The first thing you have to do before you launch your campaign is to see how it is performing. You need to remind yourself of the assumptions you have made before starting your campaign and the Campaign Manager Excel sheet gives you an indication of what numbers you should be looking at (such as Target ACOS, Max CPC, Conversions, other key KPI’s, etc.) if you want to meet your targets.
In this blog, we will walk through the process of how to use the Campaign Manager Excel sheet.
You can download our template that you can use to create and monitor the performance of your campaign here: http://bit.ly/trendle-slides
Note on using the sheet: All columns in grey contain formulas, we advise you do not edit these. Only enter data in the white cells.
6 Sections in the Campaign Manager Sheet
1. Campaign Set-Up
For campaign names, we recommend naming them by:
- Product name
- Or ASIN
Ad Group Name
For efficient campaign management, we recommend using similar names for your ad groups. Especially if you are running campaigns that move keywords between ad groups (automatic, broad, phrase). We recommend the following:
- Exact/broad/phrase (depending on match type of that keyword)
- Name of the product/SKU
Ex: Pineapple slicer-EXACT
Ad Group Name for New Keywords
For the ad group to which you move keywords, we recommend naming them:
- EXACT keyword from PHRASE
- PHRASE keyword from EXACT
For the location, you can put the marketplace where you’re selling your product (US, CA, UK, or FR, etc.)
2. Campaign Data
Margin and Target ACOS
Know your profitability and set your Margin and Target ACoS for the short and long term. It can change from a campaign by campaign depending on the strategy of your product. If a product is being launched, you may choose a higher Target ACOS than the margin.
When creating an automation rule in Trendle, you can set either a fixed ACoS value or use “Target ACoS” which will tell Trendle to automatically read the ACoS margin from the Product Costs table. This is extremely helpful as your margin changes when you change your price, when Amazon fees change and when your cost of goods change. This will save you time later down the line from having to manually update your ACoS targets set in each automation rule.
Tip: Know your product profitability Using Trendle’s profitability calculator
Profit = [Price] – [Tax] – [Amazon fees] – [Other fees]
Your Min CPC is the lowest CPC that you are willing to bid for a keyword that is not converting profitably (alternatively you can Negative exact unprofitable keywords).
Your default bid is the starting bid you want to use when you start your campaign. You can calculate this by taking your profit margin amount and dividing it by your conversion rate. In general we recommend starting low and adjusting the bid based on performance, while letting automation progressively change bids. Alternatively, if you want a more aggressive strategy, you can set a higher default bid and let automation adjust (likely down) the unprofitable bids. This will lead to more and faster sales but will waste more of your budget on unprofitable keywords.
3. Conversion Data
There are two ways to get your conversion rate.
- If you have no ad campaigns yet but your product is live and selling, in that case, you should use the Business Report in Seller Central to see the Conversion Rate.
- [Orders] / [Sessions] * 100 (589 / 686 *100 = 85.86%)
- Or use the Unit Session Percentage 88.78%
2. If you already have a live campaign, you can use the Conversion rate for your ad campaign, which is more accurate. Go to Campaign Manager in Seller Central, select your campaign, then go to Placements.
Formula to get Conversion Rate: [Orders] / [Clicks] * 100
Source: Seller Central
Pro Tip: Within Trendle you can view your CR evolution per product within the Profitability Products pages. This is quicker than going to Seller Central:)
4. Adjusted Bids
How to set up the bidding strategy?
When you fill out the Margin and Target ACOS columns and you put the conversion numbers for the Top of the Search, Product Page and Rest of Search, the number which will appear on the Adjusted Bids columns help you work out the optimal bids based on the Conversion Data columns.
You will see in the Campaign Data column a summary of your default bid as well as the placement adjustment percentages. You should decide the Default Bid based on your product’s lifecycle and how aggressive you want to be. You then increase this bid with the placement percentage based on the campaign data columns and conversion rate. Remember these are mathematical calculations that are only as good as the data you input and should be adjusted based on your campaign objectives.
Tip: If you do not have any data, start with both of these at zero, but then adjust them based on which one performs best. If you have data or if you know that your product converts better on one of the placements, then you can adjust the placement performance from the start. In a lot of cases, the top of the search converts best so you may want to consider starting with a higher number there.
5. Rules for Automation
The rules for automation are the parameters under which you want Trendle to modify your campaign. There are two trigger points you need to define for Trendle to work:
- the number of clicks before you judge if a keyword converts,
- and the number of clicks before you optimise the bid on that keyword (clicks before you adjust bid based on ACOS).
You should set these numbers depending on how aggressive you want to be. It is better to set a lower number and have trendle “check in” more often rather than the opposite.
We recommend using 4 to 7 clicks (but if your item is very profitable or your CPC is very low then you may want to increase that). If you are unsure look at how much your margin is in $ and compare it to your Default bid. If your margin is $5 and your default bid is $1 that means that if you get 5 clicks without an order you will have spent your margin from 1 sale, so for an item like this you would not want to set Trendle to judge the profitability after 7 or 8 clicks as you would inevitably lose money.
- Number of Clicks before you judge if a keyword converts
Depending on how profitable and aggressive you want to be, you need to decide how many clicks you are willing to give a keyword before you decide if it converts or not. Based on your existing Conversion Rate (either from Business Reports or from an existing PPC campaign) you can determine how many clicks you need to drive a sale. For example, if your CR is 25% then you need 4 clicks for 1 sale. Therefore, a keyword should convert every 4 clicks as well. But as you’re testing out to get data, you may want to go higher to maybe 4-7 clicks to make sure you collect enough data before taking a decision.
2. Number of Clicks before you adjust ACOS
Depending on the strategy for your product, you need to define how many clicks you are willing to accept before you adjust your bid based on the ACOS performance.
In this example, we’ll be using 5 clicks and $0.05 to increase or reduce bid by. Alternatively you use Trendle’s Auto Adjust Bid algorithm that will adjust your bid based on the following formula: bid =[manual target acos]/[current weighted acos]*[current bid]
This will keep your bid as close as possible to your target ACoS, although it may lead to bigger jumps in bid changes initially if your actual ACoS is far away from your Target ACoS.
See the next section on Weighted ACoS on how to use this.
The “clicks before kill rule” is designed to allow you to specify how many cycles you want Trendle to run between your launch rules. If you do not specify this, Trendle will continually increase your bid if you do not get any clicks for x days, before reducing it if you do not get any orders after x clicks, which can lead to more clicks on keywords that are not converting.
6. Weighted ACOS
Trendle’s PPC engine works by defining a period of time and adjusting the performance of your keywords. We use weighted ACOS to give different weights to different periods of time. You have up to 5 periods available and in the last period, we recommend that you use the lifetime performance of that keyword. A ‘Period’ is in our example 5 clicks.
Let’s give an example:
You’ve set to adjust the keyword Bid every 5 clicks. But you want to judge ACoS performance for a longer period of time than just 5 clicks. This is where weighted ACoS will put the last 5 clicks ACoS performance in relation to the previous 5 click periods. That way you have a better statistical average.
Tip: We recommend placing more weight on more recent periods.
By default any rule you create in Trendle which uses ACoS as a metric will automatically use the preset Weighted ACoS settings. You can leave them as they are or edit them per your strategy.
Having this Campaign Manager Excel sheet gives you an easy place to check if the initial data that you input into your sheet are still accurate and what are the changes which are occurring and once those changes occur, how they are going to affect the rest of the campaign. Once you have this sheet, you can see if you were to follow exactly what the data tells you or you can make the adjustments.
I hope this guide helps you take the first step in using Trendle’s Campaign Manager Excel to set up and manage your ad campaigns.
If you have any questions about our template, please comment below!