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How to Advertise on Amazon Seller Central - 7 Simple Steps

David Katz10/9/2024

If you're selling on Amazon, you know it's not easy to stand out. With millions of sellers like you competing for attention, getting your products noticed can feel like a real challenge.

You've probably worked hard on optimizing your product listings. That's great, but breaking into the top three search results is tough, even with perfect optimization.

And anything past the first page might as well be invisible — after all, 35% of shoppers click the first search result they see, while 70% never even navigate to page two.

This is where Amazon advertising comes in. It's a powerful tool that can help you increase the visibility of your products, even if you're not ranking at the top organically.

TL;DR - How to Advertise on Amazon Seller Central

Here's a quick rundown of the steps to advertise on Amazon Seller Central:

  1. Set up your Seller Central account
  2. Choose your ad type
  3. Create your campaign
  4. Set your budget and bids
  5. Select your targeting strategy
  6. Choose your products to advertise
  7. Launch and monitor your campaign

Don't worry if this seems overwhelming - we'll detail each step as we go along.

Meanwhile, partner with Archer Affiliates if you want to complement your advertising efforts with affiliate marketing. We connect you with over 2,500 Amazon-focused affiliates who can drive external traffic to your listings.

The best part? You only pay when you make a sale - no upfront fees or monthly charges. Join Archer Affiliates today and connect with affiliates who can help grow your sales.

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What Are Amazon Ads?

Amazon ads are pay-per-click (PPC) advertisements that appear in various places across the Amazon platform. They're designed to increase your product visibility, increase traffic to your Amazon listings, and boost sales.

The beauty of these ads is that you only pay when a shopper clicks on your ad, regardless of whether they purchase.

Here's why Amazon ads can be great for you:

  • Increased Visibility: Your products can appear at the top of search results, giving you prime real estate in the Amazon store and helping to increase your visibility on Amazon.
  • Targeted Reach: You can show your ads to shoppers searching for products like yours.
  • Brand Building: Consistent advertising helps build brand recognition and trust among Amazon shoppers.
  • Data-Driven Decisions: Amazon provides detailed metrics, allowing you to fine-tune your advertising strategy based on real performance data.

Fun Fact: According to Statista, Amazon's advertising revenue hit $46.91 billion in 2023, up from $12.63 billion in 2019. This massive growth underscores just how powerful and popular Amazon advertising has become.

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List of Amazon Ad Types

Let's briefly overview the various Amazon ads available for promoting products and brands:

1. Sponsored Products: These are the most common and straightforward Amazon ads. They promote individual product listings and appear in search results and product detail pages. Sponsored Products are great for driving sales of specific items.

2. Sponsored Brands: Formerly known as Headline Search Ads, these ads showcase your brand logo, a custom headline, and multiple products. They appear at the top of search results, making them ideal for building brand awareness.

3. Sponsored Display: These are display ads that can appear both on and off Amazon. They're perfect for retargeting shoppers who have viewed your products or similar items.

4. Amazon Stores: While not technically an ad, Stores are free multi-page destinations on Amazon where you can showcase your brand story and product catalog. They work hand-in-hand with Sponsored Brands ads.

5. Video Ads: These short video advertisements can appear in search results and product detail pages. They're particularly effective for showing product features or telling your brand story.

Each ad type serves a unique purpose in your overall Amazon advertising strategy.

As we move forward, we'll focus primarily on Sponsored Products, the most accessible and commonly used ad types.

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How to Advertise on Amazon Seller Central

Now, let's set up your ad campaign on Amazon Seller Central:

Step 1: Set Up Your Seller Central Account

First things first - you need to have an active Seller Central account. If you're new to Amazon, you'll need to sign up for a Professional selling plan.

This costs around $39.99 per month plus selling fees, but it's required for access to advertising features.

Step 2: Choose Your Ad Type

For this guide, we'll focus on creating a Sponsored Products campaign. It's the most straightforward option for beginners and a great place to start your advertising journey.

Step 3: Create Your Campaign

Next:

  • Log into your Seller Central account and navigate to the 'Advertising' tab.
  • Click on 'Campaign Manager,' then 'Create Campaign.'
  • Select 'Sponsored Products' as your campaign type.
  • Give your campaign a name.

Pro Tip: Choose something descriptive that will help you easily identify it later, like "Summer Sale - Beach Towels 2024".

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Step 4: Set Your Budget & Bids

Now, you have to find the sweet spot between visibility and profitability:

  • Set a Daily Budget: This is the maximum amount you will spend daily on this campaign. Amazon recommends starting with at least $10 per day, but you can adjust this based on your comfort level and goals.
  • Choose Your Campaign Duration: Set an end date or let it run continuously.
  • Set Your Default Bid: This is the maximum amount you're willing to pay per click. Start conservatively - you can always increase it later.

Step 5: Select Your Targeting Strategy

You have two main options here:

  • Automatic Targeting: Amazon will automatically match your ads to relevant search terms based on product information. This is a good option for beginners or if you're not sure which keywords to target.
  • Manual Targeting: You choose the keywords you want to target. This gives you more control but requires more research and ongoing management.

For your first campaign, automatic targeting can be a good way to gather data and discover effective keywords.

Step 6: Choose Your Products

Select the products you want to advertise in this campaign.

Carefully review your product catalog and identify specific items to advertise based on criteria like:

  • High-margin products
  • New product launches
  • Best selling items
  • Items facing steep competition
  • Products aligned with seasonal demand

Choose relevant and compelling products to showcase in your ads. You can add individual ASINs or use bulk upload for multiple products.

Step 7: Launch Your Ad

Install conversion tracking tags on your website to attribute external sales driven by your Amazon ads. Reports will then fully reflect ad performance.

Check ‘Amazon Attribution’ under Seller Central’s ‘Advertising’ tab for setup instructions.

Review all your settings, then click 'Launch campaign.' Your ad will go through a brief review process before it starts running, usually within 1-2 hours.

Remember, creating your first ad is just the beginning. The key to success with Amazon advertising lies in ongoing monitoring and optimization, which we'll cover next.

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How to Monitor Amazon Ads

Monitoring the performance of your Amazon ads should become an ongoing routine using Seller Central's advertising reports.

Here are some key metrics to keep an eye on:

  • Impressions: The number of times your ad was displayed.
  • Clicks: How many times have shoppers clicked on your ad?
  • Click-Through Rate (CTR): The percentage of impressions that resulted in clicks.
  • Cost-Per-Click (CPC): The average amount you pay for each click.
  • Advertising Cost of Sales (ACoS): This is your total ad spend divided by total sales from advertising.
  • Return on Ad Spend (RoAS): The total sales generated for every dollar spent on advertising.

To access these metrics:

1. Go to the 'Advertising' tab in Seller Central.

2. Click on 'Campaign Manager'.

3. Here, you'll see an overview of all your campaigns. Click on individual campaigns for more detailed data.

Amazon provides several helpful reports to dig deeper into your ad performance:

  • Search Term Report: This shows which customer search terms are triggering your ads.
  • Targeting Report: Provides data on how your targeted keywords or products are performing.
  • Advertised Product Report: Breaks down performance by individual product.

Pro Tip: Set up a routine to check these metrics regularly - weekly for new campaigns, bi-weekly, or monthly for established ones. This will help you spot trends and make data-driven decisions to improve your campaigns.

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Amazon Sponsored Ads Management Best Practices

To get the most out of your Amazon advertising efforts, consider these best practices:

  • Start Small and Scale Up: Begin with a modest budget and a few products. As you learn what works, gradually increase your investment.
  • Use a Mix of Match Types: For manual targeting campaigns, use a combination of broad, phrase, and exact match keywords to capture a wide range of relevant searches.
  • Leverage Negative Keywords: Use the Search Term Report to identify and add negative keywords - terms you don't want your ads to show for. This helps reduce wasted ad spend.
  • Optimize Your Product Listings: Ensure your product titles, bullet points, and descriptions are keyword-rich and compelling. Better listings can improve your ad performance and organic ranking.
  • Test Different Ad Types: While Sponsored Products are a great starting point, feel free to experiment with Sponsored Brands or Sponsored Display ads as you become more comfortable with the platform.
  • Adjust Bids Strategically: Increase bids on high-performing keywords and lower them on underperforming ones. Consider using Amazon's dynamic bidding options for more automated optimization.
  • Seasonality Matters: Understand how seasonal trends affect your products and adjust your campaigns accordingly. For example, you might increase bids and budgets during the holiday season or boost seasonal sales on Amazon by tailoring your campaigns to specific events or shopping periods.
  • Monitor Your Competition: Monitor your competitors' activities. If you notice them advertising heavily on certain keywords, it might be worth investigating why.
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Use Archer and Connect with Affiliates for More Sales

While Amazon's built-in advertising tools are powerful, you should look for additional ways to boost your sales.

This is where Archer Affiliates comes in. Our innovative platform connects sellers like you with a vast network of affiliates, influencers, and content creators.

Here's how we supercharge your Amazon selling strategy:

  • External Traffic: We help you tap into external traffic sources, driving potential customers to your Amazon listings from outside the platform.
  • Brand Awareness: You can increase brand recognition and trust among potential customers.
  • Access to Expertise: Affiliates often have deep knowledge of their niche markets, helping you reach highly targeted audiences.
  • Performance-Based Model: You only pay when sales are generated, making it a cost-effective way to expand your reach.

To get started with Archer Affiliates:

1. Sign up on our platform with a brand account.

2. Import your product catalog and choose which products to promote.

3. Set commission offers to incentivize partnerships with affiliates.

4. Connect with affiliates who can find your products in Archer's network.

5. Manage product samples and promo code requests from affiliates.

6. Track performance metrics through Amazon attribution links.

That’s it! It’s a simple way to build your brand both on and off Amazon.

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Frequently Asked Questions (FAQs)

Below are answers to some common questions about Amazon advertising:

What is a Good CTR for Amazon Ads?

Your click-through-rate goal will vary by product type, but top Amazon advertisers typically maintain ad CTRs averaging above 0.35%.

Anything near or exceeding 1% is considered very strong.

What is a Good ACOS for Amazon Ads?

A competitive ACoS target range for Amazon ads is between 25% to 40%. Your ideal ACoS should allow for profits based on margins while maximizing volume.

ACoS above 50% likely signals poor keyword/product targeting, low-quality scores, or high competition.

How Much Do Sponsored Ads Cost on Amazon?

The Average Cost-Per-Click bid for Amazon Sponsored Product ads in the US marketplace is around $0.81. Actual CPC costs will vary based on the competitiveness and relevance of your selected keywords.

Conclusion

Amazon advertising can significantly boost your product visibility and sales. But why stop there? To truly maximize your Amazon success, consider partnering with Archer Affiliates.

We connect you with over 2,500 vetted Amazon-focused influencers, publishers, and deal sites. They'll drive external traffic to your listings, potentially increasing your organic rankings and sales. You only pay when you make a sale - no upfront or monthly fees.

Connect with Amazon influencers through Archer Affiliates today and start growing your sales with targeted, commission-based partnerships.

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