30+ Amazon PPC Acronyms a Seller Should Know About
To be successful selling on Amazon, you will need to understand how to use Amazon Advertising effectively. Sponsored Products are great for new sellers, but they can be complicated too because they involve many complicated technical terms and acronyms that you will find in the Amazon Seller Central console.
The Amazon abbreviations and acronyms glossary will give you some introduction to common Amazon vocabulary and slang, but optimising your Amazon Advertising is about more than just learning basic terms; it is also about understanding metrics that will impact your business through the successful use of Amazon PPC.
From ACoS to ROAS, you’ll definitely need to know all about the 30+ PPC acronyms to save your money and dominate on Amazon. Here we go!
A. The Core Advertising Pillars
These are the fundamental programs and tools provided by Amazon.
1. Amazon Advertising: A program from Amazon through which sellers can promote their products and brand on the Amazon search page.
2. Amazon PPC: Amazon Pay Per Click. Sellers who advertise on Amazon pay for every click generated through the advertisement.
3. Amazon Advertising Console: A tool through which sellers operate Amazon advertisements.
4. Amazon Sponsored Products Ads: An advertisement type that focuses on product advertisements.
5. Amazon Sponsored Brands Ads: A kind of advertisement that focuses on brand ad creation.
6. Sponsored Display Ads: Sponsored display ads allow sellers to run ads both on and off Amazon.
7. Amazon Sponsored Brand Videos: A 45-second video brand advertisement on Amazon.
8. Target Type: Target type refers to two types of targeting: manual and automatic targeting.
- Manual Targeting: Sellers can decide which keywords to run ads on.
- Auto Targeting: You authorize Amazon to run ads on best match keywords.
B. Targeting & Keyword Logic
How do you tell Amazon where and when to show your ads?
9. Keywords: Keywords are terms used by customers to search for products on Amazon. Some common types of keywords are:
- Match Type: A match type refers to the keyword nature. It can be an exact phrase or a broad match.
- Exact match: Exact match keywords target ads to specific keywords only. When a user types the exact keyword to search for the product, then only your ad will be displayed on Amazon.
- Phrase match: Phrase match targeting refers to targeting those keywords having the phrase you bid on. E.g., you targeted a steel bottle as a phrase match. Then, your ad will be displayed on every keyword search having the phrase steel bottle. E.g., steel bottle for boys, 500 ml steel bottle, Black steel bottle, etc.
- Broad match: Broad match targeting displays ads on all possible keyboard combinations having at least one of two words from the two targeted keywords. Suppose you targeted “steel bottle” as a broad match type.
Then, Amazon will display your ad with a higher number of combinations where either steel or bottle appears. E.g., Steel jar, plastic bottle, etc.
10. Negative Keywords: Negative keywords are terms sellers use in the negative section to avoid unwanted and irrelevant clicks. E.g., you are selling a steel bottle, it is not a best practice to display ads to the customer who is looking for a plastic bottle.
So, instead, mark the word plastic as negative, Amazon will not show your ad where the word ” plastic ” appears in the user query.
11. Campaign status: It indicates the status of your campaign: active, paused, or pending approval.
C. Bidding and Placement Strategy
Managing how much you pay and where your ads appear.
12. Bid: The amount of money you will pay to Amazon for every click generated through ads.
13. Budget: Here, the budget means the campaign budget you set to run the ads. Set the daily budget, and Amazon will run ads throughout the day until your budget is exhausted.
14. Bidding Strategy: You can input Amazon on how to keep and adjust the bid while running the campaigns. There are three types of bidding strategies:
15. Dynamic Bids: down only: Amazon will keep the bid per click lower if the system thinks the click has a lower chance of sale.
16. Dynamic Bids Up and Down: Amazon will keep the bid high or low based on the chances of sale conversion.
17. Fixed Bid: Amazon will charge the exact amount per click you bid for while creating the campaign.
18. Top of search: Placement of the ads at the top of the Amazon search page.
19. Rest of search: Placement of the ads in the middle and bottom of the search page.
20. Product Page: A product detail page or a product listing page where the user will be redirected after the click.
D. Performance Metrics (The Math)
Use these formulas to measure your ROI and campaign health.
21. Ad Spend: The amount of money you spent on running ads.
22. Sales: Number of orders you generated through Ad campaigns.
23. Clicks: Number of visits generated through Ad campaigns.
24. Impressions: Number of times your ad appears to the customers.
25. TACOS: Total advertising cost of sales.
26. ACOS: Advertising cost of sales.
27. ROAS: Return on ad spend.
28. NTB Orders: New to brand orders refer to the new customers who purchased your brand product for the first time.
29. Click-through Rate (CTR): It is a ratio calculated by the number of impressions and the number of clicks generated by the ad campaign.
CTR = (Number of clicks/Number of impressions) x 100
30. Conversion Rate (CVR): It is a calculation of the number of clicks generated and how many of them converted into sales.
CVR = [number of orders/number of clicks] x 100
31. Potential Reach: A range of audiences you can reach through Amazon ads based on budget, keyword targeting, etc.
32. AAR: Amazon Advertising Reports. It indicates your ad performance.
33. Amazon Search Term Reports: This report features a list of all the search terms and ASINs that brought traffic to the targeted ASINs. It helps you gain insights, including impressions, clicks, conversions, ROAS, and ACOS, etc.
E. Professional Assistance
34. Amazon PPC Agency: An agency or service provider that manages your PPC campaigns effectively.
35. Amazon PPC Software: A tool that handles the PPC campaigns for you. It is a kind of third-party tool that needs access to your Seller Central dashboard for making changes and running ads.
Conclusion
Mastering Amazon PPC is non-negotiable for achieving success and market dominance on the platform. By understanding the core advertising pillars, targeting logic, bidding strategies, and performance metrics—from ACoS and ROAS to CVR and CTR—sellers can move beyond basic advertising and execute truly effective campaigns.
This glossary of over 30 essential Amazon PPC acronyms is your roadmap to navigating the complexity of Amazon Seller Central and maximizing your campaign health. However, the true difference between a good campaign and a great one often lies in professional expertise. Stop leaving money on the table and ensure every click contributes to your bottom line.
Ready to turn your advertising spend into massive profit and conversion gains? Contact Digigyor.com today to partner with an effective ad campaign management team.