Which bidding strategy is recommended for new products on Amazon?

(Amazon provides three bidding strategies)

1. Dynamic bidding – only lower

2. Dynamic bidding – raising and lowering

3. Fixed Bid

Whether an ad can be displayed is based on BID + listing weight + historical advertising performance. It is not determined by a single bidding method. The bidding strategy and location strategy only determine the BID range of your ad.

For new products, it is recommended to use a fixed bidding method, and the bid BID should be slightly higher than the system recommended price. If the price is advantageous, you can first add the details page, or directly use positioning advertising.

(Note that BID is not equal to CPC. If there is no bonus on fixed bidding, CPC is generally lower than BID. You can run for a while to see if CPC has dropped. Pay attention to the position report.)

The definition of fixed bidding is that it will not adjust the bid for you based on your probability of selling, that is, if you bid $1, you will get the corresponding position. Regardless of your conversion rate, click-through rate, etc., you will fight for the position.

This applies to the situation where new products are advertised in precision groups. Because new products have no weight, it is difficult for the system to determine the so-called "possibility of sale" and adjust the bid to a suitable price for you. It is more likely to assign you a position with low exposure and display, so you need to artificially raise the ad position to drive the increase of the natural position.

In short, fixed bidding is not based on product period, but is used to increase product weight. It is more efficient to lower the bid price in general situations, that is, when there is no target ad position, and when the ad is in a phrase or broad context.

Don’t try to raise or lower the bid easily. According to my experience, they will usually only raise your bid, and the advertising fee will easily go up. In our actual operation, it is enough to fix the bid and only lower it.

- END -

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