What is the formula for Amazon ad click-through rate? Why is it so low?

What is the formula for Amazon ad click-through rate? Why is it so low?

Now you can learn about Amazon advertising. When you open a store on Amazon, although cross-border e-commerce platforms are often not so fierce, you still need to find ways to promote it. What is the formula for the click-through rate of Amazon advertising?

1. What is the formula for Amazon advertising click-through rate?

Amazon Amazon's ROI calculation formula is: income/investment × 100% or ROI = cost reduction + revenue growth/total cost. E-commerce ROI = cost/sales amount. E-commerce sales amount = click * conversion rate * customer unit price cost = click * average click cost E-commerce ROI = customer unit price * conversion rate / average click cost.

Why is the click-through rate of Amazon ads so low?

1. Product details page

The calculation of the backend ad report impressions includes visible impressions and invisible impressions. Invisible impressions that appear too far back in the ad slot on the detail page will also be counted in the total impressions. When your product has a high impression rate but a low click-through rate, it is very likely that your product appears in an ad slot too far back on the product detail page.

The ad space on the product details page is shown in the figure below. There are 35 pages of ad space in the first row, and 27 pages of ad space in the second row. When your ad appears on the first page, the click-through rate is definitely higher than that on the 20th page. No customer will even turn 30 pages to see your product. In other words, if your ad space appears too far back in the 20th or 30th page, no one will click on it.

2. Search Results Page

Search results page ads are ads that appear when customers search for keywords on Amazon. Ads that appear at the top of the search page are more likely to be seen and clicked by customers. Ads that appear at the bottom of the search page are also counted as exposure even if customers don't see them. In general, the click-through rate and conversion rate at the top of the search page are higher than those at other positions; the click-through rate of search page ads is higher than that of product pages, and the bid is also higher.

Everyone should know the formula for click-through rate of Amazon ads. Now, you can choose to place ads on Amazon. Before placing ads, you first need to understand the relevant skills of this promotion method!

Recommended reading:

Why are Amazon's targeted ads not showing? How to optimize?

What does Amazon ABA ranking mean? What does the data consist of?

What is the normal click-through rate for Amazon ads? How to calculate it?

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