Summary
Arek, one of my Amazon PPC students, was able to decrease weekly Amazon PPC spend by $226 and decrease ACoS by 5.76%.
That might not seem like much but that’s almost $11,000 per year in savings.
And these results should improve even more over time.
He did this after we were chatting about the Amazon PPC point of diminishing returns.
To put it simply, there’s a point where Amazon PPC stops contributing to overall sales growth and starts to decrease profit margin by eating into total sales.
This can even happen with low ACoS keywords and product targets.
I’ve seen it happen over and over again.
After we chatted about this point of diminishing return I told him how to make a minor PPC budget tweak to help decrease the TACOS.
Here’s the tactic.
Find your baseline TACOS.
Then decrease that number by 1% per week.
I’ve had several other Amazon PPC students test this and get even better results.
