Hiring an Amazon PPC Agency? Ask These Questions

Posted at Jun 27, 2019 10:18:00 AM by THAT Agency | Share

Amazon may trail behind behemoths Google and Facebook when it comes to ad revenue - but the retail giant is chipping away at their leads. Amazon's ad revenue grew by 250% during the third quarter of 2018, up more than a third year-over-year. More consumers begin their shopping sessions with Amazon than with any other site; there is incredible opportunity here. An Amazon PPC agency can help you fully realize it. How do you select the right partner among PPC companies?

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You start with the right questions. But before you even start your search for PPC companies with Amazon-specific experience, ask yourself some critical questions:


  • Do you have sufficient inventory? You want your Amazon Sponsored Products ad campaign to be a success - but this is contingent on whether or not you have adequate product inventory. Will you be able to fulfill orders?
  • Do Amazon ads fit in your budget? With PPC, you pay every time someone clicks on the ads. You need to ensure you have sufficient margin to absorb the cost. A 30%+ margin on products will allow you to do this. If your profit margin is lower, reconsider your pricing, the cost of creating the product, and/or the benefits of advertising.
  • Do you know how Amazon pay-per-click ads work? Do you know how to select keywords? Optimize ads? Write descriptive copy? Do you know how to target audiences? Reduce clicks that don’t convert? If not, it is important to hire a PPC company that can handle these aspects of your campaign while you focus on what you do best.


Ready to engage an Amazon PPC agency? Obviously, experience with Amazon’s ad platform is critical! What else do you need to ask them?


  • Do you have the time and capacity to handle our needs? All the experience and insight in the world does you little good if the agency has no time to take you on as a client. Your campaign needs attention from their team, and you need regular contact and interaction from a dedicated point person. Ask how much time will be devoted to your campaign on a weekly/monthly basis.
  • How does pricing work? Pricing structures vary widely; some agencies assess a fee based on the percentage of ad spend; others give you a flat rate; and still others have a bundle with different services. Think about what you really need and will use, and clarify terms of payment so there are no surprises down the road.
  • How do you report out on progress? Most agencies will give you a weekly or monthly report that looks at key metrics. Great! But… what do you do with that information? Look for a partner that will also provide actionable insights and suggestions in terms of your next steps.
  • What does “optimization” mean? Campaign optimization is complicated - but that doesn’t mean your PPC company should not explain it in clear and transparent terms. What, exactly, are they doing to optimize your Amazon ads? They should be able to provide a specific Amazon ad strategy complete with the actions they are taking on your behalf.


An Amazon PPC agency can help you tap into the incredible potential this platform holds. If you have questions, do not hesitate to contact the experts at THAT Agency. Your success is our top priority.


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