- Brandon Checketts
- On March 28, 2017
- 27 Comments
- amazon ppc optimization, amazon sponsored products, sponsored products
Amazon Sponsored Products campaign organization is often an overlooked topic. Most Amazon sellers tend to focus on keywords, average CPC and ACoS percentages. Because that is where the majority of time is spent optimizing campaigns. It’s easy to get started on Sponsored Products without any experience. We see many sellers create tangled messes of their campaigns without much thought for the organization. Spending time upfront thinking about campaign organization will pay dividends months down the road.
We’ve combined our conversations with industry experts, our knowledge of Amazon’s technology, and observations from thousands of campaigns to bring you this guide on how to organize your Sponsored Products Campaigns. Let’s get started.
Group Similar Products Together
The first thing to consider before you get started is how you plan to group your products for creating campaigns. This is an area of some debate because Amazon’s documentation and recommendation say to create separate campaigns for each brand and category. However, that strategy is necessary for large resellers with tens of thousands of products.
Create one set of campaigns per parent ASIN
If you have a product with variations, each one should be grouped together for every campaign. Amazon’s algorithm will test each of your variations to determine which one works best for each keyword. After a few weeks, you’ll see that a few of the variations receive the vast majority of impressions and clicks.
If you sell in apparel, shoes, or have similar products at similar price points, chances are you’ll be sharing a lot of the same keywords and advertising goals. If this is the case, you should consider grouping them into shared campaigns.
If you sell apple slicers and water bottles, we suggest treating these as separate groups of products. If your apple slicer comes in six different colors, all six colors would be advertised together.
If you sell clothing, you might have 20 different styles of men’s short sleeved T-shirts. Each style might have 5 sizes and 10 color variations. All 1,000 of those individual SKUs could be treated as one group and advertised together. If you also sell long-sleeved men’s shirts, all of your long-sleeved men’s shirts might be another product grouping.
Multiple campaigns per product grouping
Once you’ve decided how to group your products together, we suggest starting with two campaigns for each product grouping. Come up with a meaningful short name like “Water Bottles” or “Men’s T-Shirts” for the group of products. You’ll be using these names for a long time, so don’t use dates or employee’s names in them (i.e. “Brandon’s campaign” or “Water Bottles March 8th”).
Next, create an automatic-targeted campaign named “Water Bottles AUTO”. Put a small daily budget of around $5 for this campaign. Inside that campaign create an ad group with a $0.25 default bid. The “Default Ad Group” name is fine in the automatic-targeted campaign. Inside that ad group, enter all of your products for this grouping.
Now, you’ll need to create a manual-targeted campaign named “Water Bottles MANUAL”. We suggest a daily budget of $20.00 to start accumulating clicks and history. Inside this campaign, create three ad groups. Create an ad group named “Broad Match” with a $1.00 default bid. The second ad group should be named “Phrase Match” with a $1.25 default bid. And the final ad group should be named “Exact Match with a $1.50 default bid. Inside each of those three ad groups, select the products related to this grouping.
This should give you the basic setup for gettings started with Sponsored Products. The automatic-targeting campaigns will find new keyword opportunities at a low cost-per-click. The manual targeting campaign is set up for you to start learning about how each keyword performs. This gives your ads the structure to bid more specifically on terms where you have more history and confidence.
Next, you’ll want to add appropriate keywords to the manual-targeted campaign. A tool like Scope will help you identify relevant keywords to begin with. There are several schools of thought on how to select keywords, but to keep things simple at first, we suggest using suggestions from Scope that don’t overlap.
For example, start a broad match ad group for “water bottle”, but don’t use the keyword “aluminum water bottle”. Because the search phrase “aluminum water bottle” will be contained within the broad match keyword “water bottle”. Let the campaign gather data for future optimizations. This will help to determine if you should create a separate keyword for “aluminum water bottle”.
The two basic campaigns mentioned above should work fine for most users. We mentioned a few of these advanced tactics so that you can see how others might use them. For advanced users, we don’t recommend starting with a novice approach.
Advanced users should create additional campaigns for different purposes. The manual campaign mentioned above becomes a “learning” campaign, and as you gain history from that campaign, you would start to move your keywords into new campaigns with more specific goals.
A common tactic is to create a manual targeted “winners” campaign that contains keywords you’ve identified that perform well and have a low ACOS. You’d set a high daily budget for this campaign so you don’t ever lose out on clicks because of your budget running out.
Another common manual-targeted campaign type is for your branded terms. When users are searching for your brand name, you’d expect to convert well and have a low ACOS. By putting a small bid on these highly converting terms, it often helps to prevent competitors from bidding on them and taking your sales.
Beyond those, advanced users might want to create a campaign for a competitor’s keywords. Expect your ACOS on this campaign to be high. Set a daily budget that allows you to pick up some sales without breaking the bank.
A well-organized campaign structure will make finding and optimizing ads easier. Keep in mind that your campaign structure evolves over time. You will discover what is working within a couple of weeks of beginning. An organized campaign structure will enable you to pull your ad levers on or off easily.
Keep your campaign structure simple and consistent across all of your ASINs. The one product per campaign strategy is going to be your simplest and most effective method of organization.
Need a tool that makes this all easier? Ignite automatically sets up campaigns in this structure and makes optimization easy.