Amazon Sponsored Product Ads Are Getting Costlier

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 4^th 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.