What We Learned Auditing $20m+ of Amazon Advertising

This video uncovers valuable insights into the challenges, best practices, and essential takeaways to managing and optimizing Amazon accounts. Whether you're a seller, marketer, or business owner seeking to enhance your presence and performance on the Amazon platform, this video offers practical knowledge and recommendations based on real-world audits, empowering you to make informed decisions and drive success on Amazon.

If you’d like a free advertising audit to uncover the specific areas you can improve to increase your sales & profits on Amazon — click here to start the process.

THE 10 TAKEAWAYS:

1) Subscribe & Savers  — Not focused enough on gaining many subscribers before markets get saturated. People don’t change consumables, e.g., coffee, often. Getting the subscriber now is cheaper than later when clicks can go from $5 to $10 to $20.

🚀 #Winning Solution: Be aggressive in phases to see significant jumps in S&S. 

2) Full Advertising Expansion SDA  — Amazon has invested heavily in this ad type in the past 12-18 months. However, many of you are not running these ads. We see super low ACoS of 5-15% for this ad type, with $10,000+ in sales in some accounts. We urge you to launch SDA offensive targeting with an audience specific to your niche.

🚀 #Winning Solution: Launch SDA Audience 

3) Over Aggressive Advertising  — You are likely overspending if you run ads for 3 or more SKUs into the same set of keywords. In some cases, we’ve reduced TACoS’ by over 10% by reducing the number of SKUs advertised from 3 to 2. Ensure you have the other SKU in a comparison chart to maintain the cross-sells.

🚀 #Winning solution: Reduce the number of Advertised SKUs 

4) Competitors Taking Your Lunch  — Many accounts we look at do not have defensive targeting set up on their listings across SP and SDA. We’ve seen 9/10 accounts do not have SDA TdR setup, and a competitor is taking the placement right below the buybox. After working so hard to get the customer to your page, why let them click off at the last second?

🚀 #Winning Solution: SP or SDA Tier Defensive [TdR]

5) Content SEO Juice  — 8/10 accounts had not optimized their title & copy properly with their leading terms, likely due to ‘setting and forgetting.’ Having looked through search terms reports, we could see opportunities for updates in the title, bullets, and description.

🚀 #Winning Solution: Re-optimize content from your highest-selling terms.

6) Conversion Rate Bliss  — We look at products' conversion rates for their top terms when auditing. We ignore the overall conversion rate as we don’t care what the conversation rate is for irrelevant terms. Generally, it’s rare to see accounts do well with 5% or less conversion. It happens, however, in certain niches. Most successful accounts are working with 6% or more.

🚀  #Winning Solution: Improve CVR for the 20% of terms, driving 80% of sales. 

7) Brand Store Development  — The team saw many brands without a store, or, without a properly developed store. This is a mistake. The store is the only place competitors cannot advertise, the last place of real estate you own exclusively — no squatters. Building a high-converting store is hugely important, so do it today.

🚀 #Winning Solution: Build Your Store Today and Run Traffic for higher CVR% 

8) Full Advertising Expansion SB  — People are not effectively utilizing Sponsored Brands to launch headline search & work on the copy and images, specifically. 

We’ve worked with accounts where 70-80% of their ad sales come from SB (not SP). One account made $2m in revenue in December alone. SB can be a game-changer for those with strong brands focused on one wide niche.

🚀  #Winning Solution: Launch & Iterate Sponsored Brands Headline, Sponsored Brands Video 

9) Top-of-Funnel Advertising  — Amazon’s SDA allows you to target off Amazon and on Amazon. Building brand awareness is vital in competitive markets, especially for S&S with high lifetime value. Getting that first touch point with the customer is a big win, as your customers need multiple touch points with your product/brand before they make a purchase.

🚀  #Winning Solution: Launch Views Remarketing Similar Product or SDA Purchases Remarketing 

10) Product Maturity & Ads Development  — Many products have outgrown their primitive structure. If you have been selling the same product for more than 12 months+ and still have the same ad structure you set out as — you’re leaving money on the table. 

In finance, building an investment portfolio, you allocate a majority of capital to sure bets, which is 70-80 %, depending on the investor's risk profile. In Amazon advertising, I see many people still running more than 50% of their traffic through non-focused Phrase, Broad, Category, and Auto Campaigns. 

This approach is just lazy. If you lack time, it makes sense. However, know there is another level up from this in advertising evolution — with increased profits, sales, and organic rank. 60%+ of your advertising spend should be going to exact match across SP, SB, and SDA.

🚀  #Winning Solution: Implement a Tiered System

If you’d like a free advertising audit to uncover the specific areas you can improve to increase your sales & profits on Amazon — click here to start the process.

- Daniel, Shane, & The Team at Into Profits