3 Easy Modes to manage your Product Groups on Amazon

It is sometimes super tricky to set up and manage Amazon PPC advertising and handling product groups is one of those details that can decrease the performance of your campaigns slow and steady. Grouping products is an important step to do an impactful Amazon advertising strategy. Within this article, you will gain insights about how to do product grouping and leverage Amazon PPC tools to effectively promote diverse product groups, when addressing distinct advertising objectives.

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What is a Product Group on Amazon PPC?

On Amazon PPC campaigns, marketers usually group products to gain more traffic effectively. Products that are placed together in one ad group share the same bids and ads targeting (both keyword or product). Products are usually categorized together by some common points:‍

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Product Life Cycle

Grouping products based on their life cycle stages, such as new products, growing products, or mature products. Different stages may require distinct advertising approaches.

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Product Line

Categorizing products based on their brand, product type, or product line. This allows advertisers to focus on promoting specific product benefits.

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Ads Performance

Product groups are created based on products' performance. For instance, they are all best-selling products, products with high ACoS or low-converting rate. This enables advertisers to tailor PPC strategies to optimize performance.

As an advertising platform, it’s important for us to provide advertisers with various options to optimize their campaigns based on different product groups and specific goals. m19 offers three different algorithm modes—ACOS target mode, Monthly Budget Management, and Force Product Visibility mode. Each mode serves a distinct purpose, addressing different advertising objectives and strategies.

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Tip: To know more about PPC ads on Amazon, read our guide to PPC campaign

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3 Different Algorithm Modes for Product groups in m19

In Amazon PPC advertising, achieving optimal product visibility, efficient spending, and proper target ACOS can be a complex task, particularly when confronted with varying levels of historical data availability and different product groups. Taking these challenges into account, we are excited to present three distinct algorithm modes for product groups within the m19 platform. These have been developed to ensure you have comprehensive tools to achieve the goals when you promote various product groups.

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ACOS Target Mode

This algorithm mode aims at balancing exploration and optimization to meet your desired Advertising Cost of Sale (ACOS) target. The algorithm uses analysis of historical data and current strategies to bid on products and keywords.

Keywords are managed at the parent ASIN level within each strategy. The algorithm helps bids on Amazon based on various factors, including historical conversion, competition, ACOS targets, and performance on other keywords or campaigns. This strategy allows for PPC bid adjustment on high-performing keywords while avoiding overspending.

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Note: Learn more about how to set up right ACoS in our beginning guide.

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Monthly Budget Management Mode

This mode ensures efficient spending on ad bid while minimizing ACOS. It takes your budget and allocates it evenly over the month. It aims for both sales and better Amazon bidding strategy.

The Monthly Budget Management algorithm addresses two critical scenarios in Amazon PPC advertising.

Firstly, it efficiently addresses budget constraints by evenly distributing expenditures throughout the month, boosting sales volume and enhancing ROI. Additionally, it serves as an optimal solution for low historical data situation. It can effectively collect data while maintain controlled spending through performance-driven adjustments. This approach ensures optimal campaign performance and efficient resource utilization, even when historical data is limited.

Amazon monthly budget management is a feature that is very appreciated among Amazon advertising agencies.

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Force Product Visibility Mode

At the moment you enter in a new market or promote a new product, you probably don’t have enough historical data for the algorithm. Therefore, the Force Product Visibility mode is ideal for new market entries, product launches, and keyword ranking enhancement.

It is particularly useful when launching new campaigns or products, as it provides a controlled environment for data collection and products’ initial visibility by running a fixed bidding strategy. As historical data accumulates and more insights are gained, you can then make informed decisions to boost product’s share of voice and transition to other strategies after, such as ACOS target mode or monthly budgets mode.

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Conclusion

If you want to maximize the potential of your Amazon PPC performance, m19 can help you reach your ACOS goals effortlessly with the ACOS Target Mode, navigate budget constraints seamlessly with the Monthly Budget Management, and launch new products or promote in new market with Force Product Visibility Mode. m19 empowers your Amazon advertising strategy with excellent PPC algorithmic modes, ensuring success across diverse objectives and product groups.

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