WHAT ARE SPONSORED ADS?
Simply defined, Amazon Sponsored Ads is a system that allows you to put your listing at the top of any search result on Amazon. We have the ability to choose the exact search results that we want to target. So if you think your product would do well at the top of the search result “dog food”, we can put it there. In exchange for this publicity, you pay a price that you pre-determine for every time that someone clicks on your listing and as a result visits your product page. The end goal is to get sales on enough of the clicks you drive to your listing so that the clicks are paid for with the revenue, while still leaving enough left over to make a profit. We’ll go deeper into that later, but for now all we need to know is that the top-3 and bottom-3 listings on every Amazon search that say “sponsored” are run through the sponsored ad system and cost the sellers for every click.

WHERE DO WE CREATE AND MANAGE THEM?
Amazon has a built-in platform that allows us to manage our ad placements and advertising spend. This is called “Campaign Manager”. It can be accessed by selecting the “Advertising” tab on Seller Central and choosing the subsequent option in the drop down menu.

HOW DOES CAMPAIGN MANAGER WORK?
The title says it all. We create and manage our advertisements through a tool called “Campaigns”. Essentially what these allow us to do is group different ad placements on the various searches we choose, and then look at how each group is doing as a whole. So if we wanted to put all of our searches around one topic, we could do see how that topic does overall.