smart PPC Matters?
Running ads without a strategy is like throwing money into the wind. Smart PPC means:
- Targeting the right keywords based on search volume and relevance
- Constantly analysing and adjusting bids and placements
- Knowing when to use manual vs. automatic campaigns
- Using negative keywords to cut wasted spend
- Tracking performance at the ASIN level
What is TACoS and Why It Matters?
TACoS (Total Advertising Cost of Sale) measures the impact of advertising on your overall sales (not just ad-attributed sales). It is calculated as:
TACoS = Ad Spend / Total Revenue x 100
A lower TACoS generally indicates that your organic sales are growing and you’re not overly dependent on ads. Successful sellers focus not only on lowering ACoS (Ad-attributed) but also optimizing TACoS for long-term brand growth.
Top Strategies Bestselling Amazon Sellers Use
1. Launch with High-Intent Keywords:
When launching a product, start by bidding on long-tail, high-intent keywords that are more likely to convert. For example, instead of bidding on “protein powder,” go for “vegan chocolate protein powder.”
2. Use Auto Campaigns for Discovery, Manual for Control:
Auto campaigns help you discover which keywords convert, but manual campaigns give you more control over targeting, bidding, and ad placement. Bestsellers use both strategically.
3. Segment Campaigns by Match Type:
Keep broad, phrase, and exact match keywords in separate campaigns. This gives better control over performance tracking and bid optimization.
4. Track TACoS Weekly:
Don’t just look at ACoS. Monitor your TACoS weekly to see how ads are influencing your total sales. Use it to adjust budget allocation between branding, retargeting, and ranking campaigns.
5. Invest in Brand-Building Campaigns:
Sponsored Brand and Sponsored Display ads help build brand recognition and customer trust—both critical for increasing organic sales and reducing TACoS over time.
6. Optimize Product Listings:
Your ads will only work if your product listing is conversion-optimized. That means clear images, strong bullet points, competitive pricing, and Keyword-rich product titles.
Final Thoughts:
Amazon PPC can be a powerful profit machine—but only when paired with a strategy focused on long-term growth. Tracking TACoS gives you a true picture of how ads impact your entire business, not just the sales they directly bring in.
Want to learn how to build and scale your Amazon ads like a pro? Join the ABS Academy Mentorship Program for hands-on training and one-on-one support.
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