Amazon Ad Strategies for the Decision Phase of the Customer Buying Cycle

Each stage of the Customer Buying Cycle (CBC) requires a different set of Amazon advertising strategies to attract and influence online shoppers. Top sellers provide prospective customers with different interactions depending on which stage of the cycle they’re in. 

In Part 3 of our series on how to leverage Amazon advertising at each stage of the Customer Buying Cycle, we’re going to look at the Decision Phase and effective ad strategies for attracting potential customers to your products.

The Customer Buying Cycle consists of:

What is the Decision Phase?

The Decision Phase is the third stage in the Customer Buying Cycle, which is preceded by the Discovery Phase and the Consideration Phase. 

In this stage, online shoppers are ready to pull the trigger and make a purchase. They are making their decision about which product/solution/brand is best for them.

During the Decision Phase, the focus is now on the keywords and ASINs that are highly relevant to what your potential customer wants.

 

 

During the Decision Phase… 

• Determine which keywords and ASINs are high impact – generated 10 or more profitable orders and have been statistically validated to deliver sales. You’ll want to aggressively pursue them. It is recommended that you uncap your ad spend budget to allow Amazon to give you maximum exposure at this stage.
• Strive for having your ACoS at breakeven or better.  Higher ACoS is acceptable depending upon your campaign objectives, which might include cross-selling, or introducing a new product line to your customers.
• Expect the Conversion percentage to be higher because you are seeking high placements (Top of Search).  It also will be higher because you are going after a much more finely tuned audience. 
• Expect your CTR (click through rate) percentage to be higher because you are focusing upon relevant audiences. 
• Avoid having a high CPC (cost per click). In certain situations (i.e. heavy competition for a keyword) this may be unavoidable.
• Impressions will be lower in the Decision Phase due to a limited amount of keyword and placement volume because you are going after the very Top of Search with your ads.  
• Track New to Brand Orders percentage, which will allow you to ascertain how many new orders are a result of your Ad Spend.

Types of Ads Used During the Decision Phase

Sponsored Products 

Manual Highly Targeted Campaign

Breakout Campaign – consists of using a single keyword or target in a campaign.  This gives you the ability to…

• perform bid optimization (Top of Search Bid Modifier) on the placement of your chosen keyword ensuring that your ad appears at the Top of Search.
• use Exact Match to place highly targeted keywords and targets into individual campaigns in order to show up at the Top of Search.
• harvest Search Terms or ASINs with low ACoS, that have generated five or more orders, and place them into their own campaigns.

Sponsored Brands

Highly Targeted Campaign

• Match/Align image headline keyword – then direct traffic to a product subpage that is specific to that keyword/search term.  
• Automated Bidding – this feature (when toggled to the ‘off’ position), tells Amazon that you do not want any visibility for a particular ad below Top of Search.

Sponsored Display

Audience: Product Targeting – these will appear on Amazon using a CPC model. 

• Target ASINs that have generated five or more orders, with a desirable (30% – 40% or less) / profitable ACoS. 

Navigating the Decision Phase

The research and evaluation are over. The online shopper has decided on the product they want to buy.  At this stage… 

• create a clear pathway to purchase – position your brand so that when the shopper searches for a path to purchase, they find it quickly. Follow best practices strategies for Amazon advertising and be sure to optimize your listing with target buyer search terms.
• give shoppers a more comprehensive overview of what it is that they wish to purchase. Showcase benefits…why your product is the solution they have been searching for.
• make it as easy as possible for the shopper to buy from you – one factor that may stop online shoppers from buying from you is difficulty in purchasing and receiving the product itself. Have clear CTAs throughout your listing, and if possible, ensure your product is available for Prime shipping.
• present additional reinforcements – these consist of great reviews, testimonials, discounts, etc. that will lead to purchases
• avoid negative reinforcements – respond to bad reviews in a positive manner, stating any money back guarantees you have. Avoid additional expenses, barriers, shipping fees, etc., which will cause online shoppers to not buy
• give shoppers a sense of security – if you have a guarantee, state it (your fifth bullet point is a great place for this)
• upsell additional products or features – coupons are a great way to achieve this

Understanding what online shoppers want at each stage of the CBC (like the Decision Phase) and then matching your Amazon advertising to that stage can:

• improve your conversion rate dramatically. 
• help to keep you from annoying shoppers who might not be ready to buy.
• keep existing customers loyal to your brand over your competitors, allowing you to capture a larger portion of those customers over time.

Does your Amazon advertising engage shoppers at every stage of the Customer Buying Cycle? If the answer is no (or perhaps you’re unsure), schedule an exploratory call with us to discuss having Entourage manage your Amazon advertising. 

Let us help make your brand a household name.