Glossary

A vendor has a direct relationship with Amazon and can sell your products in bulk to the company, which will then sell them to customers on the Amazon marketplace. Vendors have the ability to manage their product listings, pricing, and inventory through the Amazon Vendor Central platform

Total Advertising Cost of Sales (TACoS) is an Amazon advertising metric that measures the profitability of an advertising campaign by calculating the ratio of advertising spend to the revenue generated from that spend. TACoS helps advertisers evaluate the effectiveness of their campaigns and make informed decisions about their ad spend.

Target keywords are specific words or phrases that advertisers select to target their advertising campaigns to relevant audiences. In advertising, targeting keywords means displaying ads to users who search for or browse content related to those keywords. Targeting the right keywords is crucial to the success of an advertising campaign as it ensures that ads are seen by the right people at the right time. Advertisers typically choose target keywords based on factors such as relevance to their product or service, search volume, competition, and cost per click.

Sponsored Display is a type of advertising campaign available on Amazon that allows advertisers to target shoppers both on and off Amazon. It enables advertisers to promote their products to relevant audiences using display ads, which appear on Amazon and non-Amazon websites and apps. Advertisers can choose from various targeting options such as interests, product or category targeting, and retargeting, and they are charged on a cost-per-click basis. Sponsored Display can be a useful tool for increasing brand visibility, driving traffic to product detail pages, and retargeting customers who have previously viewed or purchased a product.

Amazon's Sponsored Products is an advertising campaign type that allows sellers and vendors to promote individual products in Amazon's search results and product detail pages. Advertisers choose specific products to promote, set bids for keywords, and pay only when shoppers click on their ads. Sponsored Products is a powerful tool for increasing product sales and visibility on Amazon, widely used by sellers and vendors.

A storefront is a customizable webpage that allows businesses to showcase their brand and products. It is a section within the Amazon platform where sellers can create a branded online store that features their products in a curated and visually appealing way. Storefronts enable sellers to create a cohesive brand experience for their customers, and they can be customized to include images, videos, and product collections. Storefronts also provide analytics tools to track performance and customer engagement. With a storefront, sellers can direct customers to their own curated selection of products, rather than relying on Amazon's search results to surface their products.

Sellers on Amazon are individuals or businesses who use the Amazon platform to sell their products directly to customers. These are individuals or businesses that sell their own products on Amazon, either by fulfilling orders themselves (referred to as "Merchant Fulfilled" or MFN) or by using Amazon's fulfillment services (referred to as "Fulfillment by Amazon" or FBA). Third-party sellers are responsible for managing their own inventory, pricing, and customer service.

SOV measures the percentage of times an advertiser's product appears in a prominent location on Amazon search results pages compared to their competitors for a given keyword. Amazon offers two types of SOV metrics, "Sponsored Products" and "Sponsored Brands", which provide insights into how often sponsored products or brands appear in prominent locations. SOV can help advertisers understand their visibility and competitiveness for specific keywords and make informed targeting and bidding decisions.

Sponsored Brands is an Amazon advertising campaign type that enables brand owners and sellers to promote their brand and products in search results as a headline banner with a custom image or logo, followed by several product listings. Advertisers select specific products to promote, set bids for target keywords, and are charged when a shopper clicks on their ad. Sponsored Brands is used to increase brand visibility, promote new products, and drive traffic to a brand's Amazon storefront.

Reach is the total number of unique individuals or devices who see an advertising campaign within a specific time frame. It is measured by the number of impressions or views an ad receives and can be influenced by targeting criteria, ad format and placement, and advertising budget. Increasing reach can improve brand awareness, but it does not necessarily lead to engagement or conversions.

Organic position in Amazon advertising refers to a product's position in search results based on relevance, without any paid advertising. Amazon's algorithm considers factors such as product title, description, reviews, and sales history. Optimizing the product listing can improve its visibility and relevance to customers.

Product variation refers to a specific version or option of a product that differs from other versions in terms of attributes such as size, color, material, or other features. For example, a t-shirt that comes in different sizes and colors would have multiple product variations. Product variations are often displayed on product pages as separate listings, each with their own pricing, availability, and other details.

PPC Spend refers to the total amount of money an advertiser spends on a Pay-Per-Click (PPC) advertising campaign. PPC is a model of online advertising where advertisers pay each time a user clicks on one of their ads. The PPC Spend can include the cost of clicks, as well as any additional costs associated with running the campaign, such as fees for ad placement or management. Monitoring PPC Spend can help advertisers track their advertising costs and ensure they are getting the best return on investment for their advertising budget.

PPC is online advertising where advertisers pay each time a user clicks on their ad, typically displayed on search engine results pages and social media platforms. The most common type is search engine advertising, where advertisers bid on keywords and target specific locations. It can be an effective way to drive targeted traffic to a website but requires careful planning and execution.

A phrase campaign is a targeted advertising strategy that shows ads when a user's search query contains a specific phrase. This type of campaign appears above or below organic search results on a SERP. For example, a campaign targeting "best coffee shops in New York" may appear when users search for that phrase or similar ones. Phrase campaigns are useful for targeting users searching for specific products or services and increasing relevant traffic to a website or landing page.

Manual targeting in digital advertising involves manually selecting specific targeting criteria such as keywords, interests, demographics, and geographic locations for an advertising campaign, instead of relying on automated algorithms. This provides advertisers with more control over their campaigns and can increase their relevance and effectiveness by targeting specific audiences and search queries.

MFN stands for Merchant Fulfilled Network on Amazon. It is a selling method where the seller lists their products on the Amazon marketplace and manages the storage, packaging, and shipping of products to customers themselves. They are also responsible for handling customer service inquiries, including returns and refunds.

Loose Match is a keyword matching option in Amazon advertising for Sponsored Products and Brands. It allows ads to be shown to customers who search for the targeted keyword or a loosely related term determined by Amazon's algorithm. It increases campaign reach but can lead to less targeted traffic and higher costs if not managed carefully.

Manual campaigns are a type of PPC advertising campaign where advertisers have full control over ad targeting and bidding. Advertisers select keywords, set bid amounts, and create tailored ads. They offer greater control over ad performance, but require more effort and expertise to set up and manage. They are commonly used by experienced advertisers in platforms like Google Ads and Amazon Advertising.

Keyword match is how keywords are matched to search queries in a PPC campaign. Advertisers can choose different match types such as exact, phrase, broad, or modified broad to control the relevance and reach of their ads, which can improve campaign effectiveness and efficiency.

Keyword harvesting is the process of identifying and gathering relevant keywords for a particular topic or subject. It is typically done by digital marketers, content creators, and SEO specialists to optimize their websites or content for search engines.

Keyword bids refer to the maximum amount an advertiser is willing to pay for each click on a specific keyword in a Pay-Per-Click (PPC) advertising campaign. Advertisers select relevant keywords that they want to target with their ads and then set a maximum bid for each keyword. The bid amount determines how much the advertiser is willing to pay for each click on their ad triggered by that keyword. Keyword bids can be adjusted over time based on the performance of the campaign, such as the click-through rate and conversion rate. The goal of setting keyword bids is to ensure that the ads are shown to the right audience at the right time, while also keeping advertising costs under control.

Impression share is a metric in Amazon advertising that measures the frequency an ad is displayed in response to a customer's search query, indicating how well ad campaigns are performing and their exposure on Amazon's platform. A high impression share means frequent display, while a low impression share indicates room for improvement.

Impression rank in Amazon advertising measures the position of an advertiser's product among search results based on relevance, popularity, and bid. A higher impression rank means greater visibility and likelihood of clicks, while a lower impression rank means less visibility and fewer clicks. Improving impression rank can help advertisers optimize their campaigns and performance on Amazon's platform

Impression refers to the number of times an ad is displayed or shown to a user. Each time an ad is loaded on a web page, mobile app, or other digital platform, it counts as one impression, regardless of whether the user interacts with the ad or not. Impressions are often used as a key metric in advertising campaigns to measure the reach and visibility of an ad, and they can help advertisers to evaluate the effectiveness of their campaigns.

Image ads are a type of online advertising format that use images or graphics to promote a product, service, or brand. They can appear in various digital channels such as display ads, social media, search engine ads, and mobile apps. Image ads may include a single image or multiple images in a carousel format, and they can also include text, logos, and a call-to-action button. Image ads can be effective for increasing brand awareness and capturing audience attention, as visuals can be more eye-catching and memorable than text-only ads.

Fixed bidding is a type of bidding strategy used in online advertising auctions, where the advertiser sets a fixed bid for ad space that remains constant throughout the auction. The fixed bid can be based on various factors, such as the estimated value of the ad space, the expected return on investment (ROI), or the maximum amount the advertiser is willing to pay for the ad placement. In fixed bidding, the advertiser's bid is not adjusted based on real-time factors, unlike dynamic bidding. This means that the advertiser may not be able to take advantage of changes in user behavior, time of day, or location to optimize their bidding strategy.

FBA stands for "Fulfillment by Amazon". It is a program offered by Amazon that allows third-party sellers to store their products in Amazon's fulfillment centers, and Amazon handles the storage, packaging, and shipping of those products to customers. Amazon charges fees based on product size and weight, as well as storage fees. FBA offers fast shipping and customer service, and products fulfilled by Amazon are eligible for Amazon's customer service and returns policy.

An exact campaign is a keyword-targeted ad campaign that shows an ad only when a user's search query matches the targeted keyword or phrase exactly. The ad appears above or below organic search results on a SERP. These campaigns are useful for precise targeting and improving ad relevance and effectiveness. For instance, an exact campaign targeting "red sneakers" may not show up for similar phrases like "red running shoes."

CTR is the abbreviation for Click-Through Rate, which measures the success of an ad or webpage in generating clicks or engagement. It's calculated by dividing clicks by impressions, then multiplying by 100 to get a percentage. A higher CTR usually indicates better engagement and relevance, while a lower CTR may indicate a need for improvement.

Dynamic bidding is a type of bidding strategy used in online advertising auctions, where the advertiser adjusts their bid for ad space based on a variety of real-time factors. These factors can include things like the time of day, the location of the user, and the device they are using. The goal of dynamic bidding is to optimize the bid to achieve the highest possible return on investment (ROI) for the advertiser. By adjusting the bid in real-time based on user behavior, dynamic bidding can help advertisers reach their target audience more effectively and efficiently.

Display ads are online ads with visual elements like images, videos, or graphics, displayed on websites or mobile apps participating in ad networks like Google Ads, Facebook Ads, or Amazon Advertising. They can be targeted based on demographics, interests, or behaviors, and come in various formats, such as banners, pop-ups, or native ads. Display ads increase brand awareness, promote products, or retarget users. Effectiveness is measured through metrics like clicks, conversions, and CPA. Display advertising is cost-effective but requires high-quality, engaging ads targeted to the right audience for optimal results.

CPC in Amazon advertising is the cost an advertiser pays for each click on their ad. Sponsored Products and Sponsored Brands use a bidding system, while Sponsored Display uses Amazon's algorithm. CPC is important for measuring campaign effectiveness and achieving desired outcomes while controlling costs. A low CPC means more clicks for less spend, leading to a higher return on investment.

Budget rules refer to guidelines and procedures that are used to set and manage advertising budgets. These rules help advertisers to ensure that their advertising campaigns are effective and efficient, and that they are able to achieve their marketing goals.

The Buy Box is a section on an Amazon product detail page where customers can directly add a product to their shopping cart and initiate the purchasing process. It is the prominent button that says "Add to Cart" or "Buy Now" on the right-hand side of the page. The Buy Box is designed to simplify the purchasing process for customers and increase sales for sellers. When multiple sellers offer the same product, Amazon's algorithm determines which seller is eligible to win the Buy Box based on factors such as price, shipping time, and seller performance metrics. Winning the Buy Box can be critical for third-party sellers, as it significantly increases their chances of making a sale.

Broad Match is a keyword matching option in digital advertising that allows ads to be shown when a user's search query includes variations of the targeted keyword. It includes synonyms, related searches, and other relevant variations. For instance, a campaign targeting "running shoes" may also show ads for "sneakers for running" or "shoes for jogging." Broad Match can increase campaign reach, but it can also result in less targeted traffic and higher costs if not managed carefully.

Average CPC stands for Average Cost-Per-Click. It's a metric used in online advertising to measure the average amount an advertiser pays for each click on their ad. It's calculated by dividing the total cost of the clicks by the total number of clicks received. Average CPC can be an important metric for advertisers to track as it can help them understand the effectiveness and efficiency of their advertising campaigns.

A broad campaign in advertising is a type of advertising campaign that targets a wide audience without specific targeting criteria. This type of campaign typically reaches a larger audience but may not be as targeted or precise as other types of advertising campaigns. Broad campaigns are often used to increase brand awareness or to reach a large number of potential customers quickly. They may be useful for launching new products or services, promoting sales or discounts, or building a brand image.

Automatic targeting refers to a targeting option in which an automated algorithm determines the targeting criteria for an advertising campaign. This algorithm may use various data points, such as search history, browsing behavior, and other user data, to determine when and where an ad should be displayed. Automatic targeting can be useful for advertisers who want to save time and let the platform's algorithm do the work of selecting targeting criteria. However, it may result in less precise targeting compared to manual targeting."

Automated advertising, or programmatic advertising, uses technology and algorithms to buy and sell ad space in real-time. It optimizes ad placement and targeting using data and algorithms, enabling scalability and instant ad buying and selling. Ad space is sold through auction-based systems with demand-side platforms for advertisers and supply-side platforms for publishers. It offers efficient targeting and performance tracking for advertisers to maximize ROI.

Automated adjustments to budgets and bids use automated tools and algorithms to optimize advertising campaigns based on real-time performance data and predefined rules, saving time and improving performance.

Auto campaigns are used in online advertising, particularly in pay-per-click advertising, and allow the platform to create and optimize ads based on parameters set by the advertiser. They save time and effort for advertisers and can optimize campaigns for maximum ROI, but may not be as effective as manually created and optimized campaigns and can result in higher CPC or lower conversion rates. In an auto campaign, the advertiser typically sets a budget and target audience, and the advertising platform uses machine learning and artificial intelligence to automatically create and adjust ads based on user behavior, search queries, and other real-time data.

An audience refers to a group of people who are targeted for a specific marketing or advertising campaign. An audience can be defined based on various factors such as demographics, interests, behaviors, location, and more. Advertisers use audience targeting to reach specific groups of people who are more likely to be interested in their products or services, which can increase the effectiveness and efficiency of their advertising campaigns.

Auto campaigns are a type of PPC advertising campaign where the ad platform's algorithms handle keyword targeting and bidding. Advertisers provide basic targeting information and a budget, and the platform takes care of the rest. They save time and effort for advertisers, and can help identify high-performing keywords for future campaigns.

ASIN stands for Amazon Standard Identification Number. It is a unique identifier assigned by Amazon to each product listed on its platform. ASINs are used to identify and track products in Amazon's catalog and are essential for product listings and advertising campaigns. ASINs are typically 10 characters long and can include both letters and numbers. They are important for maintaining accurate product information and ensuring that products are displayed correctly on the Amazon website.

Amazon Attribution is a tool that allows advertisers to track the impact of their non-Amazon digital marketing efforts on Amazon sales. It provides a unique tracking code that measures user behavior on Amazon, providing insights on ROI and how customers behave after clicking on ads. This tool is useful for brands selling products on and off Amazon, helping them allocate advertising budgets effectively.

ACoS measures the effectiveness of advertising campaigns on e-commerce platforms like Amazon, calculated as the total advertising spend divided by total sales, expressed as a percentage. It helps advertisers optimize campaigns and improve ROI by adjusting bids, targeting, and ad creative.

Amazon Brand Registry is a program that helps brand owners protect their intellectual property and manage their brand on Amazon's marketplace by providing tools for brand protection, enhanced content creation, brand analytics, and increased control over product listings. To be eligible, a brand must have a registered trademark and meet certain requirements set by Amazon.

Amazon bidding is the process of setting a maximum bid for advertising campaigns, allowing Amazon's algorithm to determine which ads to display. Bidding strategies include manual bidding, dynamic bidding, and bid adjustments, with the goal of displaying ads to the right customers at the right time while avoiding overpayment for ad placements. Advertisers must understand bidding strategies to maximize the effectiveness of their campaigns and achieve their goals.

Ad spend in Amazon advertising refers to the money an advertiser spends on advertising their products or services on Amazon. This includes creating and executing advertising strategies, media placement, production costs, agency fees, and associated costs. It is measured over a period and compared to the revenue generated to determine ROI. Advertisers can allocate their ad spend to various advertising formats on Amazon and track and analyze data to make informed decisions.