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Feature release for Amazon Ads: Smart Target Adjustment

ADFERENCE- Amazon-Smart-Target-Adjustment

Optimizing Amazon Advertising portfolios

You want your Amazon Advertising portfolios to be optimized for a specific ACoS, ROAS or CPO target, say 15%? But maybe you would be better advised to go for 50%, given your historical performance data? No problem, the ADFERENCE algorithm is now ready to optimize any target value you hit it with–the smart way, using Smart Target Adjustment (STA).

 

Smooth bidding for your Amazon Advertising portfolios with STA

👉 You can now set any optimization target in the Bid Strategy Value field, irrespective of how well your portfolio has done in the past. Because ADFERENCE now takes your portfolio’s historical performance into account automatically, if STA is activated.

ADF-Smart-Target-Adjustment_short

ADF Smart Target Adjustment

👉 Use Smart Target Adjustment together with an ACoS, ROAS and CPA strategy.

👉 Hint: If you set up a new portfolio and choose one of the above strategies, Smart Target Adjustment is activated by default. Deactivate STA, if you want your bids to go down immediately.

Here is how it works

Bid optimization will start with a target value that is 10% less than your historical performance value. In our example from above (historical ACoS 50%, optimization target 15%), bidding would start at 10% less, i.e. 45% and make its way down. This way, we will reach your chosen target gradually and with well-considered steps.

The major advantage of Smart Target Adjustment is that you won’t risk losing traffic through sudden bid adjustments. Instead, we’ll learn progressively whether your portfolio works at the more ambitious target or if it doesn’t. Should a given target turn out to be too tight for the portfolio, we will stop the gradual reduction and continue to optimize the portfolio on the basis of the last successful interim target.

Careful: STA won’t work the same way in a reverse case scenario. Say your historical performance is already low at 10%, but you would prefer a loose target of 50%. You can still activate STA. However, this won’t result in a step-by-step increase of bids. Your bids would go up immediately.

Any more questions on Smart Target Adjustment? Need help getting started? Please reach out to your account manager. We’ll be glad to help you!

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