Amazon Takes Too Much From Us: The Sequel. What Percent of Your Sales Comes from Ads?
As for November: 55% from Ads; 45% from Organic.
As for up to current December: 61% from Ads; 39% from Organic.
It did not used to be like this. If this doesn't show you the direction Amazon is moving, I don't know what does. The pendulum strongly swings directly into Amazon's pocket. On top of that, Ad costs have gone up and ACOS has gone down. I mean it makes sense, the platform is OVERLY littered with ads everywhere. Ads never used to make up more than 50% of our sales. In order to make a "good" amount of sales, we HAVE to run ads. And now, with doing this, we're paying Amazon an upwards of sometimes 60 to 70%. They're effectively making it harder to makes sales organically. Pay to Play but also looooooose a bunch.
Amazon is what....a trillion dollar company now?? How in the F can a trillion dollar company justify taking 50....60...70% from it's teeny tiny hard as# working sellers. Gross corporate grossness.
Unsustainable
Amazon Takes Too Much From Us: The Sequel. What Percent of Your Sales Comes from Ads?
As for November: 55% from Ads; 45% from Organic.
As for up to current December: 61% from Ads; 39% from Organic.
It did not used to be like this. If this doesn't show you the direction Amazon is moving, I don't know what does. The pendulum strongly swings directly into Amazon's pocket. On top of that, Ad costs have gone up and ACOS has gone down. I mean it makes sense, the platform is OVERLY littered with ads everywhere. Ads never used to make up more than 50% of our sales. In order to make a "good" amount of sales, we HAVE to run ads. And now, with doing this, we're paying Amazon an upwards of sometimes 60 to 70%. They're effectively making it harder to makes sales organically. Pay to Play but also looooooose a bunch.
Amazon is what....a trillion dollar company now?? How in the F can a trillion dollar company justify taking 50....60...70% from it's teeny tiny hard as# working sellers. Gross corporate grossness.
Unsustainable
25 replies
Seller_BYn3ICHDweKIc
Hoping others will post their organic sales percent vs ad sales percents?
Seller_mFUNUCCYB0cok
Amazon is all about the shareholder and making a profit, just like any large corporation. They feel their only responsiblity is to the shareholders. Amazon could care less about it's sellers, well except for the Chinese sellers. Amazon coddles them like they are their spoiled children.
Seller_L4mc9uax2MoSW
Is there any chance your ads are not optimized fully? It is unfortunate, but it sometimes takes more complex strategies to minimize ad costs.
Seller_8tIiPf8FDl1dC
Sorry, I refuse to pay them for advertising. They already take FAR too much (about 32%) in all costs, fees, shipping, etc. And that's before I factor in the cost of dealing with returns and fraud. If I paid them for ads, there would be absolutely nothing left for me, and that's with me only paying ~45% of retail for my goods.
Seller_oEw5wUNHgJxxP
Some of us remember Amazon when they did not have ads.
So much easier to launch a product on this market.
So you know, most have not run the numbers that you have run, they judge success by sales, not profits.
Danny_Amazon
Thanks for posting to check in with the selling community on this topic, @Seller_BYn3ICHDweKIc- and fostering some good discussion.
I just wanted to chime in with a couple resources on optimizing sponsored display ads, optimizing campaigns as a whole, as well as plug this recent piece of content from the Ads team on strategies to improve seasonal sales.
I hope there is some useful information of you in there, and as always, we appreciate you sharing feedback on the forums so we can connect it to our partner teams.
Best,
Danny
Seller_aUbEyzlSSnsDJ
Stopped advertising a year ago don't think we will anymore. cost verses profit not worth it.
Seller_2gzO3lLOtwvGb
I don't advertise at all, don't need to because I sell very popular items that sell themselves. It's all about supply and demand. I just ensure to price my items very competitively, which results in getting the buy box pretty often!
