How To Use Search Term Reports on Amazon To Improve Your PPCJul 14, 2020
Understanding which terms customers are using to search and find your products on Amazon is critical for the success of your Sponsored Product campaigns — which is why it’s important to regularly download and use the Search Term Reports on Amazon.
In this post, we’ll explain why Search Term Reports are important, how to download them, and our top 3 reasons for using them to improve your Amazon PPC campaigns.
What is a Search Term Report?
Amazon Search Terms report shows brand owners exactly how customers are finding their products on Amazon.
Located in Seller Central, search term reports display raw keyword data - all the search terms entered by shoppers that resulted in a click - from the last 60 days.
This report includes:
- Keyword targeting
- Keyword Match Type
- Customer search term used
- Sales and conversion rate for that term during a specified period
This information will help you identify which search terms are driving traffic to your product page so you can optimize your campaigns and product pages for maximum profitability.
Defining Search Terms
Before we go any further, a quick word on the difference between search terms and keywords.
A search term is a string of keywords that a shopper types into the Amazon search bar to find a product.
A keyword is a word used to define a Sponsored Products ad. You define the keywords you want to show for in your manual campaigns based on match type (exact, phrase or broad).
Depending on your keyword match type, Amazon will match search terms with keywords to display the most relevant products and ads. For example, take 'red silicone spatula:
Broad match: spatula, spatula red
Phrase match: silicone spatula, red silicone
Exact match: red silicone spatula, red silicon spatula
How To Download Amazon Search Term Reports On Amazon
You can generate and download an Amazon Search Term report from the Seller Central homepage.
- Select Reports in the top navigation bar and click Advertising Reports from the dropdown menu.
- Select campaign type (we recommend starting with Sponsored Products), and click Search Term from the dropdown menu.
- Click Daily for the time unit then choose the required time period (longer than 7 days is optimal)
- Click Create Report, and you’ll be able to download the report as an Excel file.
Because search term reports on Amazon only go back as far as 60 days (your data disappears after that!) make it a priority to download and save your data from Seller Central every month.
Using project management software, such as Monday, is a great way to stay on top of your tasks.
Why You Should Use Search Term Reports on Amazon
The goal of using the search term report is to obtain enough data to make informed keyword decisions to improve the performance of your campaigns. Here are our top three reasons why you should be using your search term reports:
1. Increase Sales
Filter your search term report by order number - the total number of converted orders per search term per SKU - to identify the search terms that convert the best.
You want to prioritize your ad spend on these high-performers so you can maximize PPC sales across your money-making keywords.
This will improve the relevancy of your ads and drive up your PPC conversion rate. The main benefit here is that you'll be able to generate more sales for the same ad spend.
Here’s an example to illustrate. Let’s say your PPC campaigns convert at 10%. With a $30 product, an average Cost per Click (CPC) of $1 and an ad spend of $1000, you will generate $3000 in ad sales.
Now let's say you double that conversion to 20% through improved keyword targeting. The same $1000 in ad spend now generates $6000 in sales - that’s double the sales for the same spend!
When you drive highly relevant traffic through paid ads, you'll drive sales velocity, improve conversion and increase organic ranking and sales. More on that next.
2. Increase Conversion
You can use the same search terms to regularly update and optimise your product listings.
Ensuring your top-performing keywords are in your product listing will improve the relevancy and conversion of your product listings which will increase sales, and in turn improve organic ranking.
Improving how well your listings convert has the added benefit of improving how well your ads convert i.e. your PPC conversion rate.
Amazon likes to be sure that the ads being shown on their site are relevant for the customer. As such, Amazon favours the ad with the highest historic conversion rate for any given keyword because it knows it is highly relevant and has a greater likelihood of converting into a sale.
So you want to make sure you are indexed for all the keyword phrases that you are planning to run ads for by strategically peppering them throughout your listing.
3. Eliminate Wasted Ad Spend
Now filter your search term report for the keywords with the highest total ad spend. Are there any irrelevant terms that do not relate to your product but are depleting your ad budget?
If so, you want to add those terms as a single negative phrase match. Negative keywords reduce wasteful ad spend and allow you to re-focus those savings to what is working to improve relevancy which in turn improves overall campaign performance.
Relevancy is key on Amazon; using negative phrase match keywords helps to keep your campaigns laser-focused.
When you increase PPC sales, improve how well your ads convert and reduce wasted ad spend, you'll also reduce your Advertising Cost of Sales (ACoS); how much you spend on ads to gain a dollar from attributed sales.
Search Term Reports on Amazon are your best friend when it comes to managing your PPC campaigns and helping you make informed decisions quickly and easily.
You can use this data to test and optimize your keywords to enhance relevance and discoverability of your products on Amazon - both paid and organic - while keeping your ACoS goals in mind.
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