What to Consider When Hiring an Amazon PPC Expert Agency: 7 Key Questions to Ask
Amazon has become a crucial platform for businesses aiming to thrive in the online market. With the increase in competition, effective advertising has become a necessity rather than a choice. PPC advertising is one such tool that could skyrocket your product sales on Amazon. However, managing Amazon PPC ads requires expertise, and that’s where specialized agencies step in.
But how do you ensure you’re picking the right one? In this blog post, we will explore the critical questions you need to ask before hiring an Amazon PPC agency. Let’s get started.
Key Questions to Ask Your Amazon PPC Expert Agency
Amazon PPC agencies are professional teams that specialize in managing and optimizing your Amazon advertising campaigns including Sponsored Products Ads, Sponsored Brand Ads, Sponsored Display Ads, and sometimes even Amazon DSP. However, choosing the right agency among the multitude of options can be difficult. To make the process easier for you, here are some key questions to ask your agency to ensure profitable PPC campaign management:
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Does the agency have sufficient bandwidth for running your campaigns?
When considering an Amazon PPC agency, it’s natural to focus on evaluating their experience and expertise. However, there’s another crucial aspect that often gets overlooked – Bandwidth. There have been instances where Amazon sellers have hired top-rated agencies only to discover that their ad campaigns were not given the priority they expected, or communication with the agency became challenging.
To avoid this from happening, ensure the agency has the bandwidth to manage your campaigns effectively. It’s advisable to discuss and specify in the contract the exact amount of time they will dedicate to your campaigns and the frequency with which they will provide updates.
Many agencies have the prestige but don’t have the time. Sometimes they just work very slowly and if you are looking for agility they can’t always deliver.
What Does Their Pricing Structure Look Like?
Pricing structures among Amazon PPC agencies can vary significantly, with some charging a percentage of your ad spend, others offering a flat monthly fee, and some providing bundled packages with additional services.
A percentage-based ad spend model might seem Like the right choice at first, as it seems your fee grows naturally in tandem with the success of your business. However, it comes with several caveats. Firstly, it provides less clarity into how much you spend on marketing. Some months will naturally entail higher spend then other and thus your total marketing budget will fluctuate a lot. Secondly, the agency benefits from large ad spend, and might try to constantly increase ad spend to increase their own cut.
Opting for a flat fee may seem like an over simplification of a very complex service, but as long as it’s clearly defined what the flat fee entails and that fits your needs then you’re good. You can reassured and predict exactly how much your management fee will be and that the agency has no interest in pushing up spend.
Lastly, bundle packages can be highly attractive as they typically include a range of services beyond basic campaign management. This can include keyword research, ad copywriting, competitor analysis, and even creative design for your listings. While bundles offer convenience, it’s essential to scrutinize them carefully to ensure that they do not include services you don’t actually need, which could result in overpaying for unused or redundant features.
Can You Communicate Directly With the Analyst(s) Working on Your Campaigns?
During your initial discussions with the agency you’re considering, you’re likely to meet a team of experts who will discuss campaign strategies and ways to eliminate wasted ad spend. However, it’s essential to be aware that these strategists might not be the same individuals responsible for the day-to-day management of your campaigns. There’s a possibility that your campaigns could end up being handled by someone with less experience than initially promised.
To ensure the success of your advertising efforts, it’s crucial to insist on maintaining direct access to the analysts responsible for executing your campaigns. This direct line of communication ensures that you can have meaningful discussions about your campaign’s performance with the person who has an in-depth understanding of your specific advertising initiatives.
What Kind of Customization Do They Offer?
No two businesses are identical, and your Amazon PPC campaigns should reflect your business’s unique objectives and challenges. Ask the agency how they plan to tailor their strategies to meet your specific goals. This could include custom reporting, specialized ad types, or unique targeting strategies.
How Will They Handle Your Account in Crisis Situations?
In times of crisis, whether it is a sudden dip in performance due to negative keywords, a spike in ad spend, or negative reviews, swift action is imperative. It’s crucial to understand how the agency identifies, plans to handle, and communicates during these critical situations.
Moreover, ask for examples from past experiences where they successfully navigated a crisis for their clients. Timely and effective crisis management can make a significant difference in containing and resolving issues before they escalate.
What Metrics Do They Focus on for Success Measurement?
When considering an Amazon PPC agency, understanding their perspective on success metrics is crucial as it forms the base upon which your campaigns will be analyzed, optimized, and strategized. It’s crucial to understand whether their focus primarily revolves around solely ad-related metrics such as Average Cost of Sale (ACoS), Click-Through Rate (CTR), and Conversion Rate (CVR), or if they mainly have in mind the metrics that mean the most to you as the business owner such as bottom-line profitability, Return on Ad Spend (ROAS) and increasing organic-to-PPC sales ratio (i.e. proving that the ad spend is contributing to increased organic ranking). Many agencies only have a lot of data analysis background but never actually managed an actual FBA business, so they lack a holistic approach to running ads.
Furthermore, inquire about their process of setting and adjusting these KPIs. How do they establish baseline metrics? Do they have a mechanism to adjust KPIs as market conditions evolve and your business grows?
Additionally, discuss their approach towards newer or less common metrics. Amazon is constantly introducing new metrics to help advertisers understand campaign performance better. Make sure to ask the agency how quickly it adapts to these changes, and how they incorporate these metrics into their analysis and reporting. Staying ahead of the curve in terms of metrics can ensure successful PPC campaigns.
How Often Will They Communicate With You?
Effective communication is the cornerstone of a successful partnership between you and your Amazon PPC management agency. To determine whether the agency is reliable, start by exploring its standard communication frequency. Do they have daily check-ins, weekly updates, or perhaps monthly reviews? Next, ask about the nature of these communications. Will these be brief email updates, comprehensive reports, or in-depth strategy sessions? Also, consider the channels of communication they utilize. While emails might suffice for routine updates, video calls or in-person meetings might be more suitable for strategy discussions or reviews.
Furthermore, discuss the protocol for ad-hoc communications. There will be moments outside of the planned touchpoints when questions arise or critical updates need to be shared. How fast can you expect a response in such situations? And during which hours can you expect to reach them for urgent matters?
Lastly, it’s beneficial to understand how they handle feedback. Open channels should not just be for sharing successes but also for addressing concerns or areas of improvement. Their willingness to accept feedback and the subsequent actions taken can speak volumes about their commitment to the partnership.
Choosing the right Amazon PPC agency is crucial for your business’s growth. By asking these questions, you ensure transparency, commitment, and a genuine partnership. Remember, it’s not just about hiring an agency; it’s about forming a collaboration that leads to success.
Looking for expert assistance in managing your Amazon advertising campaigns? Enso Brands offers a comprehensive range of one-stop Amazon PPC management services tailored to optimize your performance and maximize your potential on the platform. Contact us today and discover how we can help your business thrive on Amazon!
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