What is a Healthy Amazon Tacos? The Answer is Not so Simple

One of the most frequently asked questions we get from clients and potential clients is:What is a healthy Amazon Tacos?

The generic answer you’ll usually get is somewhere between 5-15%.

But the true answer is that a healthy Tacos means we are spending the least possible to accomplish our goals, and every dollar is purposely spent.

I like to give an analogy to a supermarket. Someone is opening a supermarket, and they come to a marketing company asking how much they should spend for marketing.

The first thing the marketing company will do is ask questions.

  • Where are you opening the supermarket?
  • How much competition do you have in the area?
  • Will your supermarket stand out in any way, or it’s just another store?
  • What are your revenue goals for year one?
  • How much money do you have in the bank?

The same is with Amazon.

Let’s say you have a product with almost no competition (doesn’t happen too often, I know 🙂 then even a Tacos of 2% might be too high.

Or if you are in a super competitive category and in order to maintain your market share, you need to have a 20% Tacos, and you are still profitable at the end of the day, then 20% is the right Tacos for you.

The job of a PPC manager is to spend purposefully to accomplish the goal of the account and not spend an extra unnecessary $1.