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DOUBLE Your Amazon PPC Sales With This Simple Strategy in 2020

Amazon PPC can be as difficult or as simple as you want to make it. 

 

What I commonly see when I work with clients is that they’ve been implementing too many different strategies and are now confused as to what to do next.  Their ACoS (average cost of sale) is way too high (but they aren’t sure what their ACoS should be), they don’t know what keywords to pause, or they don’t know how to expand their campaigns to scale them. If any of this feels like you, YOU ARE COMPLETELY NORMAL.   

This simple strategy will help you make more sales and increase your organic rank on Amazon, while decreasing your ad spend inside Amazon PPC. This is the step that your competition is NOT doing.  I would say less than 5% of Amazon sellers are doing this.  

So, what is it?

 

It is simply mining and then isolating the 20% of search terms in your account that are driving 80% of your results.  In this article (and video) I will be walking you through a simple strategy to help scale your campaigns and isolate these search terms.  Doing this assumes that you have been running Amazon PPC for at least 30 days and have made sales from it. 

Pareto’s Principle for Amazon PPC

Before we get started on how to do this, I want to explain Pareto’s Principle to you and then how it applies to Amazon PPC.  According to Better Explained, Pareto’s Principle states that most things in life are not distributed evenly, but rather 20% of the input creates 80% of the results:

    • 20% of your workers produce 80% of the result
    • 20% of your customers create 80% of the revenue
    • 20% of the bugs cause 80% of the crashes
    • 20% of the features cause 80% of the usage
    • And 20% of customer search terms on Amazon drive 80% of your sales!

Let’s find, isolate, and then SCALE those customer search terms!

Side bonus… you should be using these best selling search terms in your title, bullets, and in your backend search terms to further optimize your Amazon listing

What To Do With the Search Terms Driving 80% of Your Sales

I will show you how to find these search terms further down the article, but I first want to explain what to do with them.  We want to isolate these search terms into their own Amazon PPC campaign so we can better customize our strategy for increasing our sales and organic rank on Amazon, while bringing down the ad spend for this search term. 

Once we have pinpointed the 20% of the search terms that are driving 80% of your results (it is fewer words than you think), I want you to put EACH SEARCH TERM into a SEPARATE campaign.  

Worth repeating for clarification… One search term PER Amazon PPC campaign.  

Why do we want to do this? 

This will allow us to customize every single part of that campaign to that search term alone.  You can customize quite a few features of the campaign including budget, campaign bidding strategy, and adjust bids by placements.  A few quick recommendations to get started with this are an unlimited budget, because it is a highly profitable search term for you that is driving most of your sales, dynamic bids – down only bidding strategy, and adjusting top of search (first page) by 20%.  

In the example below, this is my most profitable search term and this one campaign with this one search term is driving four sales per day.  The product itself sells about 150-200 per day on average for us and we have about 40 of these single search term campaigns that are each driving one to four sales per day. We only use dynamic bids – down only bidding strategy.  You can see our top of search is 100% and our product pages are 1%. This is calculated using a formula, and you can find a whole article dedicated to this here.

How To Mine Your Amazon Search Term Report

 

1. Download the Amazon Sponsored Products Search Term Report

After logging in to Amazon Seller Central, hover over Reports and click Advertising Reports.  

Pick Sponsored Products, Search term report, and put the date range back to 60 days.  After you have selected your options, click the yellow Create Report button. Then wait for it to populate and hit download. 

2. Upload to Google Sheets

Open a new Google Sheet.  Head to File and Import.

Click Upload and then Select the excel spreadsheet that you downloaded from Amazon Seller Central.

Insert a new sheet(s) and hit Import Data.

3. Organize and Consolidate Your Report

Next we are going to delete all the columns that we will not be using.  The whole point of downloading and checking the search term report is to FIND NEW SEARCH TERMS TO SCALE.  Therefore we are going to be deleting most of the words on the search term report as well. 

The only data we need for this is:

  • Campaign Name
  • Ad Group Name
  • Targeting
  • Customer Search Term
  • Impressions
  • Clicks
  • CTR
  • CPC
  • Spend
  • Sales
  • ACoS
  • Orders
  • Conversion Rate

4. Delete All Keywords That Have Less Than 3 Orders

Now that we have deleted all the columns that are not needed, let’s get rid of the search terms that have not made more than 3 sales.  

First click the square in the upper left corner to highlight the whole sheet.  

Click Data and Sort range. 

After that, click Data has a header row, sort by orders, from Z to A.

Highlight all rows that have fewer than 3 orders, and delete them. 

5. Separate Out Each Product in a New Tab

If you only have one product, this part will be extremely easy as you are done sorting into separate tabs.  But if you have more than one product, we want each product to have its own tab so we can find what search terms we can scale for each product.  

To do this, we will now sort by campaign name. 

Once in its own tab, label that tab with the product name.  

6. Find the 20% of Your Search Terms That Drive 80% Of Your Results

Now we are going to sort by Orders again, first from highest to lowest.  As you can see the majority of our sales are coming from ONE search term, but there are a few others that I will be isolating as well.  Two additional items to note:

Almost all of these search terms are making us profitable sales, but we are only going to isolate 3 search terms into separate campaigns.  If you have the budget to go after more keywords, then go for it.  

Going after your competitor search terms (cliradex and ocusoft) will cost you a lot more and most likely lead to unprofitable sales.  WAIT to go after your competitors until you have started to dominate the search terms that will drive more profitable sales.

7. Watch Sales, Rankings, and Profits Soar

Here are the results of our eyelid wipes (if you have irritated eyelids or eyes check them out). The competition that we are going after are big name brands and pharmaceutical companies that invest a TON on Amazon, so we are trying to out maneuver them with this strategy.  As you can see, sales are increasing. 

But as you continue to mine keywords, your sales will continue to escalate past the competition.  

Aaron O'Sullivan

Dr. Travis Zigler Amazon PPC Doctor and Dry Eye Specialist (he really is an eye doctor)

Dr. Travis Zigler is a recovering optometrist turned ecommerce entrepreneur. He is the founder of Eye Love, whose mission is to heal 1,000,000 dry eye sufferers naturally. Dr. Travis and his wife, Dr. Jenna Zigler, use the profits from Eye Love to fund free clinics in Jamaica and the US through their charity, the Eye Love Cares Foundation.   

Due to the success of Eye Love, others have asked if Dr. Travis would help them grow their business online, and more specifically with Amazon, which is one of his superpowers.   Specializing in Amazon PPC, Dr. Travis blogs about Amazon PPC and selling on Amazon and also has a free Amazon PPC Masterclass, which you can check out here.

Seller.Tools is the Amazon optimization platform created by the top 1% of Amazon sellers. Leverage actual Amazon data for unmatched insights to take your business to new heights.

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