Product is good, how to stand out in the crowded market by leveraging CPC advertising

How to use CPC advertising to differentiate a good product in a crowded market





“Real gold fears no fire, and good wine needs no bush.”

In today’s increasingly competitive market, even the best product may fail if it lacks effective advertising. Without proper promotion, it may get lost in the maze of the market.

The market is constantly changing, and good products alone are not enough to succeed. We need advertising to stand out in the complex and ever-changing market.

Successful advertising can attract a large amount of accurate traffic and potential customers, and stimulate a large number of orders.


Indicators affecting advertising performance


Product relevance

Before launching an ad, we need to have a well-optimized Listing to ensure the relevance of the ad to the Listing.

1. Title, five points, and description to complete the keyword deployment;

2. Verify the Listing by searching for “keyword + Asin” on the front end;

3. Fill in the back-end key fields correctly and in accordance with the algorithm.

PS: For professional and critical numerical explanations, you can fill them in according to the characteristics of your own product and refer to the recommended classification tree.


High-quality product images

The analysis of a product’s historical sales data and consumer shopping behavior is a key factor in converting sales.

1. The product is displayed in front of consumers

By using high-quality copywriting, quickly promoting ads, and engaging in promotional activities, good historical sales data can be achieved;

2. Whether the image affects consumer clicks

Most partners follow the reference of their competitors’ images without considering whether they conform to Western aesthetics. You can use some third-party software or websites to let local Westerners tell you their preferences for image expression, giving you an edge at the starting line.


Advertising Bidding Methods

1. New product period: It is recommended to use fixed bidding + display position adjustment bidding to enable Amazon to quickly recognize your listing and gain more exposure in the consumers’ view.

2. Growth period: It is recommended to use dynamic bidding – increase and decrease, screen out high-quality main push keywords and expand traffic keywords to increase stable traffic pool.

3. Mature period: It is recommended to use dynamic bidding – only decrease the bidding to stabilize the rhythm of the single-order keywords, pay more attention to changes in traffic trends, and strengthen the foundation of the traffic pool.

PS: Sometimes, some misspelled words can also be part of the advertising keywords. Not only is the cost per click very low, but the conversion rate is also relatively high, which can also reduce the ACOS of the advertising campaign.


Analyzing and Optimizing Advertising


Download Advertising Data Report

1. For new products: It is recommended that friends accumulate data for 2-4 weeks before analyzing and optimizing. Avoid making changes every day or adjusting every two days.

2. For old products: It is recommended that friends download the advertising report every week, follow up and optimize in a timely manner, and expand new traffic directions.


Data Analysis and Processing

The main components of data analysis are search terms, keywords, impressions, clicks, total spending, order numbers, and sales.

Click-through rate and conversion rate need to be manually added to the formula for secondary processing. Friends can refer to previous articles.

Grasp the core advertising data and sprint for member days (refer to previous articles).


Key Points of Advertising Data Analysis

The core indicators of advertising analysis are the cost of each order, the level of CPC per click, and the conversion rate.

1. Clearly define the ACOS breakeven point

The ACOS breakeven point is the product’s cost basis, subtracting all costs to determine how much profit is left to spend on advertising. For example, if the product is priced at $50, with inherent costs including shipping and handling of $18, and FBA delivery fees of $7, the profit would be calculated as follows: 50*0.85-18-7=17.5. This means you have $17.5 to spend on advertising, and the ACOS breakeven point would be 17.5/50=35%. Anything above this line would result in a loss.

2. Filter intuitive core data

Total cost: sort data in descending order, select keywords that have a conversion cost much higher than the breakeven point, and recommend closing them directly. If you don’t want to give up on these keywords, it is recommended to test and optimize them in a separate location.

Number of orders: Sort data in descending order, select words with fewer clicks but higher conversions, and pay more attention to them. Increase exposure by increasing bids to achieve more conversions.

3. Adjust the range of keyword bidding

Following the above example, with a profit of $17.5 and a conversion rate of 20%, the highest bid for a keyword would be $3.5. Make sure that the budget for each click is lower than $3.5.

4. Select high-quality keyword matching modes

During the product’s new period, it is recommended to use a broad match mode to extend the flow of high-quality keywords. During the product’s growth period, it is recommended to use phrase or exact match modes to expand the long-tail flow of high-quality keywords.

5. Different advertising type strategies


AUTO ad delivery

1. Automatic ads are mainly used to run keywords.

2. Verify the relevance of the product category.

PS: In the budget for supporting new product flow, it is essential to give enough! It is recommended that the budget for each individual advertising campaign be at least $30. If promoting multiple new products simultaneously, each product should have its own advertising campaign. During the new product period, it is recommended that you use the closely matched method to increase the bid and increase efficiency for conversions.


Extensive/Precise/Phrase Advertising Placement

1. Keywords with an average monthly search volume of over one thousand: Each keyword should have its own ad campaign for placement. Do not group keywords with different search volumes together, otherwise the high-volume keywords will consume most of the campaign’s budget, while other keywords will not be displayed and have no effect.

2. Keywords with an average monthly search volume of less than one thousand: Place them in one ad campaign. For example, group together keywords with a monthly search volume of about 500, and group together keywords with a monthly search volume of 1000. Each group should have 3-5 keywords to avoid confusing Amazon’s robots with too many keywords.


ASIN Advertising Placement

Product Launch Stage: At first, the team mainly selects similar products with similar or slightly higher prices through third-party tools for placement.

Mid-to-Late Stage: After accumulating some reviews, the team can place ads for products with lower star ratings but higher prices, complementary products, or ASINs that are automatically generated.

Good products are the foundation of operations, excellent listings are the carrier of operations, and advertising strategies are the essence of operations.

Choosing long-tail keywords that are relatively less competitive in the category is the initial strategy, while maintaining a spiral upward trend of product sales is the mid-term strategy. The ultimate goal is to maintain stable operations and achieve more sales through mutual promotion.

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