Amazon Advertising has changed significantly in the last couple of months, with changes happening quickly and often since the rebranding of Amazon Advertising.
Recently, we have seen Amazon introduce ‘Portfolio’ across the US, UK and the rest of the European channels.
What are portfolios?
In simple, it is a group of campaigns organised into a group based on your advertising goals. This may sound familiar to anyone who has worked with Google Ads. A Portfolio can be based on brands, category or by seasonality of products.
We all know this is not a new concept and has been created from Google. There is no point reinventing the wheel! If this works with Google why would it not with Amazon?
Amazon’s goal is to get you to spend more. You’ll set an overall budget during a peak sales period, and once this budget has been set Amazon Ads will work within the budget during this time.
Managing campaigns in portfolios
Simply create a portfolio based on your advertising budget for a group of products and set budget and timeline. As seen in the screenshot below. Optimise the campaigns and let your campaigns run within the budget. Once the budget is spent your campaigns stop.
The future of Amazon portfolio
Amazon advertising is performing well for most sellers. The conversion rate can be seen as high as 10% compared to 2% with Google paid ads. This may be the reason why brands are moving 50 to 60 per cent of their Google Search ad budgets to Amazon.
With the rapid growth of Amazon Advertising, automation is inevitable and anyone would love the “set it and forget it” approach. Amazon has already tested automation via the Bid+ option with Sponsored Manual Ads, and the result has been really positive for campaigns we are managing.
For every pound that the company spends on its Amazon Bid + Sponsored campaign, it generates £15.00 worth of revenue. See more info here
So, we will see pretty quickly Amazon Portfolio allowing you to set bid strategies like Google. Below are some examples:
In this approach, Amazon will stay within your budget and increase and decrease your bids to meet the target. Its algorithm will ensure that you get the most conversions it can within your budget.
The result, Amazon gets extra spend from you, apart from 15% commission, and you have ensured you have maximised your sales.
We are UK based Amazon Consultancy with 10 years of experience. Our process driven approach has been successful and has worked with various UK medium-sized businesses. Schedule a call to discuss how Amazon advertising can grow your sales.