One of the popular features of
Amazon “Sponsored Product Ads” is getting costlier which comes from several
reports based on marketing surveys. It has been said that the increase in price
will be continued. The report is based on data collected from different firms that
handle clients who purchase Amazon ads. The report says that only in North
America the clients who were spending on the sponsored product of Amazon till the 4th
quarter of 2019 gone 63% up. Another report says that the rise was up 30% among
clients during the same period. This is a clear indication that Sponsored
product ads from Amazon will become dearer in the coming days.
Cost per click of Sponsored
product ads is getting 12%-16% costlier and it will increase as per different
reports developed. All new reports are saying the same thing and they are also
saying that it will increase continuously. The study says that this increase is
not sudden; there are many things which combine responsible for this rise in
cost.
Placement is a crucial factor in
defining the cost of sponsored product ads. According to reports, Sponsored
Brand ads remain more expensive on a CPC basis than the average Sponsored
Product ads. The net ad revenues for Amazon have increased from $7 billion in
2019 to $9.79 billion in the US search.
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