ACoS also known as Advertising Costs of Sale, is the method used by vendors and sellers to calculate how much they’re earning from their advertising spend.
ACoS is only available on Amazon but it’s just beginning to gain traction across various PPC platforms.
Why Is Amazon ACoS Important?
ACoS is an essential measure of the performance in the Amazon business.
It is essential to know what each sale costs and if you don’t know, you won’t be certain that you’re maintaining your profitability or, at the very least, making a profit at the start.
It is important to know that when you first start using Amazon PPC ads, your ACoS is likely to be higher than your goal.
It can take time to create an effective plan of action, but when you follow the tips further in this article and you’ll be ready within a matter of minutes.
Once you’ve figured out what’s Amazon ACoS and how to establish a goal that you want to hit, you must be aware of what you can do and what you will need to keep track of, to reach your target.
Let’s take a look at 10 ways to optimize your ACoS.
Utilize Exact Match Keywords
Exact match keywords enable you to pinpoint the exact audience that is who is most likely to purchase your product.
If you are using broad search terms, or even phrases that match search terms, you may make too broad a web that could expose your product to more results in search results. However, it could also cause more the amount of competition.
Utilize Exact Match Keywords
Keywords that precisely match allow you to pinpoint the exact audience who is most likely to purchase your product.
If you are using broad search terms, or even phrase match search terms you could make too broad a search that will display your item in more results in search results. However, it could also cause more the amount of competition.
Utilize Negative Keywords
Negative keywords rarely get the recognition they deserve.
However, they can assist you in improving your ACoS by helping you refine the budget you are using.
Negative keywords help you avoid spending your advertising investing in keywords that you know won’t be effective for your business.
Be aware that negative keywords must be a perfect match or phrase match.
A few negative words you can create by yourself.
Another method to discover excellent Negative Keywords is to go through your ads and look for
- Low CTR non-converters
- High-spend non-converters
- High-Click non-converters that are not converted
It is possible to alter your negative keywords, so if you’re not sure about one, you could try it out and then add to your negative term later.
Another important reason to include negative keywords to boost your ACoS is the possibility of keyword cannibalization.
Be Proactive With Bid Management
Set it and forget bid management approach isn’t doing anything to your ACoS.
It’s crucial to stay up to date with your budgets and bids to effectively keep track of your budget.
You’ll want to concentrate on the number of sales, and then decide on a budget based on the effective things.
Utilize Amazon PPC Tools
There is a myriad of Amazon PPC tools on the market that can help you reach your target ACoS. However, SellerApp offers the best Amazon PPC automation tool. You can use it for no cost. This all-in-one Amazon PPC tool is a great service that provides outstanding assistance and an easy experience.
Optimize Your Product Titles
The title of the product is the only version that Amazon buyers need to read about your product before making a click-through.
The titles of your products are limited to 200 characters. You will not be able to squeeze every keyword you can think of the space, and you shouldn’t wish to.
Make sure to include keywords that are relevant to your business at the beginning of your listing’s name. make sure to include your top keywords that are long-tail, 5-7 words at the top of the title.
Optimize Your Product Listings
You’ve optimized your product’s title and customers are clicking however, what’s next?
Now, you must focus on bullet points as well as product descriptions and pictures.
Bullets
The most widely read copy after your title is the bullet point section.
Your bullet point’s first sentence needs to be your most compelling selling point so that your prospective buyer wants to keep going back to your site.
You’ll want your bullets simple to read and focus on benefits.
Description
The description of your product is the text block that is displayed beneath the images as well as bullets.
When you are writing your description, make sure you include your keywords however, you must include them in short, cohesive sentences that are easy for your customers to comprehend.
Your description should answer any questions that bullets can’t provide for the reader.
Images
When we’re discussing improving the design of product pages it is not possible to overlook images of products.
Images must be of high resolution and appear attractive when users utilize their zoom features.
Amazon requires that your images be 1600 pixels at a maximum on the largest and 500 pixels for the smaller side.
The primary image of your product must be on a white background and should only showcase your product. No props or any text.
However, the additional images you add to your product’s page should emphasize your product in a variety of ways.
Increase Your Click-Through Rate (CTR)
A higher rate of click-through can aid in improving your ACoS If your conversion rate increases with it.
If you’re trying to improve your click-through rate, you should be watching the conversion rate of your website to make sure that your efforts don’t harm the sales of your business.
Optimize Your Cost Per Click (CPC)
It is important to know the fact that CPC cannot be the same as your bidding.
Certain ads, such as at the top of results from a search, can yield higher conversion rates. Although these placements may need higher bids, however, they can reduce ACoS due to the sales they generate.
To reduce the cost per click, you’ll need to Test keywords, Test placements, Test bids
Amazon PPC ads are like every other type of marketing, but to achieve the best results, you’ll have to measure and test your efforts.
As previously mentioned it is recommended to create campaigns around keywords that exactly match and performs well. You’ll be able to use negative keywords to prevent unnecessary expenditure.
Improve Your Conversion Rate (CVR)
Your click-through rate is dependent on how your item is displayed in the search results the conversion rate of your product is determined by your product’s description page.
We’ve talked about how to optimize your title, bullet points, description, and your photos, now let’s discuss the other components of your page’s content that play a significant part in the conversion rate of your page.
- Questions and Answers
- Reviews
- A+ Content
It is important to respond quickly to any questions on your product’s page. This increases the trust of customers in your product and brand to know that your company is committed to helping potential buyers.
A good customer experience creates positive feedback.
Choose The Right Time To Advertise
Saving your ad expenditure for specific timespans could aid in improving your ACoS.
It is important to experiment with different days and times however, before you start you should think about the behavior of your targeted viewers.
Recommended guide: How to sell online in 2022.