Are you worried about why your Amazon ads are not spending your daily budget? Yes, it is a big concern as Amazon ads are very crucial for all sellers.
Amazon ads improve the visibility of the product which improves the sales in return however If your Amazon ads are not spending the daily budget then you will not be able to achieve product visibility.
Short Answer:
Most Amazon ads will only incur a cost when it has been clicked by the audience. If your product has not been served to the audience then the ad will not incur a cost.
Why are Amazon Ads Not Spending My Daily Budget?
If your daily budget on Amazon advertising has not been spent then you do not need to worry as you need to figure out why this is happening. We are going to discuss all the points in detail about why Amazon ads are not spending your daily budget.
There are various reasons why your ads will not spend the daily budget.
- You have targeted the wrong keywords
- You have targeted the low-search volume keywords
- You have set a very low bid on the PPC
- The placement of your ads is not right
- Your listing is suppressed
- Your product is out of stock
- Low CTR
- Your listing has lost the buy box
Irrelevant Keywords
If you have targeted irrelevant keywords that do not define your product or a keyword on which different products are being displayed in the search results then Amazon will not display your ad on that keyword hence your ad will not incur any cost.
Low Search Volume Keywords
If you have targeted long-tail keywords or low-search volume keywords then there is a probability of receiving fewer clicks resulting in low ad spending.
Low Bids
If you have set low bids than your competitors while targeting the keywords then there is a chance that your bid will not win the auction and Amazon will not serve your ads to your audience which will result in no ad spending or low ad spending.
Right Placement
Ad will incur costs if the ad is served to the audience and they click it. You need to place your ads strategically on top of the search page or product pages. For setting the placement you need to follow the instructions below,
- Login to Amazon seller central
- Click on the top left three horizontal lines of the menu
- Click on “Amazon Campaign manager”
- Select a campaign
- Click on “Placement” on the left sidebar
- You will see “Top of Search (First Page)”, “Product Pages”
Set the bids percentages in multiple of 5 such as 5%, 10%, and 15%, and monitor daily if the number of impressions increases
Suppressed Listing
Majority of the time your campaigns are not spending budget because the product listing is suppressed because of various reasons. Some possible reasons are listed below,
- The listing image is not according to the Amazon guidelines such as the primary image having a logo, or trademark or not on the white background.
- Product information is not according to Amazon’s guidelines
- The listing title has some marketing slogan
The Product is out of Stock
If your product is out of stock for which you are running ads then Amazon will not serve your ads to the audience which results in no spending.
Low CTR
As discussed earlier clicks from the audience results in Amazon ads expenditure but if your listing has a low CTR (Click Through Rate) then your ad campaigns will not incur a cost.
Click Through Rate is calculated as follows,
total clicks divided by the number of impressions
There are various reasons for low CTR,
- Product listing images are not attractive or of high quality therefore your audience is not interested in checking out your product.
- You have set a high price because of which only a few people are clicking your product listing
- If your product listing has low ratings than most of your competitors then there is a higher chance of the audience not clicking your ad.
Product Listing has lost the Buybox
Even in private label listings, sellers can lose the buy box where there is only one seller. Most of the time it happens when your listing price is too high or too low than competitors.
Conclusion:
The important thing is you need to assess if the impression on an ad or keyword is enough and still you are not getting clicks then you need to check and adjust your ads according to the instructions above.
We have discussed this issue of why your Amazon ads are not spending the daily budget, if you would have more queries related to ads then you can let us know by commenting below,
You can also check how you can optimize your product listing to improve your CTR.
