Basics: How the Ad Optimizer works

Basics: How the Ad Optimizer works

Simply select the ASINs to be advertised and specify the Target ACoS values and your budget for a group of campaigns – the AI takes care of everything else. The automation of your Amazon Advertising campaigns is based on Ad Optimizer’s ongoing analysis and evaluation of the latest performance data. The built-in cost-safeguards ensure that your campaigns stay within budget limits, while the AI ensures that your resources are allocated perfectly and efficiently within one portfolio. You receive the KPIs and results from your Amazon Advertising campaigns (performance, keywords) in informative reports that can be further processed by you and your company.

1. Customer input

  • Customer selects ASINs to be managed by metoda in Sponsored Products
  • Customer defines TACoS values per Sponsored Product
  • Customer provides necessary input for Sponsored Brands (products, landing page, logo, headline)
  • Customer defines TACoS values per Sponsored Brand
  • Customer provides necessary input for Sponsored Display (products, logo, headline)
  • Customer defines TACoS values per Sponsored Display
  • Customer groups campaigns into portfolios
  • Customer determines the overall budget and splits it into the different portfolios

2. Initial data analysis

  • Ad Optimizer identifies relevant, Amazon specific keywords per ASIN; keywords include different kinds of relevant keywords (branded, generic and competitor keywords) that are searched often in the product's category
  • Ad Optimizer calculates initial CPC bids per keyword and campaign based on expected conversion rate, TACoS and product price
  • Ad Optimizer allocates a daily budget per portfolio, and assigns a daily budget to each campaign. The campaign daily budget is optimized on a daily level, based on the campaign's performance vs. its goal.
  • The portfolio's daily budget is re-calculated daily, depending on how much budget is still left in the budget period. This ensures that the budget lasts until the end of the period.

3. Initial setup

  • Sponsored Product campaigns are set up on ASIN basis, i.e. each campaign contains one advertised ASIN (according to our best practices)
  • Ad Optimizer launches Sponsored Products (both with keyword, product and/or automatic targeting), Sponsored Brands (with keyword and/or product targeting) and Sponsored Display (with product or audience targeting) in an automated way
  • The campaign setup perfectly combines customer input and initial data analysis to achieve highest campaign performance

4. Campaign optimization

  • Ad Optimizer adjusts the CPC bids continuously to meet your TACoS settings and reallocates budget intelligently to campaigns with good performance, while reducing spend on bad performing campaigns
  • Ad Optimizer learns from auto campaigns and adds missing relevant keywords to SPs with keyword targeting
  • The AI algorithm behind Ad Optimizer improves constantly to guarantee the best possible results for our customers

5. Campaign analysis

  • Ad Optimizer provides a detailed campaign reporting with all relevant KPIs on a daily basis 
  • Ad Optimizer monitors the performance of each campaign (esp. in terms of the conversion rate) to derive further insights
  • Ad Optimizer shows the relevant search terms based on impressions, clicks, and conversions on ASIN level to improve content and organic visibility (SEO)