Running ads on Amazon is one of the most effective ways to boost sales. However, if PPC (Pay-Per-Click) campaigns are not managed properly, your advertising budget can quickly run out without seeing the desired conversions. Especially new sellers often make some fundamental mistakes.
1. Insufficient Keyword Research
The foundation of any campaign is keywords. However, many sellers just throw a few words they think describe their product and start the campaign. In such a competitive environment, launching ads without conducting detailed keyword research is like swimming aimlessly in the ocean.
How to Avoid This?
Use tools like Helium10, Jungle Scout, or Amazon’s own search terms to analyze competitors. Target long-tail keywords for more cost-effective traffic with higher conversion rates.
2. Falling Into the Broad Match Trap
At first, broad match strategies may seem like a good idea, but they often result in your ads being shown for irrelevant search terms, leading to wasted spend.
How to Avoid This?
Start with more controlled match types like “Phrase” and “Exact”. If you do use broad match, make sure to include negative keywords. This way, your campaigns become more targeted.
3. Not Using Negative Keywords
Many sellers either don’t know about or ignore the use of negative keywords. The result? Irrelevant clicks and wasted spend.
How to Avoid This?
Review your campaign reports weekly. Identify which search terms are resulting in inefficient clicks and add them as negative keywords. This step can significantly reduce your ad spend over time.
4. Setting a Random Advertising Budget
Setting a low budget just to “test it out” seems reasonable at first, but evaluating a campaign without enough data can lead to misleading results. On the other hand, increasing the budget recklessly can also cause loss.
How to Avoid This?
Set a reasonable and sustainable daily budget for the beginning. In the first week, focus on collecting data rather than aiming for conversions. Once you have enough data, you can optimize your budget gradually based on performance.
5. Not Analyzing Campaign Performance
Sellers who set up their ad campaigns and leave them alone often turn a blind eye to campaigns that are burning money. Without data-driven decisions, it’s impossible to improve campaign performance.
