Advertising on Amazon isn’t just about running ads but about asking the right questions to make sure your money isn’t being wasted. If your campaigns feel stuck or your ACOS is creeping higher, applying the right Amazon advertising tips to improve ACOS can make all the difference.
Even if your products are already getting traction, advertising is still a must if you want to keep growing. But without knowing how to approach it correctly, you could be burning through ad spend instead of scaling profitably.
In this blog, we’ll share Amazon advertising tips to improve ACOS based on insights from Steven Pope. You’ll learn the key questions sellers should be asking, plus strategies for testing and optimization that can boost long-term growth.
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Why Asking the Right Questions Matters in Advertising on Amazon
Asking the right questions is the foundation of successful Amazon advertising. Done right, PPC campaigns can deliver strong results, with average returns of $2 for every $1 spent, a 200% ROI.
However, that level of performance doesn’t happen by accident. It requires sellers to look beyond just “turning on ads” and instead focus on the questions that guide smarter decisions.
For example, asking “Are my best-selling SKUs being advertised?” or “Should I pause ads on low-stock products?” can prevent wasted spend and missed sales. The more intentional your questions, the faster you can improve ACOS and protect profitability.
Key Advertising Questions Sellers Should Be Asking
There are various questions sellers should be asking to improve their Amazon PPC campaigns and drive better results. By asking these questions, you’ll spot gaps, uncover opportunities, and take steps that directly improve your Amazon advertising performance.
- Is every SKU that matters currently included in your advertising campaigns?
- Are you managing potential stockouts by adjusting or pausing ads when inventory is low?
- Do your top-performing products (the 20% driving 80% of sales) have dedicated campaigns?
- Are you using both offensive and defensive strategies, such as competitor targeting and self-targeting ads?
- Are your campaigns segmented properly between branded and non-branded keywords?
- Are your campaigns running out of budget, and do you have dedicated budgets for your best keywords?
- Do new SKUs get aggressive ad support during their honeymoon period to build ranking?
- Are you testing new ad formats, including custom mobile image ads and product display placements?
- Have you implemented negative keywords to cut wasted spend?
- Do you adjust placement bids (e.g., top of search vs. product page) for your most important keywords?
- Have you tested A/B variations in creative, targeting, or bidding strategies?
- Are you actively mining bulk advertising reports for insights and hidden opportunities?
- Is your campaign structure clean and organized, with outdated campaigns archived?
- Have you tested different campaign types like Sponsored Products, Sponsored Brands, Sponsored Display, and category targeting?
Proven Amazon Advertising Tips to Improve ACOS
There are several actionable tips you can apply to improve your Amazon ads. Learning and testing these strategies consistently can help lower ACOS and drive more profitable sales.
1. Advertise at the SKU Level and Include Every Key Listing
Ads run by SKU, not ASIN, so make sure every important SKU, including merchant-fulfilled duplicates, is in an active campaign. New SKUs don’t automatically inherit ads, so check your catalog regularly to avoid leaving top sellers unadvertised.
2. Manage Inventory Risk Before You Spend on Ads
If a product is about to stock out, pause or scale back ads to avoid wasting budget and hurting long-term rank; switching to MFN can be an option if margins allow. Don’t ignore inventory status; selling out while you’re spending on clicks is a fast way to lose margin and visibility.
3. Prioritize and Defend Your Best SKUs
Put most of your budget behind the 20% of products that produce 80% of revenue, and create dedicated campaigns for those winners. Use top-of-search bid modifiers and defensive campaigns so competitors can’t easily steal that premium traffic.
4. Use the Full Ad Toolbox and Test New Formats
Run Sponsored Products, Sponsored Brands, Sponsored Display, category targeting, and test new formats like custom mobile image ads and product display to find what works in your category. Some will flop and some will hit, roll them out on bestsellers first and measure results.
5. Segment, Test, and Mine Data for Real Optimizations
Separate brand vs non-brand campaigns, add phrase-match negative keywords, and run A/B tests (preferably at the ad-group level) so historical data doesn’t bias results. Download bulk ad reports and dig for patterns; very few sellers do this, but it’s where the high-impact wins hide.
Stop Wasting Ad Spend, Start Improving ACOS
The goal of running Amazon PPC campaigns is to drive profitable growth, not just spend money for clicks that don’t convert. Using the right Amazon advertising tips to improve ACOS helps you protect margins, scale your best products, and avoid costly mistakes that stall growth.
Need help improving your Amazon PPC campaign strategy? Reach out to our Amazon agency. We’ll help you optimize campaigns, cut wasted spend, and build a roadmap for long-term success.
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