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How much should you spend on Amazon ads?

There is no universal number. There is a way to work out yours, and it starts with the margin rather than the budget.

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In short

  • The right number comes out of your margin, not out of a benchmark.
  • Spending more on a product that cannot carry it makes the problem arrive sooner.
  • Budget is a decision about which products to back, not a single figure for the account.

Where does the number come from?

Start with what is left after Amazon takes its share and the product is delivered. That is what advertising has to come out of.

Every product has a number. The account does not.

What if the number is uncomfortable?

Then the answer is usually the price or the product mix, not the campaign.

Ready when you are

Want us to look at your listings?

Book a discovery call. We will tell you what we would do first, and whether ninety days is the right shape for it.

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Keep reading

Three more on the same problem

Fees and margin

Where your Amazon margin actually goes

Every deduction between the price a buyer pays and the money that reaches you, in the order it comes out.

Getting started

Getting on Amazon properly the first time

A clean start is slower for a month and easier for a year. What to get right before the first listing goes live.

Fulfilment

FBA or your own warehouse?

The questions to answer before you move a single pallet, and the ones that only matter once you are already at scale.