ACOS skyrocketed! Amazon advertising bids were automatically raised by 50%!

ACOS skyrocketed! Amazon advertising bids were automatically raised by 50%!


Amazon’s Spring Sale is about to start. Recently, all sellers need to pay close attention to one situation: Amazon Ads may automatically increase bids by 50% by default! !


In fact, this change did not occur without reason. In order to prepare for the traffic peak during the spring promotion, Amazon enabled the "Increase bids for high-traffic days" rule by default!


As long as the seller creates an advertising campaign, Amazon Advertising will set the default bidding rules in the background without obtaining your confirmation!


As shown below, if the option in “Automated tasks using rules” in your campaign is checked by default (usually it is checked by default), the bid will be automatically increased by 50%.



To uncheck this option:
1. Amazon Seller Backstage > Advertising > Campaign Management > Select the corresponding campaign;
2. Click on a specific campaign > Go to the details page and find the "Additional changes" interface >
Go to the “Automated tasks using rules” section;

3. Find the "Increase bids for high-traffic days" option and check whether the box in front of this option is checked by default.

The triggering mechanism may be the following factors


1. Conversion likelihood assessment: When sellers choose the "Dynamic Bidding - Increase and Decrease" strategy, the Amazon system will evaluate the likelihood of ad clicks converting into sales based on real-time data.


If the system determines that a click on an ad displayed in other search results and product page ad slots is highly likely to result in a sale, it will trigger an automatic bid increase mechanism, which can increase the bid by up to 50%.


2. Ad position factors: In other positions of search results and product page ad positions, if the conditions of high conversion possibility are met, the bid will be automatically increased by 50%.


For example, if a seller bids $1 for a certain keyword and adopts the "dynamic bidding - increase and decrease" strategy, the bid in these ad positions may be automatically raised to $1.5.


It will overlap with time-sharing bidding


If the seller sets other bidding adjustment strategies such as dynamic bidding, time-sharing bidding, and advertising space premium at the same time, they may overlap with the default rule of increasing bids by 50% during the Spring Promotion.


For example, in the dynamic bidding "increase and decrease" mode, when the system determines that real-time ad clicks are likely to convert into sales, the bids for other search results and product page ad positions will be increased by up to 50% during normal times. During the spring promotion, the bids will be increased by another 50% by default.


If the seller uses a time-sharing bidding strategy, here are some suggestions:


During peak traffic periods , the increase ratio of time-sharing bidding can be appropriately reduced to avoid the final bid being too high;
During low traffic periods , you can decide whether to continue automatically raising bids or lower bids appropriately to save costs based on actual conditions.


For example, during the peak traffic period between 8pm and 10pm, the original plan was to increase the time-sharing bidding by 30%. Taking into account the automatic increase in bidding by 50%, the time-sharing bidding increase ratio can be adjusted to 10%-15%.


Some suggestions for adjusting the strategy


Suggestion 1: If you use a dynamic bidding strategy, you should be aware of the combined effect of the default 50% bid increase to avoid bidding too high in the end . If you find that the bid is too high and the cost is out of control, you can consider changing to a fixed bidding strategy or adjusting the parameters of the dynamic bidding.


Suggestion 2: Adjust the bid adjustment percentage of each ad position based on the performance of the different ad positions.
For example, if the ad space at the top of the search results has a good conversion effect, you can increase the premium of the ad space appropriately based on the default 50% bid increase; if the ad space on the product page does not perform well, you can lower its premium or suspend its delivery.


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