If you’re scratching your head wondering why your Amazon PPC (Pay-Per-Click) campaigns aren’t delivering the results you hoped for, you’re not alone.
Most sellers find themselves in the same situation, puzzled and frustrated by the lackluster performance of their advertising campaigns. Understanding the reasons behind your underperforming PPC campaigns is the first step toward firefighting the situation. In this article, we’ll break down the common reasons why your Amazon PPC might be stuck and give you some easy-to-follow tips to get those sales rolling in.
Situation #1: You are getting no clicks
If your ads aren’t showing up often (low impressions), it suggests potential issues with targeting, bidding, or keyword relevance. Even if your ads are appearing in searches, a low CTR (clicks divided by impressions) indicates they might not be reaching the right audience.
How to fix it?
- Blah hero image: First impression lasts. A blurry, generic, or poorly lit hero image won’t get you anywhere. Look at your competitor listings, see how professional their main image is. Then look at your listing. Does your main hero compare to their main image? If not, it’s time to revamp things. Invest in a professional Amazon product photographer, or better yet, hire product 3D rendering services to create a flawless main image that captures attention.
- Irrelevant keywords: Your ad for a cast iron skillet targets the keyword “pots and pans,” but a more specific keyword like “pre-seasoned cast iron pan” might attract more relevant clicks. If your keywords don’t accurately reflect your product and the problem it solves, your ads won’t show up for relevant searches. We recommend using a mix of broad, phrase and exact match keywords to show your product in more relevant searches.
- Wrong audience targeting: Demographics and interests matter more than you think. Targeting the wrong audience is like shouting your message into the void. Use Amazon’s targeting options to reach shoppers most likely to be interested in your product.
- Low bids or inefficient bidding strategies: Bidding determines how much you’re willing to pay for each click on your ad. Just like in an auction, higher bids increase your ad’s visibility. However, overly aggressive bidding can drain your budget quickly. Consider a bidding strategy like “Target ACoS” to maintain a specific profitability level or “Manual Bidding” for more control, but ensure you have enough data to make informed decisions.
Situation #2: You are getţing clicks and spend but no sales
A decent conversion rate (clicks turning into sales) might be overshadowed by a low overall number of clicks. It suggests your campaign might be attracting irrelevant clicks or reaching limited shoppers. A low conversion rate suggests your product listing might not be optimized, have weak product differentiation, or be landing on the wrong page after a click.
How to fix it?
- Low listing conversion rate: Shoppers are clicking on your ad, but your product listing itself isn’t retail ready. As the name suggests, retail readiness means ensuring if your product listing is fully prepared for the upcoming traffic. This involves having clear and detailed product information, eye-catching visuals, positive reviews, offering competitive pricing, maintaining stock availability, and ensuring orders are fulfilled smoothly. We suggest you hire an Amazon listing optimization expert to get this job done professionally.
- High competition, low differentiation: Most of the categories on Amazon are uber competitive and crowded. And if you happen to sell in these categories, a generic product offering will struggle to get heard and noticed. Analyze competitor listings and identify ways to differentiate your product. Do you have a unique design? Special features? Eco-friendly materials? Highlight these unique selling points (USPs) in your listing and ad copy.
- Landing on the wrong page: Make sure your ad links take shoppers directly to your product listing, not your brand homepage or other irrelevant pages. A confusing landing page experience can scare off potential buyers.
Situation #3: You are getting clicks, spend and sales but your ACOS is too high
A rising ACoS indicates your ad spend is outpacing the sales received through your campaigns. This could be due to inefficient bidding strategies or low conversion rates. If your ad spend is exceeding your revenue from ad-driven sales (ROAS), you’re losing money on your PPC campaigns.
How to fix it?
- Inefficient bidding strategies: Overly aggressive bidding can quickly drain your budget without significantly increasing sales. Analyze your bidding strategies and consider adding negative keywords to control your ACOS and maintain profitability. Also, constantly look into your keywords and adjust bids to ensure that irrelevant keywords do not take up all your budget.
- Low conversion rates: High ad spend coupled with low conversions lead to high ACoS. Implement the conversion rate improvement tips mentioned in Situation 2. Additionally, consider A/B testing different product descriptions, images, and ad copy variations to see what resonates best with your target audience.
- Unnecessary targeting expansion: While reaching a broad audience might seem appealing, it can be wasteful. If your targeting settings are too broad, you might be attracting irrelevant clicks that don’t convert. Regularly review your search term report and exclude irrelevant terms that aren’t generating sales.
Amazon PPC best practices from experts
Here are some expert tips to keep your Amazon PPC campaigns firing on all cylinders:
- Do not ignore negative keywords: While standard keyword research focuses on what people are searching for, Amazon negative keywords are to identify irrelevant searches that waste your budget. Look beyond common misspellings and explore synonyms or related searches that might not convert.
- Use Amazon Search Query report for keyword optimization: Amazon’s Search Query Reports provide a goldmine of data on the actual terms people used to find your ads. Analyze these reports to identify high-performing search queries that you might not have considered during initial keyword research. Use these relevant terms as exact match keywords to capture those valuable searches.
- Leverage competitor reviews for conversion optimization: Analyze competitor reviews and look for recurring customer pain points or compliments. Highlight how your product is better in your Sponsored Brand ads to differentiate your product and improve your conversion rate.
- Seasonality matters: Schedule your campaigns strategically. Don’t let your PPC campaigns run on autopilot year-round. Factor in seasonal trends and adjust bids or target specific keywords strategically. For example, increase bids for winter gear keywords as the weather cools, or capitalize on holidays and gift-giving occasions.
- Experiment with different campaign types: Don’t limit yourself to just Sponsored Products campaigns. Explore options like Sponsored Brands to increase brand recall and Sponsored Display to reach potential shoppers beyond search results pages.
- Stay ahead of the curve: Amazon PPC is constantly evolving. Regularly research and stay updated on the latest Amazon PPC best practices. Consider attending industry webinars, reading expert blogs, or participating in online communities to stay ahead of the curve.
By implementing these expert tips along with your regular Amazon PPC optimization routine, you can ensure your Amazon PPC campaigns are constantly evolving, reaching the right audience, and driving maximum sales for your products.
Clicks aren’t converting? We fix Amazon PPC nightmares
By understanding these common pitfalls and implementing the solutions provided, you can identify and fix the issues hindering your Amazon PPC campaigns. Remember, PPC is an ongoing process. Regularly monitor performance, make data-driven adjustments, and stay up-to-date with Amazon PPC best practices to ensure your campaigns are optimized for success.
Bonus tip: Consider seeking help from an experienced Amazon PPC agency if you need more in-depth campaign management and optimization strategies.
