Amazon’s new product cold start advertising strategy

The advertising strategy for new products in the cold start phase is crucial, but many sellers encounter problems such as poor advertising results, unstable traffic, and large fluctuations in sales, which are very challenging for ranking improvement and the cold start cycle. I also took a detour, but eventually found an effective method to steadily promote new product sales in a short period of time. Today I will share this method.

Advertising ideas before optimization

At first, I tried some advertising operation methods, such as enabling AUTO advertising and finding a suitable amount of benchmark ASINs, conducting PAT tests, and setting up another advertising campaign with pre-accumulated keywords, a total of three types of advertising for testing. However, after a period of operation, I found that the cost of AUTO advertising was very high, PAT advertising had almost no traffic, and some keywords in keyword advertising had a high click-through rate, while others had almost no traffic, and ACOS sometimes even reached more than 200%, which almost made me despair.

Optimized strategy

1. Keyword Library

For new products, I have built a keyword library containing keywords related to the product. The number of keywords depends on the size of the budget, which can be 50-80 (higher budget) or around 30 (lower budget). It should be noted that the keyword library should be accumulated continuously, and the number mentioned here is the number of keywords accumulated during the initial test.

2. Competing ASIN

Similarly, I build a library of competitor ASINs. The number also depends on the budget, which can be 10-30 or 30-50.

3. Negative Word Accumulation

In order to prevent advertising budget from being wasted on irrelevant searches, I also accumulated some negative keywords.

4. Advertising Testing

When testing ads, I choose 3-5 or 5-10 keywords or ASINs to test each time. In addition, it should be noted that keywords with similar traffic should be tested together. Regarding this, I suggest that you think about why you arrange it this way, and you can also contact me for a more in-depth discussion.

5. Data Analysis and Optimization

The test ad needs to run for at least 3 days, and then adjust the ad based on the data performance. Depending on the performance of the ad, the bid (BID) can be appropriately increased or decreased. Some ads may not have much traffic at the beginning, so the observation period can be extended to 7 days for evaluation.

Why is it arranged like this?

During the cold start phase of a new product, we need to quickly increase traffic and achieve conversions to improve product rankings. Only by concentrating the budget on keywords with high conversion rates can we achieve conversions quickly. What kind of keywords have high conversion rates? This needs to be determined through small-scale testing, and then converted into order keywords to ensure that the advertising goals during the new product period are achieved.

Special attention

Don’t be impatient. When ads are just launched, some sellers may be eager to lower bids or budgets when seeing the increase in ad costs, but this is unwise. Amazon’s machine learning algorithm needs time to optimize ad recommendations, and needs to combine information such as customer search behavior, product information, and competitor performance to determine ad positions. Therefore, there may be some deviations at the beginning, but over time, Amazon will gradually adjust to improve ad effectiveness.

The above is my sharing. I hope these suggestions are helpful to you. Stick to it and you will definitely see the rewards. If these suggestions are helpful to you, please don’t forget to like them!