How does Amazon Bid+ work in PPC campaigns?
Amazon defines the Bid Plus (Bid+) function as follows:
Bid+ increases the bids in this campaign by up to 50% more than your standard bid if the advertisements can be displayed at the top of the search results.
Bid Plus is based on the established standard bid for PPC campaigns. Currently, the Bids Plus function is only available for Sponsored Products campaigns in the beta version. The function can be activated via Seller Central or Amazon Marketing Services for the respective manual campaign.
Amazon will only increase bids for campaigns that are eligible according to it; if the campaign is not eligible for Bid+, they will not be increased. Amazon tries to establish a relevance between the product detail page and the advertising campaign. Campaigns that had few or no impressions before the activation of Bid Plus will probably not run significantly better afterwards.
As soon as this function is activated, Amazon automatically increases its own bids by up to 50% if the product is relevant for the advertising spaces above. This does not mean that the bid is always increased by 50%, but that it fluctuates in a range between 0% to 50% bid increment. If your own bid is significantly higher than the recommended bid range, it is improbable that Bid+ will generate additional higher advertising expenditures.
Inserting correctly Amazon Bid Plus
Bid+ in the Campaign Manager increases the chances that ads will be placed at the top of search results. Amazon will increase the maximum bid if the product is relevant. However, this function does not work for all Sponsored Products campaigns.
Amazon puts the increase of the impressions with the Bid+ function in the foreground. However, the decision on the use of Bid+ should not only be made on the basis of impressions. It is also important to ensure that the ACOS of the campaign corresponds to your own ideas. Campaigns that meet your own criteria regarding clicks and profitability (ACOS) can be pushed additionally by using the Bid Plus function.
Especially when evaluating campaigns with sponsored campaigns, it is important to consider the use of Bid+. This means that the daily budget can be used up much faster than planned.