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The 2019 Amazon
Acceleration Virtual Summit
9 - 9:45 am PT
1 - 1:45 pm PT
11 - 11:45 am PT
12 - 12:45 am PT
Today’s Timeline
10 - 10:45 am PT
2 - 2:45 pm PT
SPS COMMERCE PRESENTS:
GROWING YOUR BUSINESS
WITH DROP SHIPPING
& AMAZON
CPC STRATEGY PRESENTS:
ACCELERATE BRAND DISCOVERY
WITH AMAZON’S NEW
TARGETING & BIDDING
SKUBANA PRESENTS:
A PROVEN SEO FORMULA TO
10X YOUR TRAFFIC & CONVERSION
IN 12 MONTHS OR LESS
SALSIFY PRESENTS:
PRODUCT DETAIL PAGE
OPTIMIZATION AND ITS IMPACT
ON AD SPEND EFFICIENCY
SHIPBOB PRESENTS:
HOW TO SHIFT LOGISTICS
FROM A COST CENTER
TO A REVENUE DRIVER
AVALARA PRESENTS:
SALES TAX 101 FOR
AMAZON SELLERS
Today’s Logistics
● Session Recording & Slides Will Be Sent Out
● Submit Questions to Our Panelists
● Resources Available as Handouts
● Join in the Poll Questions!
Analicia Santaella
Partner Coordinator
Overview
Founded in 2007
Part of Elite SEM as of 2018
Google Premier Partner
600+ Active Retail Clients
Top 50 Fastest Growing Company San Diego
Solutions
Retail-focused PPC & Shopping
Amazon Sales Acceleration
Amazon Vendor Services
Facebook Performance Marketing
Creative Services
Accelerate Brand Discovery
with Amazon’s New
Targeting & Bidding
Today’s Speakers
Courtney Macfarlane
Amazon Marketplace
Channel Analyst
Pat Petriello
Head of Amazon
Marketplace Strategy
Today’s Agenda
● Dynamic Bidding for Sponsored Products
● Placement Adjustments for Sponsored Products
● Automated Bidding for Sponsored Brands
● New to Brand Metrics for Sponsored Brands
POLL QUESTION
Have you started using any of the below
Amazon Advertising features?
● Dynamic Bidding for Sponsored Products
● Placement Adjustments for Sponsored Products
● Automated Bidding for Sponsored Brands
● New to Brand Metrics for Sponsored Brands
● None yet!
The New Amazon Advertising
PPC: Cost-per-click
You pay for clicks!
Display: CPM (Cost per thousand)
You pay for impressions!
Amazon Ad Console
Previously AMS
Product Display Sponsored Brands
Previously HSAs
Sponsored Products Amazon Managed Service Enterprise Self Service
Amazon Advertising
Previously AMG
Amazon DSP
Previously AAP
Campaign Bidding Strategies for
Sponsored Products
Dynamic Bidding - Down Only
● Amazon will reduce your bids in real time
for clicks that may be less likely to
convert to a sale
● Any campaigns created before January
2019 used this strategy
Dynamic Bidding - Up & Down
● Amazon will increase your bids in real time for clicks that may
be more likely to convert to a sale
● Will reduce your bids in real time for clicks that may be less
likely to convert to a sale
● Will not increase your bids by more than 100% for placements
at top of the first page of search results
● Amazon suggests this bidding strategy may deliver more
conversions for your ad spend compared to the other two
strategies
● Our testing indicates this bidding strategy is best for
campaigns operating below ACoS goal and for volume focused
campaigns
● Amazon will use your exact bid for all opportunities and will not adjust your
bids based on likelihood of a conversion
● This strategy gives advertisers the highest level of control but does not take
advantage of real time adjustments based on the likelihood of a conversion
● Useful for scenarios such as competitor brand conquesting
where Amazon’s algorithm may determine a low likelihood
of conversion
Fixed Bids
Dynamic Bidding Explained
How does Amazon predict the likelihood of an ad converting to a sale?
● Amazon uses machine-learning models to predict the likelihood that
an ad will convert to a sale if clicked, including:
○ Historical performance of the ad (or ads similar to it)
○ Context in which it is displayed (e.g. the customer search term,
placement, time of day, etc.)
Adjusting Bids by Placement for
Sponsored Products
Top of Search Placement
● The top of search (first page) refers to the sponsored products ads at the top row on
the first page of search results
● Bids can be increased up to 900% (or 10 times of) your base bid
Product Page Placement
● Product pages refers to sponsored
products placements on the
product detail page, and certain
other placements off search
results like the add-to-cart page
● Bids can be increased up to 900%
(or 10 times of) your base bid
Rest of Search
● Rest of search refers to sponsored
products ads shown in the middle or
at the bottom of search results, and all
sponsored products ads in the second
page of search results and beyond
● Not eligible for placement based bid
adjustments
Dynamic Bidding + Placement Adjustments
Example:
● $1.00 base bid
● 50% adjustment for
top of search
● 25% adjustment for
product pages
Automated Bidding for Sponsored Brands
PPC: Cost-per-click
You pay for clicks!
Display: CPM (Cost per thousand)
You pay for impressions!
Amazon Ad Console
Previously AMS
Product Display Sponsored Brands
Previously HSAs
Sponsored Products Amazon Managed Service Enterprise Self Service
Amazon Advertising
Previously AMG
Amazon DSP
Previously AAP
New Bidding Options
● Automated: Adjust bids automatically to optimize your ACoS across placements
○ For example, automated bidding can lower bids for all placements
○ Automated bidding will never increase your bid
● Manual: Increase or decrease your bid by a specific percentage
Reporting
● Campaign placement report: Track how your ads are performing in each
placement so you can adjust your budget accordingly
● Keyword placement report: Understand sales and performance metrics for
keywords across both placement groups to make bid adjustments and expand
your keyword target list
● Campaign report: Gain insights into sales, budget, and performance metrics
across all campaigns
New Placements for Sponsored Brands
● Before, advertisers were by default enrolled into all of
these placements with using an automatic bidding option
● Sponsored Brands now have 3 new ad placements:
○ Middle of the SERP
○ Bottom of the SERP
○ Very bottom of the SERP
● You’ll want to consider the effect the new placements can
have on impressions and CTRs
Display above the Fold
1. Open your campaign settings for your
Sponsored Brands campaign
2. Select automated bidding and change
to manual
3. You can now decrease your bids for
all placements below the SERP
4. Decrease bids by 99% if you don’t
want your ad to display in the
alternative placements
New to Brand Metrics
What are the New to Brand Metrics?
● Measures orders & sales of your products
generated from first-time customers of your
brand
● Better measures campaigns to optimize
current and future campaigns by driving customer
acquisition and brand loyalty
● Amazon reviews the last 12 months of a shopper's
purchase history
● If the shopper has not purchased from
your brand within the 12 month look back
window, the order is considered
new-to-brand
Reading New to Brand Metrics
● % of orders new-to-brand: Percentage of total orders that are new-to-brand
● % of sales new-to-brand: Percentage of total sales that are new-to-brand
● New-to-brand orders: Number of first-time orders for products within the brand
over a one-year lookback window
● New-to-brand sales: The total sales of new-to-brand orders
Using New to Brand Metrics
● Identify keywords with the highest % of orders
new-to-brand
○ These keywords are targeting candidates for
driving new-to-brand orders
● You should also review the new-to-brand units
and sales metrics as these may identify keywords
that generate new-to-brand orders with higher
price points and basket sizes
SMALL TEXT
STACK TEXT ROW 1
STACK TEXT ROW 2
Schedule a 1:1
Amazon strategy
evaluation
9 - 9:45 am PT
1 - 1:45 pm PT
11 - 11:45 am PT
12 - 12:45 am PT
10 - 10:45 am PT
2 - 2:45 pm PT
SPS COMMERCE PRESENTS:
GROWING YOUR BUSINESS
WITH DROP SHIPPING
& AMAZON
CPC STRATEGY PRESENTS:
ACCELERATE BRAND DISCOVERY
WITH AMAZON’S NEW
TARGETING & BIDDING
SKUBANA PRESENTS:
A PROVEN SEO FORMULA TO
10X YOUR TRAFFIC & CONVERSION
IN 12 MONTHS OR LESS
SALSIFY PRESENTS:
PRODUCT DETAIL PAGE
OPTIMIZATION AND ITS IMPACT
ON AD SPEND EFFICIENCY
SHIPBOB PRESENTS:
HOW TO SHIFT LOGISTICS
FROM A COST CENTER
TO A REVENUE DRIVER
AVALARA PRESENTS:
SALES TAX 101 FOR
AMAZON SELLERS
Please hold for our next presentation starting at 10am PT / 1pm ET

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Accelerate Brand Discovery with Amazon’s New Targeting & Bidding

  • 2. 9 - 9:45 am PT 1 - 1:45 pm PT 11 - 11:45 am PT 12 - 12:45 am PT Today’s Timeline 10 - 10:45 am PT 2 - 2:45 pm PT SPS COMMERCE PRESENTS: GROWING YOUR BUSINESS WITH DROP SHIPPING & AMAZON CPC STRATEGY PRESENTS: ACCELERATE BRAND DISCOVERY WITH AMAZON’S NEW TARGETING & BIDDING SKUBANA PRESENTS: A PROVEN SEO FORMULA TO 10X YOUR TRAFFIC & CONVERSION IN 12 MONTHS OR LESS SALSIFY PRESENTS: PRODUCT DETAIL PAGE OPTIMIZATION AND ITS IMPACT ON AD SPEND EFFICIENCY SHIPBOB PRESENTS: HOW TO SHIFT LOGISTICS FROM A COST CENTER TO A REVENUE DRIVER AVALARA PRESENTS: SALES TAX 101 FOR AMAZON SELLERS
  • 3. Today’s Logistics ● Session Recording & Slides Will Be Sent Out ● Submit Questions to Our Panelists ● Resources Available as Handouts ● Join in the Poll Questions! Analicia Santaella Partner Coordinator
  • 4. Overview Founded in 2007 Part of Elite SEM as of 2018 Google Premier Partner 600+ Active Retail Clients Top 50 Fastest Growing Company San Diego Solutions Retail-focused PPC & Shopping Amazon Sales Acceleration Amazon Vendor Services Facebook Performance Marketing Creative Services
  • 5. Accelerate Brand Discovery with Amazon’s New Targeting & Bidding
  • 6. Today’s Speakers Courtney Macfarlane Amazon Marketplace Channel Analyst Pat Petriello Head of Amazon Marketplace Strategy
  • 7. Today’s Agenda ● Dynamic Bidding for Sponsored Products ● Placement Adjustments for Sponsored Products ● Automated Bidding for Sponsored Brands ● New to Brand Metrics for Sponsored Brands
  • 8. POLL QUESTION Have you started using any of the below Amazon Advertising features? ● Dynamic Bidding for Sponsored Products ● Placement Adjustments for Sponsored Products ● Automated Bidding for Sponsored Brands ● New to Brand Metrics for Sponsored Brands ● None yet!
  • 9. The New Amazon Advertising
  • 10. PPC: Cost-per-click You pay for clicks! Display: CPM (Cost per thousand) You pay for impressions! Amazon Ad Console Previously AMS Product Display Sponsored Brands Previously HSAs Sponsored Products Amazon Managed Service Enterprise Self Service Amazon Advertising Previously AMG Amazon DSP Previously AAP
  • 11. Campaign Bidding Strategies for Sponsored Products
  • 12. Dynamic Bidding - Down Only ● Amazon will reduce your bids in real time for clicks that may be less likely to convert to a sale ● Any campaigns created before January 2019 used this strategy
  • 13. Dynamic Bidding - Up & Down ● Amazon will increase your bids in real time for clicks that may be more likely to convert to a sale ● Will reduce your bids in real time for clicks that may be less likely to convert to a sale ● Will not increase your bids by more than 100% for placements at top of the first page of search results ● Amazon suggests this bidding strategy may deliver more conversions for your ad spend compared to the other two strategies ● Our testing indicates this bidding strategy is best for campaigns operating below ACoS goal and for volume focused campaigns
  • 14. ● Amazon will use your exact bid for all opportunities and will not adjust your bids based on likelihood of a conversion ● This strategy gives advertisers the highest level of control but does not take advantage of real time adjustments based on the likelihood of a conversion ● Useful for scenarios such as competitor brand conquesting where Amazon’s algorithm may determine a low likelihood of conversion Fixed Bids
  • 15. Dynamic Bidding Explained How does Amazon predict the likelihood of an ad converting to a sale? ● Amazon uses machine-learning models to predict the likelihood that an ad will convert to a sale if clicked, including: ○ Historical performance of the ad (or ads similar to it) ○ Context in which it is displayed (e.g. the customer search term, placement, time of day, etc.)
  • 16. Adjusting Bids by Placement for Sponsored Products
  • 17. Top of Search Placement ● The top of search (first page) refers to the sponsored products ads at the top row on the first page of search results ● Bids can be increased up to 900% (or 10 times of) your base bid
  • 18. Product Page Placement ● Product pages refers to sponsored products placements on the product detail page, and certain other placements off search results like the add-to-cart page ● Bids can be increased up to 900% (or 10 times of) your base bid
  • 19. Rest of Search ● Rest of search refers to sponsored products ads shown in the middle or at the bottom of search results, and all sponsored products ads in the second page of search results and beyond ● Not eligible for placement based bid adjustments
  • 20. Dynamic Bidding + Placement Adjustments Example: ● $1.00 base bid ● 50% adjustment for top of search ● 25% adjustment for product pages
  • 21. Automated Bidding for Sponsored Brands
  • 22. PPC: Cost-per-click You pay for clicks! Display: CPM (Cost per thousand) You pay for impressions! Amazon Ad Console Previously AMS Product Display Sponsored Brands Previously HSAs Sponsored Products Amazon Managed Service Enterprise Self Service Amazon Advertising Previously AMG Amazon DSP Previously AAP
  • 23. New Bidding Options ● Automated: Adjust bids automatically to optimize your ACoS across placements ○ For example, automated bidding can lower bids for all placements ○ Automated bidding will never increase your bid ● Manual: Increase or decrease your bid by a specific percentage
  • 24. Reporting ● Campaign placement report: Track how your ads are performing in each placement so you can adjust your budget accordingly ● Keyword placement report: Understand sales and performance metrics for keywords across both placement groups to make bid adjustments and expand your keyword target list ● Campaign report: Gain insights into sales, budget, and performance metrics across all campaigns
  • 25. New Placements for Sponsored Brands ● Before, advertisers were by default enrolled into all of these placements with using an automatic bidding option ● Sponsored Brands now have 3 new ad placements: ○ Middle of the SERP ○ Bottom of the SERP ○ Very bottom of the SERP ● You’ll want to consider the effect the new placements can have on impressions and CTRs
  • 26. Display above the Fold 1. Open your campaign settings for your Sponsored Brands campaign 2. Select automated bidding and change to manual 3. You can now decrease your bids for all placements below the SERP 4. Decrease bids by 99% if you don’t want your ad to display in the alternative placements
  • 27. New to Brand Metrics
  • 28. What are the New to Brand Metrics? ● Measures orders & sales of your products generated from first-time customers of your brand ● Better measures campaigns to optimize current and future campaigns by driving customer acquisition and brand loyalty ● Amazon reviews the last 12 months of a shopper's purchase history ● If the shopper has not purchased from your brand within the 12 month look back window, the order is considered new-to-brand
  • 29. Reading New to Brand Metrics ● % of orders new-to-brand: Percentage of total orders that are new-to-brand ● % of sales new-to-brand: Percentage of total sales that are new-to-brand ● New-to-brand orders: Number of first-time orders for products within the brand over a one-year lookback window ● New-to-brand sales: The total sales of new-to-brand orders
  • 30. Using New to Brand Metrics ● Identify keywords with the highest % of orders new-to-brand ○ These keywords are targeting candidates for driving new-to-brand orders ● You should also review the new-to-brand units and sales metrics as these may identify keywords that generate new-to-brand orders with higher price points and basket sizes
  • 31. SMALL TEXT STACK TEXT ROW 1 STACK TEXT ROW 2 Schedule a 1:1 Amazon strategy evaluation
  • 32. 9 - 9:45 am PT 1 - 1:45 pm PT 11 - 11:45 am PT 12 - 12:45 am PT 10 - 10:45 am PT 2 - 2:45 pm PT SPS COMMERCE PRESENTS: GROWING YOUR BUSINESS WITH DROP SHIPPING & AMAZON CPC STRATEGY PRESENTS: ACCELERATE BRAND DISCOVERY WITH AMAZON’S NEW TARGETING & BIDDING SKUBANA PRESENTS: A PROVEN SEO FORMULA TO 10X YOUR TRAFFIC & CONVERSION IN 12 MONTHS OR LESS SALSIFY PRESENTS: PRODUCT DETAIL PAGE OPTIMIZATION AND ITS IMPACT ON AD SPEND EFFICIENCY SHIPBOB PRESENTS: HOW TO SHIFT LOGISTICS FROM A COST CENTER TO A REVENUE DRIVER AVALARA PRESENTS: SALES TAX 101 FOR AMAZON SELLERS Please hold for our next presentation starting at 10am PT / 1pm ET