#amazon

Amazon

Thread

Emma Butler December 17, 2024 at 03:31 PM

Any good benchmark tools for CPC, CTR for Amazon that are industry and price specific? Getting ready to launch and understanding our unit economics

Tom Ly December 17, 2024 at 04:09 PM

Helium 10 should have a fair amount of the data. But if you're launching, I really wouldn't read too much into those metrics you get from 3P data providers because it'll likely be inaccurate. I would probably just work backwards from some core metrics: gross margin %, contribution / net profit % --> you can probably assume Amazon will take ~33% in fees (fba +seller fees ). whatever is left over after gross margin + amazon fees = what you can pay to acquire a customer

Tom Ly December 17, 2024 at 04:12 PM

I really like to advise on hammering down gross margin %. If you are >90% gross margin % and can price in-line with competition, you are sitting very nicely. >80% gross margin % and you can still make it work. >70% gross margin % and it starts to get tough. this is not true for every category, but for most, it is. the problem arises when you are at ~70% gross margins, and you are forced to price premium to make the unit economics work, and then you have no sales velocity

Shaff Qureshi December 17, 2024 at 06:02 PM

@Emma Butler CPC is dependent on your category. A good CTR on PPC is anything .4%+

Keep prices the same as or LOWER then Shopify/other channels or you'll lose the buybox on Amazon.

Launch with a discount (coupon)

If you're launching, the only thing you should be focusing on is your keyword rank at the product level. Everything else is not important.

Use Datarova.com, cheap and accurate.

goodluck

Aaron Yelton December 17, 2024 at 09:20 PM

Your own data is going to be your best bet, launch campaigns, gather data, optimize from there. Amazon Seller Central will give you CPC ranges based on your ASIN, starting out with no reviews your are going to have to spend a decent portion of your gross margins on ad campaigns, once you get to 100+ reviews those numbers will get better. Also depends on how crowded your category is.