Amazon has now added bid management for their sponsored products within the advertising interface. It takes a page from the google ads interface, so the paid search marketers will be familiar with the automated bidding ability that’s used here.
Sponsored products are targeted both by keywords and by the products that are being promoted. They’re at the top of the results page, and then further down on the results section and the related product pages.
The fixed and dynamic bidding options allow for more options for sellers. These tools are used to allow you to set the bids, which is accessed by going to the “fixed bids” option, and advertisers can choose two different dynamic strategies for bidding.
The automated types use machine learning to determine how likely the ad click will convert and from there, will adjust the bid accordingly within real time. Amazon may adjust the bid by almost 100% in some cases, either in a positive, or a negative sense, but if you do adjust it down, you can go down only to decrease when a conversion does appear less likely to happen.
With this as well, you can also change the bidding strategy of the current campaign from the setting tab.
Now, in addition to both the manual and automatic bidding changes, Amazon is also letting advertisers choose the placement bid adjustments for the sponsored products ads for the top of the page for searching, and for product page placements. Bidding adjustments can go from 0-900 percent, and with these, they can be multiplied as needed. With a new placement report, you can see where your sponsored product ads appear within the performance metrics that are broken out, and it breaks it down by the top of the search page, product page, and the rest of search placements.
So, why does this matter for many people? Well, it’s a new lever that’s much more sophisticated and gives you new features as an advertiser. Given the momentum currently, advertisers should continue to expect the changes that are happening in order to create a more mature platform. Remember, Amazon’s top competitor is good, and with more advanced features happening, it can mean more stiffer competition amongst the advertisers on this platform as more sellers embrace what was once a clunky and very slow interface as well.
The reality of this is simple: Amazon is becoming much more competitive, and as a seller, you need to learn how this works, and the relationship between each of these. If you’re smart about this, and you know what to do, it can change the results you get from this. Lots of people do like using amazon’s selling function, and you too can benefit from this with the right options, and the correct results that you can get from this, along with the right changes to the interface that you can create not just for yourself, but for your brand and company as well within time.
