Ultimate Guide to Amazon PPC bidding strategies

Amazon PPC bidding

Amazon PPC has various facets. The type of advertisement that you select to the targeted kind, there are a variety of choices to select from. It is possible to choose the Amazon PPC is like an auction where people compete for keywords.

This leads us to the importance of Amazon bidding because it must concentrate on winning and being capable of controlling its advertising spending. In the article below, we’ll try to examine the various types of Amazon bidding strategies sellers employ.

Amazon’s advertising campaign aimed at different types

In Amazon PPC, you have three types of ads: Sponsored Products, Sponsored Brands, and Sponsored Display advertisements. In each one of the types of ads, you can choose between two choices for targeting – both either manually or automatically.

Manual targeting is the process of manually creating the keywords you would like your advertisements to target. You can place bids at two levels: keywords and ads groups.

There are three distinct Amazon search terms that you can bid on: general match, phrase match, or an exact match. Manual targeting provides the advertiser with greater control over their campaigns through bid reductions and the ability to evaluate the performance of keywords to eliminate ineffective ones.

Automatic targeting is a method that doesn’t require any human involvement since Amazon manages your ads. Once you’ve created your keywords in the list and keywords, your next task is to determine your CPC bid. From there, Amazon decides which customers will display your ads.

The match types that are part of automated targeting differ from those under manual targeting. These are loose matches, close matches as well as compliments and substitutes. Automated campaigns are extremely useful in identifying new words to target your ads, however, they’re not particularly effective in growing sales and revenues.

What are the bidding strategies of Amazon?

Here are the four distinct kinds of Amazon PPC bidding strategies:

The dynamic bids (up or down):

In this kind of Amazon dynamic bidding, Amazon raises your bid by as much as 100% or reduces it by up to 100% based on the possibility of a successful conversion. In essence, depending on the likelihood that your bid is likely to bring clickings, or even clicks at all, Amazon lowers or increases the value of your bid.

The dynamic bid (down just):

For this kind of bidding, Amazon will only lower your bid price by up to 100% if the chance for conversions (clicks) is low. This kind of bidding is better to make sure that your advertising budget doesn’t become exhausted, as well as for new sellers.

Fixed bids:

Based on this method, Amazon will not change your bid based on the possibility of a conversion. No matter what default price you choose to set your bid will remain in place and you’re aware of the exact amount of your bid.

This kind of bidding is a much safer choice for making sure that your advertising budget isn’t drained. It also allows you to control the amount you spend on ads.

Rule-based bidding:

This method permits sellers to bid by pre-determined rules and requirements. The advertiser must manually specify and set the conditions that, when fulfilled, will trigger bids and changes to keywords.

This kind of bidding provides sellers with greater management over campaigns since they can choose the conditions they wish to establish.

Amazon bidding through placement techniques

Alongside the strategies for bidding mentioned above, another strategy to bid for Amazon advertising is through placement. Amazon offers three kinds of ads that can be placed at Top of the Search, Product Pages, and the Rest of the Search.

  • The Top of Search placement is the term used to describe the placement of sponsored Product ads on one of the pages of Amazon SERPs.
  • Product Pages refer to the place of advertisements on pages that detail the product.
  • The remainder of the Search is the remainder of the listings on pages of Amazon search results, which are located below at the Top of the Search.

Bids by Placement is the method whereby you can modify your bids according to where your ad is shown. By using this method, Amazon can raise your price by as much as 900% for a specific placement.

This feature of bidding allows you to define bid multipliers for Sponsored Products, which means that you can increase your bids by a certain amount to be able to compete for positions.

Sellers looking to improve the efficiency the effectiveness of their Amazon advertising strategy can modify the bids that are placed for a location that is targeted for advertising without affecting other ads. Each of the locations is unique in that they each have its advantages and disadvantages.

To see the performance of your advertisement by the placement, you need to open an ad campaign and then select the Placements tab to gain insight into the best placements to be focusing on in your ads.


Understanding the bidding methods of Amazon is essential for ensuring you are in control of your advertising budget. If you’re just beginning your journey as a seller, bidding can appear to be a daunting undertaking and you should dedicate your time to understanding the concepts and becoming familiar with the best way to approach it. Bidding mistakes can turn out to be expensive. Explore different strategies before selecting the one that is the most effective for you.

Recommended Guide: 7 Reasons Why Amazon Products Fail.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
casino siteleri canlı casino siteleri 1xbet