Managing a monthly Amazon PPC budget and allocating it efficiently can be tricky. If you run out of budget too soon, your campaigns stop delivering, and you miss out on potential sales. It gets even harder when your budget is split across several portfolios or products, each with its own priorities.
With careful planning and strategic adjustments, you can make your PPC budget last the entire month while maximizing its impact. Here’s how:
Step 1: Analyse and Plan Your PPC Budget
To manage your budget effectively, you first need to understand your daily spending:
- Calculate Your Target Daily Spend:
Divide your monthly budget by the number of days in the month. For example, if your budget is £3,000 and the month has 30 days, your target daily spend is £100. - Compare with Actual Spending:
Review your daily average spend over the past weeks. Are you consistently overspending? If so, it’s time to adjust.
Identifying discrepancies early gives you time to realign your spending and avoid exhausting your budget prematurely.
Step 2: Reallocate Budgets Strategically
Not all campaigns or products deserve the same share of your budget. Strategic reallocation ensures your spend goes to the areas with the highest return on investment.
- Perform an ASIN Analysis:
Where is your budget being spent? Identify the ASINs and campaigns with the highest spending and evaluate whether their performance justifies the investment. Are there inefficiencies you can address? - Shift your budget:
Focus on any underperforming or low-priority ASINs draining your budget: Shift budget to high-performing ASINs, such as best-sellers, new launches, or campaigns aligned with your brand visibility goals. - Check Portfolio Structure:
Your portfolio structure should reflect your business priorities. Group campaigns by category or goal (e.g., brand building vs. profitability). This organization makes it easier to allocate budgets efficiently and monitor performance.
Step 3: Monitor and Adapt
Even the best plans need regular adjustments. Monitoring your campaigns ensures you’re staying on track:
- Track Month-to-Date (MTD) Spend:
How much budget remains? Based on your current daily spend rate, will it last until the end of the month? - Perform Daily Check-ins:
A quick daily review can help you catch issues early. Adjust budgets, pause inefficient campaigns, or reallocate budgets as needed. - Use Alerts and Automation:
Tools like fern can set monthly spend targets, send alerts if you’re overspending, and optimize campaigns automatically.
Step 4: Think Strategically About the Month
Uniform daily spending isn’t always ideal. Adjust your budget based on the month’s events and demand patterns:
- High-Traffic Events:
Save budget for key shopping days like Black Friday or Cyber Monday. Increase campaign budgets during these periods to capitalize on high demand. - Gifting Seasons:
Frontload your budget in December for gifting products, as demand drops sharply after Christmas.
Planning for these fluctuations ensures your campaigns are fully funded when they’re most likely to drive results.
Conclusion
Making your Amazon PPC budget last the entire month requires a mix of strategic thinking and ongoing monitoring. By dividing your budget wisely, reallocating funds to top-performing campaigns, and preparing for seasonal trends, you can avoid running out of budget early and maximize your sales potential.
With the right tools and approach, managing your budget becomes less stressful and more effective.
How We Can Help
Managing PPC budgets effectively can be a challenge, but you don’t have to do it alone. At fern, we specialize in simplifying PPC management for brands and sellers on Amazon. Here’s how we can support you:
- Automation: Let fern handle the day-to-day tasks like adjusting bids, calculating your ideal daily spend and optimising campaign budgets, so you can focus on growing your business.
- Insights and Alerts: Our tools provide alerts to help you stay on top of your spending and make informed decisions.
- Expert Guidance: Through our 1-on-1 coaching services, we work closely with you to optimise your campaigns and achieve your goals.
Whether you’re trying to stretch your budget further, tackle high ACOS, or prepare for seasonal events, we’re here to help. Let’s make managing your PPC campaigns easier and more effective.
Ready to take the next step? Let’s chat!
