Ppc type 2 Auto targeting
Auto targeting PPC
Auto targeting (Amazon will automatically decide keywords to show your ads)
Auto Targeting also gives you the right to choose a match type. Amazon has recently introduced this feature. There are basically 4 different match types in the auto. These are following:
Close match: Ads are shown to users using search terms that are closely related to your products. Relatable to Phrase and Exact match.
Complements: Ads are shown to users who viewed pages that are complements of your products.
Loose match: Ads are shown to users whose search terms are loosely related to your products. Relatable to broad match.
Substitutes: Ads are shown to users who viewed pages that are substitutes of your products.
“You can also manipulate the bids for each of these default options and bid more competitively for the auction”
Cost Per Click (CPC) comparison between Exact, Broad and Phrase.
CPC will be highest at the Exact match because Amazon will be showing your PPC ad only on that exact keywords. So the individual is more likely to click on your ad because of search result relevance. As Buyer searches for “Door lock” and you are targeting the exact match on this keyword then there is a higher chance that the buyer might click on your ad and after that might convert. Note: your product relevancy is also a factor in conversion.
Similarly, CPC for Phrase matches will be lower as compared to Exact because you are now targeting a wider range of individuals. So the chances of the buyer clicking on your ad decreases and hence conversion rate also decreases.
Finally, CPC For Broad match will be the lowest because of a more wide range of customers. You will get a comparatively huge number of impressions and the chances of a customer clicking on your ad will be lower as compared to the above scenarios. Hence Amazon will charge the lowest CPC for this