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Why Is Amazon PPC Important?

Every business owner understands the importance of effective marketing (the equivalent to Amazon PPC). Retail brands use it to enhance brand value, generate leads, and drive up revenue.

When it comes to Amazon selling, you must compete with hundreds of other Amazon sellers for the same audiences. Therefore, advertising is what separates the successful ones from the others.

To drive traffic to your listings and sell on Amazon, you must use Amazon PPC to increase the visibility of your eCommerce company.

What Is Amazon PPC?

What is the Best Way to Market your Products?

The 3 Ad Types for PPC on Amazon

What Does Sponsored Mean on Amazon?

Amazon PPC Terminology

Amazon PPC Terminology

Manage Amazon PPC and Get the Most Out of your Campaigns

What Is Amazon PPC?

We define PPC for Amazon as a model of advertising where Amazon runs advertisements on its site for various sellers. Those advertisers pay a fee to Amazon for every shopper that clicks on their ads.

The cost of these Amazon ads varies wildly depending on product category and how competitive the market is. However, it generally ranges from 2 cents to 3 dollars per advertisement.

What does PPC stand for?

The Amazon PPC meaning is an acronym for Amazon Pay Per Click for advertising and is also known as Sponsored Products. A good Amazon PPC Campaign structure will help to boost sales, maximize conversions and improve your Amazon ranking.

PPC meaning is Amazon Pay Per Click - RevenueWize

What is the Best Way to Market your Products?

On top of making it easier for shoppers to find the items they want, PPC will trigger your ads and enable new products without prior sales history to perform well by driving traffic to the listings and maximize clicks. If you’re selling an existing product under your own brand name, such as with Amazon Private Label, a good PPC strategy can help you hit the ground running.

Also, the money you spend on PPC ads helps your company rank better in other search engines results page as well, such as Google AdWords.

The 3 Ad Types for PPC on Amazon

The 3 Ad Types for PPC on Amazon for your PPC strategy - RevenueWize

There are multiple ways Amazon runs advertisements from third-party sellers on its site. You might have seen some while browsing the storefront before.

Regardless of what match types your company chooses, understanding how these sponsored ads on Amazon work is key to getting the most out of your campaigns.

What Does Sponsored Mean on Amazon?

Amazon sellers wanting to efficiently boost their sales would find Amazon sponsored ads to be a powerful PPC tool allowing them to control their ad spend.

Benefits of Sponsored Product Ads

Boost product visibility

Make your products easier to be discovered. Display ads in relevant searches, product detail pages and even at the top of the page.

Special products

Promote time-sensitive or seasonal products.

Clear old stock

Boost visibility and move your old stock.

New products

Get shoppers aware and interested in your new products.

Show on any device

Show your sponsored products on any device – desktop and mobile.

Control your Ad spend

The Pay for Each Click method ensures that you only pay for Amazon Ads that are actually clicked on.

Benefits of Sponsored Products - RevenueWize

Amazon PPC Terminology

Some of the specialized terms businesses in this sector use are:

Amazon Targeting

You want to aim your keyword targeting and Amazon display ads based on specific keywords, product codes, and categories to reach the clients most likely to buy from you.

Amazon Search terms

What does a shopper type into the Amazon search bar while looking for products like yours?


Keywords are what the seller bids on during PPC advertising campaigns. These differ from search terms in that one keyword can appeal to many different search queries.

Negative keywords

Occasionally, you want to exclude certain terms so that you can find the audience you want. Using a negative keyword list is also a way to lower the costs of advertising.

Dynamic Bidding Strategy

As an advertiser, you can either fix bids or use dynamic bidding so that Amazon handles adjustments for you.

Familiarize yourself with these terms to make navigating the complex world of PPC for Amazon easier.

How To Measure PPC Success

It’s possible to lose money on your advertising efforts if you aren’t tracking campaign performance accurately, so what can you do?

One vital metric to monitor is Amazon ACoS (Advertising Cost of Sale). In a nutshell, it involves your current profit margin alongside what you spend on the ad campaign.

Manage Amazon PPC and Get the Most Out of your Campaigns

The most successful Amazon sellers employ some of the following strategies:

An Amazon keywords selection

Keywords determine the visibility of your product listing on Amazon search. The ideal keyword research would be by checking what other sellers in your category use.

Amazon Reviews from your Customers

Encourage your buyers to leave Amazon reviews, which helps with search ranking immensely. Respond to client concerns and feedback promptly to raise your ratings.

PPC Management

Take advantage of third-party PPC Management services and tools to gain a competitive edge. RevenueWize, for instance, helps you maximize the return on your advertising investment with an easy-to-use promotion optimization engine.

By removing badly-performing keywords from your campaigns, you can increase your profit margins more rapidly.

So, to summarize why Amazon PPC is so important

If you want to:

  • Boost product visibility
  • Promote time-sensitive or seasonal products
  • Clear old stock
  • Launch new products
  • Show on any device
  • Control your Ad spend

Then you need PPC = Pay Per Click = Sponsored Products
Using ad types:

  • Amazon Sponsored Products
  • Amazon Sponsored Brands
  • Amazon Display Ads

With a third-party Amazon PPC Manager tool such as RevenueWize

Amazon PPC Optimization made easy