Amazon Sponsored Display Setup: Cost Control Strategy for Better Results

Hi guys. So, we already proved through Amazon Marketing Cloud that when you use all three or all four campaign types in your uh Amazon advertising account, you increase your purchase rate significantly. And I'm talking about 12 times up to 20 times. I've seen all of those cases. Um, but we have it issue. Okay, for sponsor brands, it's a little bit easier, but for sponsor display, very often you will you won't get satisfac satisfactory results. Um and that is mainly because you know it's it's so you need to test multiple targeting options and additional audiences in order to make sponsor display work. Um I will share what I suggest that you try if nothing else works and what are some of the pros and cons of this approach. So um yeah the usual part name the campaign select the the proper ad format that you like um add products to advertise for the purpose of getting more exposure for your products. I recommend uh I mean I follow the Amazon recommendations uh to add multiple products. Try to group them together. So don't add like a spoon then a speaker and then boxing gloves all together. Try to group them together. Uh because it will be more precise. You'll have more precise targeting. Now the most important part here is the optimization strategy. Uh I don't recommend under any circumstances to select reach because then you will enter the VCPMa model which is viewable um cost per mele or mile however you like to call it because it's okay as um completely skewed simply because there's this view attribution and it it's not easily measurable. Uh so let's concentrate on page visits for a second and then we'll use that for for this um example. So page visits is a cost per click uh cost type. So let's stick with that. By default, if you don't select cost control for cost per click, your sponsor display will function as up and down by default. It can go up to 300% of CPC. What you defined like you bid you're bidding $1 and it can go up to $3 per click, which you cannot control that. Okay, Amazon will increase that only if they determine that you're most likely to win a win an auction and and get a sale. But, you know, it's you lose control. I don't like when you lose control on on Amazon ads, you know, because, you know, it's all about getting best bang for your buck. Um, so yeah, I suggest that you select keep success metric um like cost per click at some desired cost per click. You can use your average cost per click from your other campaign types, exposed products, exposure brands, but okay, don't go to the and select the the highest cost per click for your top keywords, but know use something in the middle because then you will most definitely have to optimize a little bit. So increase this cost control up and down depending on the results that you have. Um, also pay attention to what you would use as a as um targeting here. you have multiple options and I suggest that I would I would start with several in in one campaign. Typically, yes, you can segment all of that like separately contextual, separate separate the the marketing in your market and and um lifestyle and all the all the others. But for this example, let's say you just want to broaden your reach for sponsored display because you want to increase the pool of people that you're reaching with sponsored display. then I would most probably add some kind of a contextual targeting with with category targeting maybe some limitation over there but um I would I would be careful not to limit it too much and not to go too too broad you know I would select category targeting maybe refine it a little bit you know in terms of um the the number of reviews or pricing or something like that and for remarketing I wouldn't go um up to 30 days I would select for remarketing only 7 days regardless is it um similar to advertise or adver advertised. I don't like purchase remarketing uh simply because it's applicable only for the CPG brands and know okay if you're the one you can use it but then it's a little bit more complicated. You need to know um your repeat purchases how often that happens your LTV your cost customer acquisition cost and whatnot. That's a big big topic that we want to skip now. And I really suggest that you add some kind of a custom audience for this account. We have like uh product viewers who saw the the product more than two times uh in 14 days. That's that's really useful. Those are really uh important um people to target. So biggest takeaway select cost control. In the past I didn't like this simply because and I don't like it that to give too much um power to the algorithm. But then again, if you don't select it, then you're still giving even more uh control to the algorithm what's going to happen and how to increase or decrease your your click. So, but this is like a CPC. Yeah, please note that you won't have the ability to select the bid at all. So, Amazon will bid with with the goal to get you your cost per click. So, that's that's important. Um, let me know how this works for you. In the past, I have mixed results depending on the type of product and type of the category. Uh so I don't know it's worth testing and you know very often we even run it as u as a campaign with a high a cost simply because it contributes to the overall purchase rate really really um a lot. Okay, let me know what you if you need anything else in the comments and I'll make sure to reply uh to each one of you. Have a good day. Bye-bye. See you tomorrow.