Automatic vs Manual Amazon PPC: Which Should You Use? - #258

Samuel (0:00)

Automatic and Manual, Amazon PPC campaigns serve different purposes. Automatic targeting helps you discover relevant shopper searches and products, while manual targeting gives you more control over keywords, ASINs, categories, and bids. In this episode, we'll explain how each campaign type works, when to use them, how they can work together, and common mistakes to avoid.

Welcome to the next Amazon Top Seller Podcast. Stay updated with the latest Amazon news, and learn the nitty gritty of selling on Amazon through Be Cool's years of expertise in the Amazon world. I'm Samuel, and I'm the host of this podcast, brought to you by the fantastic Amazon experts at Be Cool. Let's start our journey to become the next Amazon Top Seller.

When you create an Amazon sponsored products campaign, one of the first decisions you have to make is whether to use automatic targeting or manual targeting. The basic difference sounds simple. With automatic targeting, Amazon decides which shopper searches and products may be relevant to your ad. With manual targeting, you choose the keywords, products, product identification numbers, or categories you want to target. But that does not mean one option is always better than the other.

Automatic campaigns can help you discover new opportunities with less setup. Manual campaigns give you more control once you know which opportunities you want to pursue.

For many sellers, the most effective strategy is not choosing one campaign type and rejecting the other. It is understanding the specific job each campaign should perform.

In this episode, we will explain how automatic and manual Amazon campaigns work, what each campaign type is best for, how they can support one another, and which common mistakes you should avoid. Let's get started. Automatic and manual campaigns in 30 seconds. Here is the quick comparison. In an automatic campaign, Amazon chooses the targeting opportunities. Your ads can appear for shopper searches and products that Amazon considers relevant to your advertised product. Setup is faster, but you have less direct control over each individual target. Automatic campaigns are especially useful for discovery and learning. In a manual campaign, you choose the targets. Those targets can include keywords, individual products, product identification numbers, or categories. Manual campaigns require more input during setup, but they give you more control over individual targets and bids. They are especially useful when you already know which opportunities you want to manage. You can set bids in both campaign types. In automatic campaigns, that includes setting different bids for Amazon's automatic targeting groups. In manual campaigns, you can set bids for individual targets. And in many cases, you should use both. Amazon itself recommends using a mix of automatic and manual targeting instead of treating them as mutually exclusive strategies.

What is an Amazon automatic campaign? In an automatic sponsored products campaign, Amazon uses information about your advertised product and shopping activity to match your ad with relevant shopper queries and products. You do not need to create a keyword list before launching the campaign. This makes automatic targeting one of the easiest ways for a new advertiser to begin collecting data about how shoppers find products like theirs. Amazon describes automatic targeting as a quick way to get started while gaining insights that can later inform your advertising strategy.

How does Amazon automatic targeting work? Amazon divides automatic targeting into four groups, close match, loose match, substitutes, and complements. Close match means your ad may appear for shopping terms that are closely related to your product. Loose match means your ad may appear for shopping terms that are more broadly related to your product. Substitutes are products that shoppers could consider buying instead of yours. Compliments are products that shoppers may use together with yours. Imagine that you sell an insulated stainless steel water bottle. For close match targeting, Amazon might show your ad for a search such as 32-ounce insulated water bottle. For loose match targeting, it might connect your ad with a broader search such as reusable drink bottle. For substitute targeting, your ad might appear near a competing 32-ounce insulated water bottle from another brand. For compliment targeting, your ad might appear near a water bottle cleaning brush or a bottle carrier.

In each case, Amazon determines which searches and products your ad may match with. What are automatic campaigns good for? Automatic campaigns are particularly useful when you want to launch a campaign quickly, discover search terms you did not think of yourself, find product targeting opportunities. Learn how Amazon connects your listing with shopper demand, or gather information before building more controlled manual campaigns. The main value of automatic targeting is discovery. An automatic campaign can show you where demand exists. However, that does not mean every search term or product Amazon matches with your ad will be profitable. That is why your work does not stop after launching the campaign. You still need to review what the campaign discovers and decide what deserves further investment, more control, or exclusion. What is an Amazon manual campaign? With manual targeting, you decide what you want your sponsored product's ads to target. Amazon lets advertisers manually select keywords or products, giving sellers more control over individual targets and their bids. Manual targeting generally falls into two categories, keyword targeting and product targeting. With keyword targeting, you select words and phrases that shoppers may use when searching for products like yours. If you sell an insulated water bottle, you might target phrases such as insulated water bottle, stainless steel water bottle, or 32 ounce water bottle. You can then use broad match, phrase match, or exact match to control how closely a shopper's search needs to relate to your keyword. If you are unsure which terms to target, keyword research and your existing search term data can help you identify possible opportunities.