Amazon is a crowded marketplace with millions of product options. It is becoming extremely difficult for advertisers to devise a smart marketing strategy that separates them from the crowd. Advertising product variations can be a solution for advertisers in this regard.
What is Product Variation?
Similar products presenting slightly different features, such as size, color, or flavor, are called product variations. In other words, a vendor sells multiple items considered variations of a single product. For such items, Amazon allows you to create a grouped listing that showcases all the product variations on one product page.
For example, let’s say you are selling kids’ sippy cups in four different colors: blue, red, yellow, and orange. You can create a single group for all these variations under the name “Sippy Cups for Toddlers.” Depending on the product variants, you can create variations based on different attributes, such as size, color, flavor, smell, etc.
Why Segregating Products According To Their Variations Is Important?
Amazon is a vast platform with a great many options. Like a skilled salesperson, after the potential customer’s attention, the seller would want to show them all the relevant product options instantly to help the customer make an informed purchase decision.
Amazon product variations let buyers know that they can get the same product with different attributes. Product variations make it easier for the seller to showcase all their offerings in one place. And also makes it easy for buyers to make an informed decision.
How to Advertise Product Variations Using Amazon PPC Services?
To effectively market the product variations and drive traffic to the product pages we have categorized PPC marketing into 4 types:
- Campaign for high-search volume keywords
- Campaign for super-relevant long-tail keywords
- Auto campaigns for the phrase and broad match keywords
- Campaign for ASINs of different variations
Let’s discuss each of them in detail:
1. Campaign for high-search volume keywords:
To run a campaign on high-search volume keywords, firstly, we need to identify the main keywords against the product variation, which are seizing the top spots. To do so, take advantage of brand analytics and review shared data of the competitors.
The high-performing keywords’ brand analytics data lets us know the top revenue-generating ASINs. Further, jot the data down to the top-performing variation ASINs that are ranked on top. For instance, the blue sippy cup is generating more sales than other colors.
Brand analytics data, revenue, and review share data enable sellers to pick one high-performing variation and focus all the ranking efforts on that one variation with the help of high-search volume keywords.
2. Campaign for super-relevant long-tail keywords:
In type one, we targeted the high-search volume keywords derived from brand analytics and reviewed shared data. In such campaigns, only one SKU is involved. However, in this second type of campaign, the advertisers run separate campaigns for each variation. For which the advertiser will find variation-specific keywords. For example, the seller will have a separate campaign for blue Sippy cups and another for pink Sippy cups.
3. Auto campaigns for the phrase and broad match keywords:
According to my experience, this particular type of campaign has worked wonders for the product variations PPC. We have generated great profit for several of our customers using this technique. For this campaign, the marketers use auto-phrase and broad-match keywords by targeting all the SKU variations.
Broad match keywords feed a great amount of data to the amazon algorithm, enabling the search engine to capitalize on the profitable keywords to deliver better ACOS (Advertising cost of sales).
In this specific type of campaign, the advertiser targets all the SKU variations together to drive better sales through improved visibility.
4. Campaign for ASINs of different variations:
The fourth type of campaign involved ASIN targeting. To run this campaign, the marketers fetch all the ASINs related to a specific variation and create a campaign for their particular ASIN against competitors’ SKUs.
For instance, Red Sippy Cups ASIN will be running against competitors’ Red sippy Cup SKUs.
When There Is a Great Number of Variations?
You must be wondering what one will do when there is a great number of variations, let’s say 10 variations of a single product. For this, the best approach is to implement the loss leader concept.
A high-performing variation is a leader, and the rest are the followers that benefit from the traffic coming to the best-performing variation. The best practice is to find the best-converting variation, leverage brand analytics, and review shared data.
After finding the best-converting variation, set a low price for this particular variation compared to your competition. This practice will provide you with a competitive edge and help you in gaining a significant chunk of traffic.
However, you can increase the prices for other variations to compensate for the compromised profit margin on the best-converting variation. This practice has helped several sellers to maintain their ACoS, increase their profit margins, and gain quality reviews.
Wrapping Up
You can grow your business by using product variations in Amazon listings. Strategically selecting your themes and smartly allocating the variations can help draw in clients and deter them from choosing your rivals.
You may increase sales, conversion, and visibility by offering different product options. So, are you prepared to modify your Amazon listing?
The Click-Through Rate (CTR) is the Amazon metric that most effectively measures a keyword's relevancy in Amazon PPC campaigns. CTR is the ratio of clicks to impressions—how often people click on your ad after seeing it. A higher CTR typically indicates that the keyword is relevant to what shoppers are searching for, as more users are interested in your ad based on the keyword used. If a keyword is relevant, it should generate more clicks relative to the number of times the ad is shown.
Choosing the right product variation to promote in your Amazon PPC campaigns is key to maximizing both visibility and sales. Since different variations—like color, size, or style—appeal to different customer needs, selecting the most suitable one can make a big difference in your ad performance. Here’s how you can decide which variation to focus on: • Look at Sales Data: Start by checking which variation has the highest sales and conversion rates. If a certain version of your product consistently sells well, it’s a strong candidate for your PPC campaign, as it’s already resonating with customers. • Consider Profit Margins: Focus on promoting variations with higher profit margins. By doing so, you’ll ensure that the money you spend on ads doesn’t eat too much into your profits, leading to a better overall return on ad spend (ROAS). • Monitor Customer Demand: Take a look at your keyword search reports to see what customers are searching for. If a variation aligns well with high-demand keywords, it’s more likely to perform well in your ads and attract relevant shoppers. • Check Your Inventory: Always ensure you have enough stock for the variations you plan to promote. There’s nothing worse than running out of stock for a product you’ve just spent time and money advertising! • Assess Organic Ranking: Variations with better organic rankings often perform better in PPC campaigns. Since they’re already visible and trusted by shoppers, promoting them through ads can boost both paid and organic sales. • Account for Seasonality and Trends: Pay attention to seasonal trends or specific variations that are popular during certain times of the year. Promoting a variation that’s currently trending can help you capture a surge in demand. By focusing on these areas, you can confidently choose the variation that will deliver the best results in your PPC campaigns, ensuring your ad spend goes to the product with the most potential to drive sales!
Yes, you can manage bids for each product variation separately in Amazon PPC campaigns. When running ads for product variations, you have the flexibility to set individual bids for each variation by organizing them into separate ad groups or campaigns. This allows you to have more control over your ad spend, as you can adjust the bids based on each variation's performance. For example, if one variation is performing better in terms of clicks and conversions, you can increase the bid to gain more visibility. On the other hand, for underperforming variations, you can lower the bid or even pause the campaign to avoid wasting budget. By managing bids separately, you can optimize your PPC campaigns more effectively, ensuring that your advertising dollars are spent on the variations with the highest potential to drive sales.
In Amazon PPC ads, product variations appear as individual listings under a shared parent listing. These variations can differ by attributes like size, color, style, or other options. When you set up an ad campaign, you can choose to promote specific product variations rather than the entire parent listing. Each variation is treated as its own unique product within the ad, meaning customers will see only the specific version you’ve selected to advertise. For example, if you’re selling a T-shirt in different colors, you can promote just the red version in your ad. Depending on your campaign type (manual or automatic), Amazon may show one or more of these variations based on what it determines to be the most relevant for the customer’s search. This way, the variations best aligned with customer needs are prioritized, improving your chances of conversion. Promoting specific variations gives you better control over which products are featured and allows you to tailor ads to match customer preferences more effectively.
Allocating budgets effectively for product variations in Amazon PPC requires a strategic approach to maximize your return on ad spend (ROAS). Here’s the best way to allocate budgets: • Analyze Historical Performance: Start by reviewing the performance data of each product variation. Focus on metrics like sales volume, conversion rates, and cost-per-click (CPC). Allocate more budget to variations that have historically performed well and generated higher sales. • Set Priorities Based on Profit Margins: Prioritize variations with higher profit margins. If a variation provides a better return on each sale, it makes sense to allocate more budget to it. This helps in maximizing your profitability while running ads. • Consider Inventory Levels: Ensure you have adequate stock for the variations you plan to promote. If a variation is running low on inventory, it might not be wise to spend heavily on ads for that product, as it could lead to missed sales opportunities. • Use Data-Driven Insights: Use Amazon’s PPC reports to identify which variations are generating the most clicks and conversions. Adjust your budget allocation based on this data, increasing spend for high-performing variations and reducing it for underperforming ones. • Test and Adjust: Start with a balanced budget allocation and monitor performance closely. Be prepared to adjust budgets based on real-time results. If you see one variation performing better than others, consider reallocating more of your budget to it. • Factor in Seasonality and Trends: If certain variations are seasonal or trending, adjust your budget to capitalize on these trends. For example, if a specific color or style is popular during a particular season, increase the budget for that variation to capture more sales. By following these steps, you can ensure that your budget is effectively allocated to the product variations that offer the best potential for driving sales and maximizing your ad spend.
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