Top 6 Mistakes to Avoid With Amazon Sponsored Products

Are you looking for effective ways to market your products on Amazon?

There are over 30.2 million businesses in the US today. For the economy, this is a good thing as it ensures goods and products keep getting exchanged between people. This ensures the circulation of money all over the country.

For business owners, it means there’s a lot of competition. To get ahead of the competition, you should start considering ways for you to reach a broader audience.

This is where Amazon sponsored products come into the scene. This allows business owners to get their products a lot of exposure to Amazon users. However, some experience getting lower returns on their investment to the platform.

This is often because they commit certain mistakes which hinder their growth. Read on to learn about the mistakes you should avoid.

1. Relying on Automated Campaigns Too Much

Amazon sponsored products have an automated system which bots on Amazon use to tell who will get to see these products. The automated tool harvests keywords for you while you’re away or offline. They then match these keywords to where they’re most relevant and display the ads there.

This tool is great by itself but it limits the control you have over your ad campaign. This means you won’t be able to bid on keywords which may see a significant increase in searches in the future. This can cost you a lot of potential sales and you lose the ability to predict for your business’s future.

Instead of falling for one of the biggest automation mistakes on Amazon, consider limiting the use of the automated tool. It’s best to only use them to look for strong keywords. You can then use the keywords in your manual campaign instead.

2. Poor Selection and Use of Keywords

The optimized use of keywords is essential for the success of your Amazon ad campaign. Before you can use them though, you should first learn how to select the best ones for your business.

You should bid on keywords which can become relevant to your products. Don’t choose keywords based on the number of searches they’re likely to produce. Even if the keyword you get is a popular one, if it has nothing to do with your product, you won’t get the results you desire.

This can also turn your products into clickbait items on Amazon. In this case, people will click on your sponsored product because it appeared while they’re on a page with products they’re interested in. However, they may see they’re not interested in your product at all.

This will hurt your conversion rate as it registers as a success on Amazon’s end, charging you for the click.

3. Making Decisions Whilst Ignoring Data

One of the most common mistakes made by Amazon FBA sellers is deciding based on what their gut tells them. It’s tempting to do so as you tend to believe what you feel is the correct decision to make. For the most part, though, these decisions tend to hurt your business in the end.

You should let data do the thinking and make decisions based on them. Data trackers are your best friend in this case as they provide you with all the data you’ll need.

Keyword tools like Ask.Zon.Tools will allow you to know what terms customers look for before you start bidding on them. This way, you’ll have an idea on what terms you should hunt for to succeed in your ad campaign.

Other data trackers will allow you to know the data of users visiting your page. Stats like their age appear in these trackers. This allows you to mold your ad campaign to suit the demographic better.

4. Poor Understanding of the Advertising Cost of Sale

The advertising cost of sale or ACoS is one of the terms which make the Amazon advertising business complicated. To make things simple, ACoS is the metric used to measure the performance of sponsored products on Amazon. It’s what determines the profit you make for every click you get from sponsored products.

Often, people mistake that setting their ACoS high means they get high sales as well as profits. The truth is that you can only get one of both. You can either set your costs to be lower to make a profit on each sale or set them high to ensure Amazon prioritizes your products.

A good way to do this at first is to prioritize sales first. This allows you to establish a brand and set you up for the future. It’s at that time when you can consider prioritizing making profits instead.

5. Lazy Campaign Management

Ad campaigns on Amazon tend to take a while before they produce results. You need to keep a vigilant watch on it to see if the results are going the way you want it or not. A mistake people make is leaving their ad campaigns alone and expecting it to bear good results.

A lot of things can go wrong while you’re not watching over your campaign. For example, the keyword you bid on may have gone bad and started hurting your search results. You could have avoided it by changing it as soon as it started to go bad.

6. Cutting Your Ad Campaign Short

Another mistake people make is being impatient with their campaigns. As mentioned above, it takes time for campaigns to bear results. Some end up cutting their campaigns once they see negative results turn up.

Only time could tell if bad results could turn into positive ones. It’s best to be patient and keep a vigilant watch on your campaign. It may turn to your favor soon enough.

Avoid These Amazon Sponsored Products Mistakes

Amazon sponsored products are a pricey investment and it’s best to ensure they succeed. Avoid these common mistakes

Still having problems managing your products Sponsored campaings? Check out this guide about Amazon sponsored product hacks now! Use these hacks to perfect your campaign today!

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Also published on Medium.