A good ROAS/ACOS doesn’t always reflect proactive PPC management

This post is about how a good ROAS/ACOS doesn’t always reflect proactive PPC management.

Are you aware of difference between Branded Search Terms vs non-Branded Search Terms ? 

For example “Pepsi” is a branded Search Term, “soft drink” is the Generic or non-Branded Search Term. Similarly Nike/adidas/sketchers vs “workout shoes” 

You can show your ad to someone searching for your branded search term 
And 
You can show it to someone searching by more generic terms.

In terms of Amazon ranking, what do you think is more important ? 
Getting ranked on your Branded search Term or the generic one? 

Showing your product to someone who is already aware of your brand vs NTB customers (New to Brand) ? 

We always allocate the ad budgets in a way that we don’t leave space on our branded Search terms for our competitors
And 
We make sure we spend more of our budget on acquiring new-to-brand customers. 

Make sure you are not blinded by shining ROAS/ACOS but most of your ad budget is spent on your branded search terms. 


Branded search terms always give you a better Return on Ad Spend because the customer is already looking for your brand , so logically the purchase intent/ conversion is high . 

So if you have a very good ROAS , make sure to run the Search term Impression share report and find out the percentage of ad spent across both types of search terms. Just keep checking that your spending is not skewed towards branded terms. 

1. Be aware of where your money goes
2. Get control of where your money goes
3. Get maximum return on Each dollar spent on Ads
4. Define “Return” in terms of Brand growth, not the ROAS that Amazon is showing in Ads console


In short spend intelligently!