# 𝗔𝗺𝗮𝘇𝗼𝗻 𝗣𝗣𝗖 𝗔𝗻𝗮𝗹𝘆𝘁𝗶𝗰𝘀: 𝗧𝗿𝗮𝗰𝗸 𝘁𝗵𝗲 𝗠𝗼𝘀𝘁 𝗜𝗺𝗽𝗼𝗿𝘁𝗮𝗻𝘁 𝗠𝗲𝘁𝗿𝗶𝗰𝘀

- 連結：https://cloudsea35.com/amazon-ppc-analytics-metrics/
- 發佈時間：2022-08-17T23:10:51+08:00
- 作者：David

## Optimal PPC performance on Amazon requires frequent and consistent optimization

內容目錄

[Toggle](https://cloudsea35.com/amazon-ppc-analytics-metrics/#)

 * [Optimal PPC performance on Amazon requires frequent and consistent optimization](https://cloudsea35.com/amazon-ppc-analytics-metrics/#optimal_ppc_performance_on_amazon_requires_frequent_and_consistent_optimization)
 * [Building an Analytics Dashboard](https://cloudsea35.com/amazon-ppc-analytics-metrics/#building_an_analytics_dashboard)
 * [METRICS TO COLLATE:](https://cloudsea35.com/amazon-ppc-analytics-metrics/#metrics_to_collate)
 * [CALCULATIONS:](https://cloudsea35.com/amazon-ppc-analytics-metrics/#calculations)
 * [What are the main metrics we need to track?](https://cloudsea35.com/amazon-ppc-analytics-metrics/#what_are_the_main_metrics_we_need_to_track)
    - [1)     To drive traffic for the minimum cost possible](https://cloudsea35.com/amazon-ppc-analytics-metrics/#1_to_drive_traffic_for_the_minimum_cost_possible)
    - [2)     Improve organic rank for long-term sales with no advertising costs](https://cloudsea35.com/amazon-ppc-analytics-metrics/#2_improve_organic_rank_for_long-term_sales_with_no_advertising_costs)
 * [Analyzing the numbers in the dashboard](https://cloudsea35.com/amazon-ppc-analytics-metrics/#analyzing_the_numbers_in_the_dashboard)
    - [SESSIONS and COST PER SESSION](https://cloudsea35.com/amazon-ppc-analytics-metrics/#sessions_and_cost_per_session)
    - [COST PER ACQUISITION](https://cloudsea35.com/amazon-ppc-analytics-metrics/#cost_per_acquisition)
    - [ PROFIT](https://cloudsea35.com/amazon-ppc-analytics-metrics/#_profit)

Optimal PPC performance on Amazon requires frequent and consistent optimization.
Sellers who actively and efficiently optimize their ad campaigns almost always see
better results. To effectively optimize campaign performance, it is essential to
have a robust system in place with a manageable workflow procedure.

The most critical part of any system is having a clear and concise overview of account
performance and a method of tracking performance following optimizations and modifications.
Building an analytics dashboard simplifies the process by providing a snapshot of
account performance and a 360o view into tracking changes and analyzing how modifications
have impacted account metrics.

No matter which system you use, there are important consistencies:

 * Have clear objectives
 * Analyze the data
 * Optimize based on the data
 * Review

## **Building an Analytics Dashboard**

![𝗔𝗺𝗮𝘇𝗼𝗻 𝗣𝗣𝗖 𝗔𝗻𝗮𝗹𝘆𝘁𝗶𝗰𝘀: 𝗧𝗿𝗮𝗰𝗸 𝘁𝗵𝗲 𝗠𝗼𝘀𝘁 𝗜𝗺𝗽𝗼𝗿𝘁𝗮𝗻𝘁 𝗠𝗲𝘁𝗿𝗶𝗰𝘀](https://i0.wp.com/cloudsea35.
com/wp-content/uploads/2022/08/image-8.png?resize=1024%2C368&ssl=1 "𝗔𝗺𝗮𝘇𝗼𝗻 𝗣𝗣𝗖 𝗔𝗻𝗮𝗹𝘆𝘁𝗶𝗰𝘀:
𝗧𝗿𝗮𝗰𝗸 𝘁𝗵𝗲 𝗠𝗼𝘀𝘁 𝗜𝗺𝗽𝗼𝗿𝘁𝗮𝗻𝘁 𝗠𝗲𝘁𝗿𝗶𝗰𝘀 1")

Building an analytics dashboard, in which you enter daily data values, once a week,
is an effective way to monitor the performance, from week to week. Using a spreadsheet,
such as the one above, will enable the identification of percentile changes to key
metrics due to campaign and listing optimizations.

## METRICS TO COLLATE:

 * _PPC Spend_ – paid advertising costs extracted from the campaign manager
 * _PPC Sales_ – sales from paid traffic extracted from the campaign manager
 * _Total Sales_ – a total of organic and sponsored ad sales, extracted from business
   reports
 * _Units_ – total units sold, both organic and paid, extracted from business reports
 * _Sessions_ – a total of organic and paid sessions, extracted from business reports
 * _Click through rate (CTR)_ – the ratio of clicks to impressions, extracted from
   the campaign manager
 * _Cost per Click (CPC)_ – the average cost per click, extracted from the campaign
   manager
 * _Sale Price _– listing price per unit
 * _Amazon Fees _– referral and fulfillment fees, extracted from seller central,
   manage inventory
 * _Cost of Goods (COG) _– landing cost per unit

## CALCULATIONS:

![No alt text provided for this image](https://media-exp1.licdn.com/dms/image/D4E12AQGcKOHum0EBkw/
article-inline_image-shrink_1500_2232/0/1660319050475?e=1666224000&v=beta&t=zMHXD3WrGUKUx5L2lx3uX_HKjzK69vYPKNL7nfaWeow"
𝗔𝗺𝗮𝘇𝗼𝗻 𝗣𝗣𝗖 𝗔𝗻𝗮𝗹𝘆𝘁𝗶𝗰𝘀: 𝗧𝗿𝗮𝗰𝗸 𝘁𝗵𝗲 𝗠𝗼𝘀𝘁 𝗜𝗺𝗽𝗼𝗿𝘁𝗮𝗻𝘁 𝗠𝗲𝘁𝗿𝗶𝗰𝘀 2")

## **What are the main metrics we need to track?**

When determining which metrics to track, it is important to look at the two key 
goals of Amazon PPC:

### 1)     To drive traffic for the minimum cost possible

 * Sessions – are we driving traffic?
 * Cost per session – at what cost are we driving traffic?
 * Cost per acquisition – what is the cost to drive traffic for 1 conversion

### 2)     Improve organic rank for long-term sales with no advertising costs

·        Profit – are we seeing an increase in profit, and units sold, while maintaining
a consistent PPC spend?

## **Analyzing the numbers in the dashboard**

### _SESSIONS and COST PER SESSION_

With the first goal in mind, the most important metric to monitor traffic volume
is sessions, and when aiming for increased sessions it is important to monitor the
cost per session. (Not to be confused, sessions are the number of unique visitors
to a listing whereas clicks are the total number of times an ad was clicked).

When aiming to increase revenue, such as during keyword discovery, your goal is 
to increase sessions, which will proportionally produce an increase in spend. Monitoring
sessions can assess the effectiveness of the increase in spend.

While the ratio will vary, if the aim is to increase spend by 100%, you expect to
produce as least a 50-60% growth in sessions. If this is not the case;

a)      there may be a CTR issue

b)     multiple ad types may be being clicked by same buyer – multiple clicks, more
spend, but the same number of sessions

### _COST PER ACQUISITION_

_The aggregate cost to acquire one conversion is the cost per sale, or the cost 
per acquisition (CPA). _Changes in CPA reflect the effectiveness of campaign optimizations
and it is directly influenced by the cost per session and/or the conversion rate(
CVR). A decreased cost per session and an increased conversion rate will reflect
an improved CPA. If cost per session remains consistent but the CPA continues to
increase, you can determine there is an issue with CVR and vice versa. If you have
effectively optimized and lowered the cost per session or have optimized for an 
increased CVR you will see an improved CPA. Capturing these metrics allows calculated
decisions to determine where optimizations should be targeted to lower the cost 
per acquisition, as lowering the cost for one conversion is proportional to an increase
in net profit.

### _ PROFIT_

Your bottom line is the ultimate reference to campaign performance. Viewing a snapshot
of profit provides a summary of how optimizations have affected overall account 
performance.

**Steps to get Metrics Back on Track**

1)     To lower the cost per session 

 *         reduce bids on high ACoS keywords
 *         reduce bids on keywords with clicks and no sales
 *         adjust bid by placement for low ROAS campaigns
 *         negative exact non-profitable search terms in auto, broad, and phrase
   campaigns
 *         Pause non-profitable sponsored brand and sponsored display ads
 *         Improve organic rank

2)     To lower the cost per acquisition

 *         Lower the cost per session
 *         Optimize the product listing to improve the CVR

Assessing the performance of your account and your optimizations depends on what
you are trying to achieve. If you are in a discovery phase you are expecting higher
spend, increased sessions, and lower profits. If in a maintenance phase your goal
is to maintain or reduce spend while continuing to drive more profitable traffic
and sales.

To effectively optimize it is essential to have a robust system in place with a 
manageable workflow procedure.

Building an analytics dashboard simplifies the process;
⌊🟠⌉ It provides a snapshot
of account performance⌊🟠⌉ Allows a 360o view into tracking changes and analyzing
the impacts to account metrics.

No matter which system you use, there are important consistencies:
⌊🟠⌉ Have clear
objectives⌊🟠⌉ Analyze the data⌊🟠⌉ Optimize based on the data⌊🟠⌉ Review

It is an effective way to monitor the performance, from week to week. to identify
percentile changes to key metrics due to campaign and listing optimizations

Determine the best metrics to track;

1) To drive traffic for the minimum cost possible
⌊⚫️⌉ Sessions – are we driving
traffic?⌊⚫️⌉ Cost per session – at what cost are we driving traffic?⌊⚫️⌉ Cost 
per acquisition – what is the cost to drive traffic for 1 conversion

2) Improve organic rank for long-term sales with no advertising costs
⌊⚫️⌉ Profit–
are we seeing an increase in profit, and units sold, while maintaining a consistent
PPC spend?

⌊➡️⌉⌊➡️⌉ Analyze the numbers in the dashboard
⌊➡️⌉ Determine the steps to keep metrics
on track

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