Case Study: Optimizing Google Ads for Amazon Sellers with Portfolio Bidding

For Amazon sellers advertising on Google Ads and Bing Ads, achieving consistent performance can feel like navigating a maze. A significant challenge lies in the inability to send conversion data from Amazon back to these ad platforms. This limitation makes native automated bidding strategies such as Maximize Conversions or Target ROAS, ineffective since they rely on conversion feedback to optimize campaigns.

Instead, the best strategy for sellers involves:

1. Using Google Search Campaigns with Manual CPC.
2. Tracking performance at the keyword level with Amazon Attribution.
3. Adjusting keyword bids manually to optimize performance.

However, manual management can only take you so far. Sellers need advanced solutions that simplify and automate these processes without compromising efficiency. That’s where Karooya’s tools and portfolio bidding solution come in.

Understanding Rule-Based vs. Portfolio Bidding

Most automation tools available today rely on rule-based bidding, which adjusts bids based on predefined rules tied to individual keywords. While this approach works in theory, it has several limitations:

• Dependence on keyword-level data: Keywords that generate no sales or have low impressions and clicks often lack sufficient data for accurate decision-making. This issue is particularly prevalent with long-tail keywords that have low search volume and limited clicks and impressions.
• Missed opportunities: Rule-based systems lack the broader context needed to optimize campaigns holistically, leading to inefficiencies.

In contrast, portfolio bidding addresses these challenges by analyzing and optimizing performance across an entire portfolio of keywords. If a keyword lacks sufficient data, decisions are made at the portfolio level, ensuring more balanced and efficient adjustments. Poorly performing keywords see bid reductions, while high-performing ones are prioritized, leading to:

• Improved Advertising Cost of Sales (ACOS).
• Sustainable growth in sales.
• Efficient use of ad spend.

Karooya’s Bid Automation Solution incorporates this portfolio-level approach, empowering Amazon sellers to maximize returns on their ad spend.

Whether you’re an advertiser looking for more effective ways to manage your campaigns or an agency helping clients improve ad performance, these examples will highlight why portfolio bidding is the future of ad optimization.

Case Study: Real Results with Portfolio Bidding

To illustrate the impact of portfolio bidding, we analyzed three Google Ads search campaigns that were managed using Karooya’s Bid Automation Solution. These campaigns were specifically designed to drive traffic to Amazon product pages and Amazon stores. Each portfolio has a unique timeline—spanning 3 weeks, 60+ days, and 6 months—giving us a comprehensive view of how portfolio bidding delivers results over time.

The performance metrics were tracked using Amazon Attribution, which allowed us to measure the actual sales generated as a direct result of the paid traffic. This ensures the data reflects the conversions attributed to the campaigns, rather than simply observing a general sales uplift on Amazon.

Portfolio 1 – 6 Months of Portfolio Bidding

• Insights: This chart shows the long-term impact of portfolio bidding.
• Amazon Sales: A consistent upward trend demonstrates how sales improved over time.
• ACOS: The downward trajectory highlights a reduction in advertising costs relative to sales. ACOS dropped from over 100% to below 50%, showing better efficiency in ad spend.
• Google Ads Cost: Stable ad spend reflects controlled bidding adjustments without unnecessary overspending.
• Takeaway: Portfolio bidding effectively optimized ad performance by lowering ACOS and driving sales growth.

Portfolio 2 – 60 + days of Portfolio Bidding

• Insights: This medium-term performance shows an impressive balance between ad spend and revenue growth.
• Amazon Sales : A sustained increase as the system continuously optimizes for high-performing keywords.
• ACOS: A steady drop indicates a focus on reducing costs for low-performing keywords, improving overall efficiency.
• Google Ads Cost: Strategic ad spend increments help maintain a positive sales trajectory.
• Takeaway: Portfolio bidding excels in improving efficiency over time by reducing wasted spend and boosting sales.

Portfolio 3 – 3 weeks of Portfolio Bidding

• Insights: This short-term data shows the immediate stabilization after implementing portfolio bidding.
• Amazon Sales: A steady climb in sales, even in the short term, showcasing the effectiveness of rapid adjustments at the portfolio level.
• ACOS : Even in the short term, ACOS stabilizes at an optimal level (below 40%), signaling effective cost control.
• Google Ads Cost: Incremental increases in ad spend directly contribute to sales without pushing ACOS higher.
• Takeaway: Portfolio bidding delivers measurable improvements within just a few weeks, ensuring short-term performance stabilization.

Key Observations from the Portfolio Bidding Data:

1. Performance Transformation:

• Before portfolio bidding, decisions were made based on rule-based bidding, often hindered by insufficient data for individual keywords. This led to:
  • Keywords driving no sales.
  • Keywords generating just 1–2 sales, insufficient for strategic decisions.

• With portfolio bidding, decisions are made on the overall portfolio level. If keywords lack sufficient data, the system adjusts bids by leveraging the broader portfolio insights.

2. Impact on ACOS and Sales:

• Graph 1 (6 Months): Significant reduction in ACOS over time, coupled with a steady rise in Amazon sales.

• Graph 2 (Past 3 Weeks): A consistent balance between ad spend (Google Ads) and an increase in sales, with ACOS stabilizing at an optimal level.

• Graph 3 (60+ Days): A clear trend of ACOS going down while sales consistently climb, showcasing the power of portfolio-level optimizations.

This approach ensures that poorly performing keywords automatically see bid reductions, driving ACOS to a specific target level while boosting overall sales.

Why Choose Karooya?

Karooya provides a comprehensive solution for Amazon sellers, enabling them to:

• Track conversions at the keyword level with Amazon Attribution.
• Automate bidding with a portfolio-level strategy for optimal results.

With Karooya, advertisers can:

• Reduce wasted ad spend.
• Achieve and exceed ACOS targets.
• Boost overall sales in competitive markets.

With Karooya’s advanced tracking and reporting solution, advertisers can confidently adopt portfolio bidding and unlock the full potential of their ad campaigns. Whether you’re an agency or a seller, the benefits are clear: smarter decisions, better results, and scalable success.

Experience the transformation with Karooya’s portfolio bidding solution. Sign up for a free trial and see how smarter decisions lead to better results.