In Amazon bid is the most important factor to win the ad spot in search results. As of right now, many sellers are updating the bid each day frequently so it’s very important to cope up with them to keep your ads showing to gain the traffic. To solve this issue around the end of 2020 Amazon has introduced Dynamic Bidding Strategies & Placement Modifiers. Choosing the right bidding strategy is an important part of your campaign setup. When setting up a Sponsored Products campaign, you will have an option to select the type of bidding strategy and also for placements Modifications. By applying these features amazon can update your bid in real-time.
1. Types of Amazon PPC Ads Bids Placement
Bids by Placement is the ability to change your bids depending on where your ads are shown. So, this way if you like to bid more for certain placements. The bids placement will only be applied when there’s competition. If your ads are more likely to convert then amazon will increase the bid.
Amazon offer 3 types of bids placement
- Top-of-Search : To show the ads in the 1st row of search page
- Rest-of-Search : Middle, bottom, and in the second page Amazon of search page
- Product Pages : To show the ads in other seller details pages. Right now there’s no option to put the place here.
2. Amazon’s Dynamic Bidding Strategies
To win the ads placements and remain relevant in the Amazon search results, sellers should have a keen understanding of how bidding works, and the different bidding options available for them on Amazon. Bid is the primary factor that decides to win the ad spot in the amazon search page. As the current market is very competitive so winning the bid is very important to keep the traffic going. Amazon offers 3 types of Bidding Strategies to help out sellers so that they can overcome this issue.
- Dynamic Bids Down Only: Amazon will never bid more than the bid you have set. They’ll adjust the bid to drive maximum conversion based on all the factors mentioned earlier. If a click is less likely to convert, the bid is reduced by up to 100%.
- Dynamic Bids Up and Down: If a click is likely to convert, Amazon will use your set bid and will increase by up to 100% (in other words, double it) to appear top of page and will increase by up to 50% to appear on a product page. The downward adjustments applied to low-converting clicks are the same as for “Down Only.”
- Amazon Fixed Bids: Amazon will bid exactly what you are telling it to without adjusting anything. Amazon always uses your default bid.
Hopefully, you now have a better understanding about the Amazon Dynamic Bidding Strategies and Placement Modifiers. If you have any questions about any eCommerce advertising, please don’t hesitate to ask. Please let us know if you face any issue. We are always here to hear from you.
Insights!
In the dynamic world of Amazon advertising, understanding and effectively utilizing bidding strategies and placement modifiers is key to gaining a competitive edge. By leveraging the available options—whether adjusting bids by placement or choosing the right dynamic bidding strategy—sellers can optimize their campaigns for better visibility and conversion rates.
Staying informed and adaptable will not only help you win ad placements but also drive more traffic to your listings. If you have any questions about eCommerce advertising or need assistance with your Amazon PPC campaigns, feel free to reach out. We’re here to help you succeed in the ever-evolving landscape of online selling!
At Ecomclips, we’ve been helping Amazon sellers grow their sales and capture market share through a combination of PPC and organic SEO strategies. If you’re looking to boost your Amazon sales or expand your brand’s presence, feel free to reach out to us at info@ecomclips.com.
We also offer free Amazon store and account audits for both PPC and SEO. If you’d like us to review your account and provide insights on how to improve performance, just contact us via email. We’re always ready to assist with personalized solutions, tailored to help you manage your PPC campaigns and enhance your profitability. For any other questions or support, don’t hesitate to drop a comment below. We’re here to help you succeed!
