Advanced Amazon PPC Strategies for Low ACoS Sales (2025)

Summary

This video shares advanced Amazon PPC strategies to optimize sales and profits, focusing on techniques like dayparting, lifetime ACoS, and step campaigns. It covers how to adjust ad bids based on the time of day, analyze repeat purchase behavior for long-term profitability, and set up self-targeted product ads for efficient retargeting. The speaker also offers a detailed guide with video walkthroughs for various campaign setups, providing insights into how to make campaigns more cost-effective while growing brand visibility and sales. These tactics are aimed at driving both immediate and sustained sales growth on Amazon.

Takeaways

• 😀 Dayparting helps optimize ad spend by adjusting bids based on the time of day or week, leading to more efficient sales.
• 😀 By analyzing data by hour and day, you can identify patterns in click-through rates (CTR) and conversion rates (CVR), and tailor your bids accordingly.
• 😀 Use Amazon Ads Manager's reporting tools to generate detailed reports and analyze hourly data for more precise dayparting decisions.
• 😀 Lifetime Cost (Lay Cost) is a crucial metric for consumables brands, as it focuses on repeat purchases and long-term profitability, rather than just the first sale's ACoS.
• 😀 To calculate Lay Cost, use brand analytics to determine repeat purchase behavior and average units per customer, then divide ACoS by this number.
• 😀 In the early stages of a product launch, ACoS may be high, but as repeat purchases increase, Lay Cost decreases, leading to better long-term economics.
• 😀 Step campaigns are an effective retargeting strategy that targets the same product being advertised, often yielding low ACoS and lean sales.
• 😀 Step campaigns can be set up by targeting individual products with exact match targeting, enabling Amazon to retarget visitors almost immediately after they leave your listing.
• 😀 For optimal results, consider using dynamic bidding and top-of-search placement in Step campaigns to increase visibility and conversions.
• 😀 A campaign cheat sheet, complete with step-by-step instructions and video walkthroughs, is available for setting up the best performing Amazon ads campaigns.
• 😀 Consistently monitor ACoS, sales, and repeat purchase behavior to adjust campaigns over time, ensuring long-term profitability and sustainable growth.

Q & A

What is dayparting and why is it important for Amazon ads?

Dayparting involves adjusting your ad bids based on specific times of day or days of the week to optimize performance. It helps allocate ad spend more effectively, focusing on times when your conversion rates are higher, ultimately improving ad efficiency and sales.

How do you collect hourly data for Amazon ads?

To collect hourly data, log into Amazon Ads Manager, go to 'Measurements and Reporting', click on 'Sponsored Ad Reports', then create a 'Sponsored Products Campaign Report'. Choose the 'Hourly' time limit and select 'Last 14 Days', and then run the report. Upload the data into Google Sheets to analyze it by hour.

What is lifetime ACoS (Lay Cost), and why is it crucial for consumables brands?

Lifetime ACoS (Lay Cost) tracks the total ad cost over a customer's lifetime, factoring in repeat purchases. It's crucial for consumables brands because it reflects the profitability of repeat customers over time, showing that the initial high ad costs often balance out with future purchases.

How do you calculate Lifetime ACoS (Lay Cost)?

To calculate Lifetime ACoS, first determine the average units a customer buys over the course of a year. Then, divide the total ACoS for all campaigns by the average units per customer. This provides insight into the true cost of acquiring a customer over time, accounting for repeat purchases.

What does 'repeat purchase behavior' in Amazon Brand Analytics tell you?

Repeat purchase behavior in Amazon Brand Analytics reveals the percentage of total units sold that come from repeat customers. This data helps you understand customer retention and how often people return to purchase your product, which is essential for calculating Lifetime ACoS and overall profitability.

What is a step campaign, and how does it work?

A step campaign targets the exact ASIN of the product you're advertising, essentially creating an instant retargeting effect. After a user visits your product listing, they can see your ad right after leaving, increasing the chances of a conversion. This strategy produces low ACoS but low-volume, highly efficient sales.

How do you set up a step campaign on Amazon Ads?

To set up a step campaign, select your product in Amazon Ads, then go to manual targeting. Paste the ASIN of your product into the 'Individual Products' section under 'Exact' match targeting. You can set dynamic bids and adjust top-of-search bid modifiers to optimize performance.

What kind of results can you expect from a step campaign?

Step campaigns typically yield low-volume, high-efficiency sales with a low ACoS. They are especially useful for highly targeted retargeting, offering immediate exposure to customers who have already interacted with your listing.

What is the key difference between ACoS and Lifetime ACoS in terms of campaign performance?

ACoS measures the cost of acquiring a sale through ads for the first purchase, while Lifetime ACoS takes into account the repeat purchases made by customers. Lifetime ACoS provides a more accurate reflection of a campaign's long-term profitability, especially for consumables and products with high repeat purchase rates.

How can the resource provided in the video help advertisers optimize their Amazon ad campaigns?

The resource includes step-by-step guides for setting up various types of Amazon ad campaigns, with specific configurations for performance, brand defense, research, and ranking. It also provides video walkthroughs to help users understand how to optimize campaigns for better results.