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For sellers, this means that sellers have a variety of opportunities, but there’s also a lot of competition. The number of sellers who are expected to join in 2022.
For the customer, this means more expectations for what they can expect from their purchase in terms of speed, quality, and price.
Amazon PPC automation is a potent tool to increase the attention of your customers and increase sales to beat rivals, which are crucial to expanding the size of your Amazon business.
Amazon has acknowledged this by launching a beta version of a bidding automated based on rules tool. It’s not yet widely available however Amazon’s determination toward PPC automation is an indication of its worth to sellers.
To implement PPC automation efficiently It is important to begin by examining some of the most important aspects. We’ll discuss the following topics:
- Machine Learning vs Rules-Based Learning The advantages and disadvantages of different types of automation
- Bid Management: What is the best way do you control bids based on your business goals
- Human vs Machine Error It is important to spend money and time on PPC automation
Rules-Based vs Machine Learning Automation Tools
The first step is to decide if you want to automatize your PPC campaign with an automation tool that is based on rules or a machine-learning automation tool.
It all comes down to how much control you’d like over your campaigns and rules-based automation allows greater control. The amount of control you require is dependent on your team, goals budget, targets, and a host of other variables.
Rules-Based Automation
By using the use of rules-based automated systems, you define specific parameters, or “rules”, for the algorithm to adhere to. For instance, you could create this rule:
If ACoS is higher than 40% and the search term has more than 10 clicks then lower the bid by 10 percent.
When campaigns operate over the ACoS threshold of 40 percent, the algorithm will work to reduce the ACoS down.
As you increase the number of ads that put out the more effective the campaigns you run will become optimized. The reason is that an algorithm can optimize your campaigns using these parameters, taking into account all the historical advertising data.
Use an organized campaign structure to ensure that you can precisely monitor the changes implemented by the algorithm this level of human supervision is vital to ensure that the automation is effective, and make sure that your algorithm isn’t over-optimizing your account.
Machine Learning Automation Tools
Through machine learning automation, you can set a goal measurement, such as RoAS as well as ACoS.
Machine learning algorithms examine historical data and then optimize campaigns to achieve the metric you have chosen. Contrary to rules-based automation machine learning automation doesn’t need input from bid price.
This type of tool was created to assist in making PPC management simpler – it’s much simpler than rules-based automation for setting up an advertising campaign.
Its ease of use is also its drawback. You are essentially in control over the campaigns you run, other than setting the target you want to reach therefore, the machine learning tools require time to gather sufficient relevant data to function at their best.
It’s therefore not unusual to have poor quality results for a short time. To reduce the risk it is recommended to hire an expert who has a thorough understanding of the nuances of Amazon PPC management, even using machine learning software.
How to Run Bid Management Based on Your Targets
Two of the most important processes automation replaces are bidding management as well as keyword harvesting. While you’re saving lots of time with manual configuration as well as tweaking campaigns automating campaigns, especially those that are based on rules require a substantial time investment to make sure that bids are optimized and keywords.
It is important to think about how you will handle these processes, and what you want to accomplish. Automated tools can permit bid management in a variety of ways, with goals such as:
- Maximize clicks
- Impressions of the target
- Target CPA
- Enhance CPA
- Target RoAS
- Maximize conversions
Are you looking to increase the visibility of your brand? It could be necessary to increase your keyword bids and permit a higher amount of spending and ACoS for these.
However, if your aim is to rank for specific keywords, you can expect to pay a higher CPC and you shouldn’t expect to automate this to decrease it if it is creeping up to the ACoS you want to achieve.
If you’re looking to improve your bids in order to make them more profitable, establish the goal of RoAS as well as an ROI. It’s also beneficial to provide your bids with enough flexibility to adjust to market changes.
Human vs Machine Error
The amount of time spent creating and monitoring accounts could vary based on your advertising objectives and the product portfolio’s size.
However, one thing is certain: maximizing your strategy for pricing, identifying positive keywords, and tracking outcomes all require time.
When you use an automation tool to execute your bid optimization process you can give yourself and your employees more flexibility and time.
Automation does not mean you’ll be completely hands-off on your online account. While these programs are unlikely to commit mistakes, however, they are unable to account for the factors that a person could consider in making optimizations.
