So far, 2020 has been anything but an easy year for retailers. Although stationary trade was hit particularly hard, eCommerce was not the Elysium either: Previous plans had to be changed completely, supply chains and inventories became unreliable and, last but not least, the general economic decline slowed down consumer spending. This also had an impact on advertising. As a result, retailers had to react flexibly in order to keep attracting customers’ attention. A rapid economic recovery cannot be ruled out, but this is not exactly the scenario expected in the U.S. or in Europe. To plan and manage advertising budgets on Amazon in a more targeted and successful manner, retailers should follow these tips and guidelines.

Prepare for the Lockdown Effect and Uncertainty

Sellics conducted a comprehensive, quantitative as well as qualitative analysis of PPC (Pay per Click) marketing on Amazon in the U.S., Germany and the UK with data from the beginning and during the peak of the corona crisis. Sellics was able to make a number of interesting observations: Amongst other things, the lockdown effect led to an increase in advertising clicks on Amazon, probably due to more visitors, as many shoppers switched from shopping at brick and mortar stores to eCommerce. U.S. advertisers saw an increase of up to 29 percent in ad clicks, while UK advertisers registered a plus of up to 53 percent at the end of April, compared to the beginning of the year. In addition, the market price for ad…

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