Still unfamiliar with the new Amazon Advertising Budget Rules?

Amazon has launched a new feature for the Advertising console and has included the budget rules, with them you can increase the budget in the days and hours of high traffic and combine it with performance rules based on the parameters ACOS, CTR or ROAS.

What is Amazon Advertising?

Let’s start at the beginning, and there are still many users who do not know this function.

Amazon Advertising is a pay-per-click advertising platform from Amazon, the largest online retailer.

Advertisers can place ads in different placements, from different targeting options and will only pay when users click on said advertisement.

Due to all these parameters you can reach a more adjusted target for your audience.

Why choose Amazon Advertising over the competition?

Amazon Advertising offers you two forms of advertising, one within the marketplace itself and another in Internet places outside your page, which makes the range of possibilities for your business wide.

It also lets you advertise in different formats like sponsored ads, featured ads, store ads, display ads, video ads, and DSP ads. So it gives you a number of opportunities to showcase your product in different ways and in different places.

New Amazon Advertising Budget Rules

Now that we have done a brief review of what Amazon Advertising provides and offers us, we can talk about the new budget rules that have been implemented.

These are schedule-based which allows you to specify your budget in advance, thereby increasing the chances of a sale and viewing. It also helps to allow customers to keep seeing your ad and not run out of budget.

How does it work and what are its main benefits?

This new rule increases your budget during the range of specific dates that you establish, which is why it is a key factor to advertise in festive periods or such as Prime Day.

To start creating this type of campaign, it is as simple as going to your own manager and filling in all the necessary information.

  1. They help you improve your sales and your campaigns since you can avoid high-performance campaigns and thus make better use of your ad and get a greater number of clicks.
  2. When creating your campaign, Amazon offers you a multitude of examples of others similar to yours to help you launch it.
  3. You can plan the budgets of the campaigns before the festive periods or before a higher traffic, this helps you to have an improvement in the visualizations of your ads.
  4. All this entails less effort for you as a user since it allows you to automate your campaigns.

Advertisers who ran out of budget during 2020 could have generated an average of 18.7% more sales if they had stayed within budget

How do Budget Rules work in Amazon Advertising?

When you already know all the benefits that these new rules give you in your campaign, when starting a new one you will take them into account. But you can also create and update rules for the campaigns that you already had active, this from the Budget rules tab from the campaign manager.

The rules that you activate are analyzed daily to calculate the budget that you will have the next day. If the rules meet the conditions, Amazon itself will increase the budget in quantity or percentage for the next day, this will depend on the option you have selected.

This is all done automatically each day without the need for seller intervention. Campaigns can never run out of budget with this rule as long as the campaign spend is less than the increased budget.

If, on the contrary, the conditions are not being met, the daily budget specified in the campaign will simply be applied.

You also have the option of putting several rules for the same campaign and if they all meet the conditions, the rule with the highest budget increase will be applied.

The importance of Amazon for Década Studio

At Década Studio we are experts in Digital Marketing and Marketplaces. We want to help brands create an updated digital strategy that takes into account the new digital trends that are arising.

If you want to start selling your products online, Amazon is your place and we have a whole team of professionals willing to accompany you in the process.

We take care of the opening and configuration of the account, as well as the management of your product catalogue, optimizing the images of your brand and using keywords in the product sheets and descriptions to improve positioning.

If you want to sell on Amazon, do not hesitate to contact us.

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Get in touch with Década Studio's team of Marketplace specialists