Amazon PPC Management: Why More Sellers Are Outsourcing to Agencies - BellaVix

Amazon PPC Management: Why More Sellers Are Outsourcing to Agencies

Amazon sellers must maximize every opportunity to boost visibility and drive sales. The competition drives them to, and they can’t afford to commit too many mistakes. 

Considering this, most sellers resort to Amazon Pay-Per-Click (PPC) advertising, a great choice to get your product put there and fight for clicks. But managing PPC campaigns is more complicated than it seems and is easy to be rapidly overwhelmed. 

That’s where outsourcing your accounts comes into play. This guide provides an overview of Amazon PPC outsourcing to help you understand the process, benefits, and best practices of partnering with a specialized agency.

What Is Amazon PPC?

This is a “cost-effective” strategy, which means you only pay when someone clicks on your ad… and the amount you pay is the bid you placed earlier. 

The higher the bid, the higher your ad’s chances of appearing to potential shoppers. This is where sellers usually get very frustrated, as it’s not easy to recognize exactly when to bid higher amounts. 

The chances of losing money are also higher for inexperienced sellers. For example, you can be on the right track by having your ads seen by a great number of people, but bid on irrelevant keywords that lead to clicks that don’t convert into sales. Or you can fall into a common mistake: Not excluding negative keywords, as with these search terms ad spend gets wasted on useless traffic.

Why Consider Outsourcing Amazon PPC?

Outsourcing PPC management to a specialized agency offers several advantages.

First, agencies dedicated to Amazon advertising stay updated with the latest trends and algorithm changes, which happen all the time. Staying ahead of the game requires specialized knowledge, and agencies can translate this into more effective keyword targeting and bid adjustments to your benefit.

Yes, there is a fee involved. However, outsourcing can often be more economical than maintaining an in-house team. And the biggest win is time saving.

Managing Amazon PPC campaigns demands constant monitoring and adjustments. Outsourcing frees up your time, allowing you to focus on other relevant business areas.

How to Choose the Right Amazon PPC Agency

When selecting an agency, look for a proven history of success. Ask for case studies or examples of past campaigns that prove positive results. A reliable agency should be transparent about its performance metrics and strategies.

Communication in these professional relationships is incredibly important. Choose an agency that offers regular reporting and has channels open for any doubts. Whether setting campaign objectives or reviewing performance data, you should view your agency as an extension of your team. For example, at BellaVix, we offer Amazon account setup, inventory management and reporting through our Seller Account Management Service.
Note: Ensure the agency has robust data security measures and is willing to sign confidentiality agreements to protect your information.

Pricing models

Here are the usual pricing model Amazon agencies charge their customers:

  1. Hourly rate – They charge you a certain amount per hour. This usually ranges from $50 to $200 per hour. It’s a great approach to smaller businesses.
  2. Flat monthly Fee – Ranging from $500 to $5.000, depending on the services you hire. 
  3. Percentage of Ad Spend – Some agencies charge you from 10% to 20% of your total ad spend.

Here’s a comparison between outsourcing PPC and managing accounts by yourself:

Aspect Self-management Outsourced PPC
Control Full control over campaigns and strategy Reliant on external professionals
Expertise Limited by one’s own capabilities Access to specialized knowledge
Resource Investment High, requires continuous training Lower, the agency manages the workflow
Costs Overhead costs if full-time employees are needed A fee-based model by hourly rate, flat monthly fee or Percentage of Ad Spend

 

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How to take advantage of Warehouse

Tips for building a trustworthy relationship with an Agency

Start by establishing what you aim to achieve with your Amazon PPC campaigns. For agencies, it is much easier to work with a client with clear objectives. Here’s how:

Creating a Roadmap

Develop a detailed plan that includes:

  • Milestones Short-term and long-term goals.
  • Timelines Define the expected time frame for achieving each milestone.
  • Budget Allocation Determine how much you’re willing to invest and how that budget will be distributed across campaigns.

You’ll discuss this roadmap with your Agency and agree on the path you will follow.

Communication

A successful partnership is built on transparency. Communicating your goal clearly will make scheduling regular updates and reports with your agency much easier. Remember agencies have many clients, so it’s possible for their responses to be delayed. Discuss these kinds of issues with them to ensure clear and efficient communication.

Feedback

Prioritize feedback between you and your agency. This means you’re free to offer input on improving the exchanges and achieving better results with more refined strategies. Discussing improvements will be beneficial for future campaigns too.

Conclusion

You can learn more about Amazon PPC outsourcing and other Amazon and Walmart subjects with our blog posts. If you want to hire an Amazon agency, don’t hesitate to contact the BellaVix Team so we can help you grow your business!

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