There are 2 main types of campaigns that can be used for Sponsored Products: Automatic and Manual.
Automatic campaigns cast a wide net and help to identify what search terms are working best for your products. Manual campaigns offer a seller more control since they have the ability to refine keywords. If managed correctly, they can offer the best return over time.
Automatic campaigns are a great way to get started with Sponsored Products as they require much less maintenance and usually maintain a “set it and forget it” mentality.
Automatic campaigns target ads to all relevant customer search terms as dictated by Amazon. They work best when the listing’s title, bullet points, product description, and keywords are optimized. Amazon then selects keywords from these categories and “tests” them, providing keywords for your own campaign.
Since Amazon automatically selects the keywords, bidding is defaulted to the ad group level, giving you less control.
Manual campaigns provide allow for greater control as you have the opportunity to add new keywords, select keyword match types, and adjust bids accordingly.
When keywords start producing a higher return on ad spend per click, their bids can be increased and vice versa. When managed correctly, these campaigns can be the most effective advertising tool on Amazon’s platform.
For best results, do not guess when adding keywords to manual campaigns--use search data from your automatic campaign and continue to monitor performance over time.
Next: Campaign Structure: Best Practices