Navigating the vast marketplace of Amazon can feel like steering through a bustling digital metropolis where visibility is key to success. With nearly half of all shoppers not venturing beyond the first page of search results, securing a spot on this page is crucial for any seller who wants to see some actual return on their listings.
There are two primary strategies to elevate your product’s visibility and ranking: Amazon SEO (Search Engine Optimization) and Amazon PPC (Pay-Per-Click) advertising. Each offers unique advantages, but which is truly better for your business?
In this article, we’ll take a closer look at both Amazon SEO and PPC. We’ll break down what each one does well and what might be tricky about them, discover the pros and cons of both strategies and how these two complement each other. This way, you’ll be better equipped to choose the right strategy to help reach your sales goals in 2024.
Understanding Amazon SEO
Amazon SEO, or Search Engine Optimization, is all about enhancing the visibility of your products on Amazon’s search results through organic means. It focuses on making your product listings more attractive to Amazon’s search algorithm, helping your products appear higher in the search results without the need for paid advertising.
At its core, Amazon SEO involves a two-pronged strategy: front-end and back-end optimization.
1. Front-end optimization relates to what customers see when they view your product listing. This includes adding high-quality images and videos, crafting compelling titles, bullet points and descriptions that not only inform but also entice shoppers to make a purchase. It involves effective utilization of customer reviews, Q&A sections, Enhanced Brand Content (EBC) and etc.
2. Back-end optimization deals with elements not visible to the customer, BUT crucial for Amazon Algorithms. This includes using relevant keywords and ensuring accurate product categorization. For instance, filling in backend keywords with phrases that potential buyers might use to find your product can significantly impact your listing’s discoverability.
Amazon SEO offers lasting benefits: once you’ve optimized your product listings, your improved organic ranking tends to stay in place (unless you decide to implement changes).
On the other hand, Amazon PPC relies heavily on your advertising budget. Once that budget is exhausted, your ads stop running and your product’s sponsored position can quickly decline. That’s why many see Amazon SEO as a more crucial strategy compared to Amazon PPC.
Yet if you’re new to the platform it doesn’t mean you should choose Amazon SEO right of the start as your one and only strategy, since it may prove ineffective for freshly-published product listings. Overall, before considering this option first take a look at Amazon SEO advantages/disadvantages and see if your business can comply with its difficulties.
Amazon SEO: Pros and Cons
› Pros
Cons ‹
Increased Organic Visibility
Amazon SEO enhances your product’s placement in search results, boosting visibility without relying on paid ads.
Time-Consuming
Unlike PPC, where results are usually immediate, SEO improvements take time to manifest, especially if your product is new and lacks any reviews.
Cheaper in the long run
Unlike PPC, once a product listing is optimized effectively, it can attract traffic and generate sales without the need for constant financial input.
Results are not guaranteed
The competition on the market is much greater than you can imagine, so without a solid plan on how to outperform your competitors on common keywords, it might be a better idea to stick to long-term ones and gain some recognition before challenging those who sit at the top.
Long-Term results
As long as you keep up with trends in the market and updates to the Amazon algorithm, your product will rank high.
Amazon SEO compares to creating a legacy that endures, while Amazon PPC is like a fleeting trend that soon fades from view.
Demands Professionalism
Although Amazon SEO can be done by anyone, it requires technical knowledge and years of experience to do so effectively. In this field, it’s crucial to stay informed about the latest industry developments and closely monitor how search engines assess content.
Trustworthiness
People know when they see a “sponsored” product and often have less trust in them compared to those that show up naturally in organic search results.
Continuous Adaptation
Amazon’s algorithm is constantly updating to improve user experience, but even the smallest of changes can shift your product’s positions.
To maintain performance, sellers have to keep track of how their products are doing and adjust their tactics to stay in the game.
But even so, the exact complexities of Amazon’s algorithm remain a mystery to everyone, and what you believe influences search rankings, might produce results that are the opposite of your expectations.
Understanding Amazon PPC
Amazon PPC (Pay-Per-Click) is a paid advertising model that allows sellers to promote their products directly on Amazon. Amazon PPC helps sellers elevate their products to the top of the search results which otherwise would end up lost in a sea of competitors.
Its distinctive trait is that advertisers only pay when a potential customer clicks on their ad. How exactly does it work?
1. A customer searches for an item of his interest, for ex. “Travel backpack”.
2. Amazon gathers all ads that match the keyword “Travel backpack”.
3. The ad offering the highest bid wins the auction and gets displayed.
4. A customer clicks on the ad.
5. The advertiser pays the amount of the second-highest bid.
How Second-Price Auction Works
When you bid the highest on Amazon PPC ads, you don’t have to pay your full bid. You only pay one cent more than the next highest bid.
For example, if you bid $2.00 on the keyword “travel backpack” and the next highest bid is $1.50, you’ll only be charged $1.51 when someone clicks on your ad.
Amazon PPC Ad Types
Grasping the different types of Amazon PPC Ads can help you build a focused and successful strategy as a seller.
1. Sponsored Products: ads that promote individual product listings on Amazon and select premium apps and websites.
2. Sponsored Display: ads that aim to boost product visibility by reaching customers both on the platform and across the web.
3. Sponsored Brands: banner ads that showcase your brand logo, a personalized tagline and several products. These ads may be displayed above, alongside, or within shopping results.
You can learn more about Amazon PPC Ad Types on our dedicated pages:
Amazon PPC: Pros and Cons
› Pros
Cons ‹
Drive Visibility
PPC ads on Amazon give your products a prime spot on Amazon search result pages (SERPs), which is akin to having your products featured on the cover of a popular magazine, making it easy for eager shoppers to see them right away.
Affordability
When you stop funding PPC campaigns, your visibility is likely to dry up drastically. As for businesses with limited marketing budgets, PPC might be out of reach, especially in highly competitive sectors like health & household or beauty, where bids for paid ads can be particularly high.
Targeting the right customers
With PPC, you can precisely target the right demographics, interests, and shopping behaviors, making sure your ads land in front of those most likely to buy.
High Competition
Easy access means more people can try something, which in our case means greater numbers of sellers vying for the same customers. As a result, advertising expenses can escalate, leaving sellers with thinner profit margins.
Unlock New Audiences
PPC campaigns can spotlight your products to fresh customer segments who might not stumble upon them naturally.
Waste of Budget
If not carefully managed, Amazon PPC campaigns can rapidly deplete your budget. It’s essential to thoroughly evaluate campaign performance, pinpoint ineffective keywords, and make necessary adjustments to bids and budgets.
Elevate Organic Ranking
Although PPC is a paid strategy, it can also help boost your organic search position. When more people click on your ads and make purchases, it sends good signals to Amazon Algorithms, therefore improving your search ranking.
Amazon SEO vs Amazon PPC: Key Differences
After getting accustomed with both strategies, let’s make an overview of what sets either of them apart.
SPEED
SEO is a marathon, not a sprint. It can take a long time, sometimes years, to climb to the top of search results for competitive keywords. During this time, focusing on less competitive phrases might be necessary. PPC, however, is all about speed. You can create an ad today and see it on the front page of Google tomorrow, depending on your budget.
COST
PPC can be costly, especially for high-demand keywords like those in the insurance industry, where clicks can cost upwards of $50. On the flip side, SEO may not require direct payments to rank but demands effort and sometimes outsourcing, which can also be pricey.
DURABILITY
SEO provides lasting results. Once you achieve a high rank, factors like quality backlinks help maintain it, even though Google updates its algorithms frequently. In contrast, PPC results disappear once you stop paying. As soon as your budget is exhausted or you pause your campaign, your ads vanish.
Which One to Choose ?
In deciding between Amazon SEO and Amazon PPC, it’s important to align your choice with your unique goals, budget, and timeline. Amazon SEO lays a solid foundation for long-term organic growth, ideal for those looking to build sustained visibility. On the other hand, Amazon PPC offers a quick boost in sales and visibility, making it perfect for those seeking immediate results.
However, choosing between Amazon SEO and PPC isn’t about picking one over the other. To truly enhance visibility and boost sales on Amazon, it’s wise to utilize both strategies together. By doing so, you can enjoy the immediate benefits of PPC while steadily building organic reach with SEO.
Ultimately, consider what you aim to achieve and how much you’re prepared to invest in terms of time and money. For optimal results we recommend using tools like Amazon Listings Quality Checker
OR
If you’re new to the game and need expert assistance – reach out to our team of professionals at Weby Corp. Let us assist you in optimizing your product listings, maximizing ad engagement and driving your sales up, accordingly setting you up for a strong presence on Amazon!
