Allocating the appropriate budget for your campaigns is critical to your success on Amazon. If set too low you risk running through your budget early and having your ads shut off.
How are campaign budgets calculated?
Your budget should take into account your average CPC for your products. Campaign Creator will calculate a recommended daily budget for every product
based on their prior 30 day ad spend.
Looking over the prior 30 day period, Campaign Creator will first calculate the total spend per product, across all campaigns. The total spend will be used to calculate the average daily spend, which is then split evenly among the new campaigns. For the basic structure, it will be split among 2 campaigns, and for the advanced structure, 4 campaigns.
Examples of Budget Calculation:
What if a product has no spend?
If a product has no spend, but has 30 days of total sales, Campaign Creator will calculate the monthly budget as 20% of the total sales. After determining the average daily spend per product, it will be split evenly among the campaigns.
If a product a new to advertising and has no spend or sales data, Campaign Creator will use the default setting of $10 for the daily budget. Keep an eye on your daily spend habits and adjust accordingly for best performance. You may need to allocate more budget for products in the launch and growth stage.
FAQ: Campaign Settings
Next: Naming Campaigns and Ad Groups