Amazon Prime Day 2020 is coming. We still don't know when exactly, but with Amazon starting to drop teasers with their 'Coming Soon' deals posters, it's safe to say that the Super Bowl of online retail is fast approaching.
Besides, sometime in October has been widely expected in the media for some time, and with Black Friday and Cyber Monday not too far away, Prime Day 2020 will need to be soon to avoid any big shopping-period clashes.
In this post, we're going to share 5 simple tips to help you prepare your Amazon PPC for the big day so you can get the most out of your advertising dollars and have the most successful Prime Day possible.
When it comes to PPC on Amazon, the key to a successful Prime Day can be summed up in three words: relevancy, visibility and longevity.
In other words, you want your ads to be shown to the right shoppers for as long as possible on Prime Day.
To achieve that, here's what you need to do before, during and after the big day.
If there was ever a time to take a targeted, data-focused approach to your Amazon business, it's during big sales events like Prime Day.
As the saying goes, "Revenue is vanity. Profit is sanity." To ensure you get the most bang for your buck, focus your ad budget on your best performing, highest-converting products, campaigns, ad groups and keywords.
So review your Business Reports and Search Term Reports ahead of time to identify your top performers
To take advantage of these high traffic days, make sure your product listings are as highly optimized as possible. This means checking and improving:
You want to do this for two reasons:
The average conversion rate is typically 53% higher on Prime Day. So dialling in your product listings' conversion rate is probably the easiest way to take advantage of the increase in traffic.
Make your product offering as compelling as possible by ensuring your supplemental product images, bullet points and product description and/or Enhanced Brand Content (EBC) are engaging and persuasive.
Improving how well your product listing converts will, in turn, improve how well your ads convert.
Unlike the upward trend that is typical for conversion rates, the opposite is true for Click-Through-Rates (CTR); CTRs can fall by half on Prime Day. That's because people are looking for deals.
Your CTR is an indicator of how relevant your ad is to a shopper’s search query. It's therefore important that the keywords in your product listing are on point to ensure so that your ads are shown to the right audience.
No matter how tempting, do not throw a bunch of random 'Prime Day' related keywords into your products listings. All this will do is hurt your CTR and bring down the overall performance of your campaigns.
Shoppers spent a staggering $7.16 billion worth of goods on Prime Day 2019
So with customers spending more, it's no surprise that advertisers spend more on PPC for Amazon as well.
The biggest mistake sellers make on Prime Day is running out of advertising budget early in the day. This is a massive lost opportunity.
To avoid this you should increase your budgets. Our recommendation is to increase your budgets by x2 or x3 or as much as you can afford.
By setting a budget that allows for all-day visibility rather than trying to take the top ad positions and blowing your budget in a matter of hours, you’ll be one step ahead of your competition.
To make sure you are spending your ad dollars wisely, dial down the spend on poor performing keywords (i.e. those keywords with lown conversion and click-through rates that do not drive sales) and pause untested keywords. There is a time and place for testing keywords, however, Prime Day is not one of them!
At the same time, you want to open up your budgets for your best-performing keywords and campaigns i.e. those that drive sales and have a consistent ACoS.
This way your ad budgets are laser-focused on the right buying keywords for the best results.
An added benefit of this is that as your competition drops off during the day, you’ll be able to pick up top ad positions for less.
So we suggest you consider increasing your advertising budget for that day so your Amazon PPC campaign (s) will still run to ensure you stay visible throughout the day - or as close to as possible. That way you can continue to make sales into the afternoon and evening.
You can keep an eye on your daily budget throughout the day. For more control, you can set your ‘daily account budget’ to a fixed spending limit on Prime Day.
We recommend that only those sellers with profitable campaigns, be aggressive with their bids. That is because they have the margin to support the increase in spend and drive as much traffic as possible to their listings.
There's no fast and hard rules here. You will face fierce competition on Prime Day so be as aggressive as you dare!
As difficult as this will be, try not to be too concerned with your ACoS during Prime Day.
It is not unreasonable to expect an increase in ACoS given how your budget, bids, and CTR are likely to behave. But remember that as long as PPC sales increase more than ACoS in percentage terms, you are in good shape.
To keep the momentum going, and set yourself up for a successful rest of the Fourth Quarter, keep chipping away at improving those all-important Conversion and Click-Through-Rates.
By consistently driving up your conversion and relevancy, you will drive down your Cost Per Clicks to get even more bang for your buck.
Prime Day is the ultimate time to get laser-focused and 80/20 your Amazon PPC. For the biggest wins be aggressive with your budgets for your top performers in terms of products, campaigns, ad groups and keywords. Just remember. Be relevant and be visible for as long as possible.
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