When setting up Amazon Sponsored Product Listings, you have the choice between two different kinds of campaigns: automatic campaigns and manual campaigns. Most Amazon sellers run one general automatic campaign or one general manual campaign. Running campaigns in this way usually results in very high advertising cost of sales, or ACoS, and low sales because your product campaigns are being paired with irrelevant keywords by Amazon. Because of this, it’s vital that your campaigns are structured properly to ensure they have the best chance to perform well. Running both automatic and manual campaigns simultaneously is recommended by many selling experts because each type of campaign has its own benefits and bidding strategies.
Automatic Campaigns on Amazon
Automatic campaigns are favored by Amazon sellers due to the fact that they require less maintenance and offer the ability to start it and let it run. These campaigns are attractive to sellers who are new to running Amazon Sponsored Product Listings because they help identify which keywords work well. With automatic campaigns, ads are targeted to all relevant customer search terms which are dictated by Amazon. The listing’s title, bullet points, product description, and keywords must be optimized in order for automatic campaigns to run properly. Keywords are then selected by Amazon to be ‘tested’ from these areas of your product listing. Because these keywords are selected automatically by Amazon, bidding happens at the ad group level and provides very little control.
Manual Campaigns on Amazon
Conversely, manual campaigns allow sellers a lot of control compared to automatic campaigns. In a manual campaign, you have the ability to add new keywords, select keyword match types, and adjust bids as you like. When you see that keywords start producing sales and provide a return on your ad spend, you can adjust their bids. Manual campaigns take a fair amount of time and a keen eye to maintain and continually update. However, if you can manage them properly, manual campaigns can be the most effective tool for advertising on Amazon.
You Don’t Have to Choose
The majority of Amazon sellers tend to use one type of campaign or the other, depending on their comfort level. It is typically not suggested to put all of your eggs in one basket, as the saying goes. By utilizing both types of campaigns, you’re more likely to discover keywords that converting well, and also keywords that should be marked as negative keywords because they are not performing well or are irrelevant to your product listing.
Begin with Automatic Campaigns
You’ll first want to create some automatic campaigns in order to mine for keywords that perform well for your product listings. After allowing the automatic campaigns to run for a period of time, you’ll be able to see which keywords are converting into sales, as well as keywords that should be marked as negative keywords. The amount of time you should let the campaign run depends on your budget; if you have a high budget per day, the campaign can produce a good amount of data in two weeks, whereas if you have a smaller budget you should let the campaign run for at least a month.
Switch to Manual Campaigns
Once you have a good set of keywords that perform well, you should then create manual campaigns for targeting those specific keywords. These manual campaigns should be identical to your automatic campaigns in structure, as well as naming convention. This is the best way to exploit high performing customer search terms while providing much more control over bidding.
Again, You Don’t Have to Choose
It is worth noting that after pulling keywords from an automatic campaign, you should allow it to continue running. The automatic campaigns will continue to produce more insights into keywords you can utilize to drive sales, as well as negative keywords.
To avoid confusing yourself within your Campaign Manager, use naming conventions that will make it easy for you to quickly identify what they are for and what kind of campaign they are. For example, if you are selling hairbrushes, you’d want to name your automatic campaign ‘Hairbrushes Automatic’ and your manual campaign ‘Hairbrushes Manual.’
Sellozo Automates the Entire Process
By automating this whole process, Sellozo eliminates the need to perform this whole process by automatically identifying high performing keywords and creating manual campaigns for them, as well as identifying and flagging negative keywords.