Amazon ad placement optimization revolves around four core positions: Top of Search, Rest of Search, Product Pages, and Amazon Business. Each of these has its own cost per click (CPC)(opens in new tab) and conversion rate metrics. Some can work better with specific products than others.
The truth is that there are simply no general rules when it comes to placement optimization. Every seller works with the tools they have available and make the most out of it.
That’s why we’ve developed this article that covers the basics around Amazon ad placement optimization and how to use those precious bid modifiers to your full advantage.
Ad Placement Optimization: The Big Four
In Amazon, there are four main placements where your ads can appear. These are:
Top of Search (ToS): The top row of Sponsored results on the first page. It costs the most per click because almost every competitor in the category is bidding for the same spot. It also tends to produce the highest conversion rates and the strongest ACoS. But this varies from product to product.
Rest of Search (RoS): Everything below the top row: the middle of page one, bottom and beyond. CPCs here are generally lower because fewer advertisers push for the position. Amazon added a dedicated bid adjustment for this placement recently.
Product Pages: These are the sponsored carousels on individual detail pages(opens in new tab). When your ad lands on genuinely related products, the return and conversion rates can be strong. When it lands on loosely related ones, it burns money quietly.
Amazon Business(opens in new tab): This placement shows your ads to registered business buyers. It gets its own section further down, because most brand owners do not know it is running.
You can’t simply choose where you will show your ads. You still have to win the auctions. All of it depends on the percentage of the key bid modifiers.
How to Apply Amazon Bid Modifiers
A placement bid adjustment is a percentage increase applied to your base bid for one specific placement. The range runs from 0% to 900%.
The campaign bid strategy(opens in new tab) acts on top of the bid adjustment once it is applied. Depending on what you select, the final multiplier can be larger than the exact percentage set in the bid adjustment.
Under “Dynamic bidding (up and down)”, for example, Amazon can raise your bid by up to 100% if it predicts a conversion. The same for Dynamic bidding (up only).”
That’s why many sellers prefer the “Dynamic bidding (down only)” strategy, as shown in the screenshot above, because it is the safer setting by far if you have a limited budget.
But how do you decide the exact percentage for the bid adjustments?
Judge placements by conversion rate and not CTC
CPC on its own tells you nothing about whether a placement needs more spend.
A placement with a high CPC and a high conversion rate can be your most profitable position. A cheap placement that does not convert is just wasted spend.
Open the Placements tab, look at conversion rate by placement, and make the decision from there….
The account above shows why the cheapest clicks are not always the best ones.
Over two weeks, Rest of Search took the largest share of spend at 35.6% and had the lowest CPC of the three main placements at $1.71. It also had the worst conversion rate at 13.7% and the worst ACoS at 37.9%.
Meanwhile, Top of Search cost more per click at $1.93 and converted at 19.8%, with an ACoS of 27.6%. Much better. For this specific product, the more expensive placement was the more profitable one.
Then look at the bottom row. Amazon Business converted at 26.8%, the highest of any placement in the account, at an ACoS of 19.7%. It received 0.78% of total spend and 71 clicks. That click volume is too small , yet it is definitely a placement with potential that needs more testing.
A placement performing at those rates deserves a modifier increase and a few days of data before drawing any conclusions.
How BellaVix Performs Bid Adjustments
There is no universal formula that will always arrive at the correct modifier. No calculation guarantees impressions or visibility, because you are bidding into an auction whose other participants change daily.
That’s why our method is incremental.
It’s simple. Start from a baseline, make small adjustments, and watch what happens to impressions, visibility, and conversion rate after each move. In the case of the screenshot above, we would apply the following changes to the Business placement:
- Raise the Amazon Business modifier in small steps. Something in the range of 20% to 25% first is enough.
- Leave it alone for some time.
- Then, check impressions and clicks. If they did not move, the modifier was too small to win any additional auctions, and the next step is to go higher. If they moved, go to the next check.
- Compare conversion rate and CPC against the starting numbers. The 26.8% CVR was earned on very low volume. More volume usually means more of the marginal traffic, so some drop is normal. What matters is whether ACoS stayed inside target once CPC moved.
- Repeat or reverse. Conversion rate holding and ACoS still healthy means another increase. Conversion rate falling faster than the extra sales justify means going back to the previous setting.
Amazon Business, the placement almost nobody uses
Amazon Business ads appear in the same placements as shopping results and product detail pages, plus additional placements unique to Amazon Business, shown to shoppers logged in with a verified business account.
Almost every product sold on Amazon is automatically listed on Amazon Business, and campaigns running on Amazon are already eligible to be there too. The bid adjustment changes how hard you compete for those impressions once a verified business account is doing the searching. Not many sellers take advantage of it.
For products that businesses buy in volume, the ACoS and conversion rates from this placement can be excellent. It costs nothing to look at the numbers to decide whether it deserves a modifier. Never discard it before testing its potential.
Conclusion
Amazon ad placement optimization revolves around constantly identifying where your product converts best and adjusting bids for those conditions. Top of Search, Rest of Search, Product Pages, and Amazon Business all behave differently by product, and performance can change over time.
Keep monitoring regularly, make the incremental bid adjustments where you need them and start maximizing your ad sales.
Frequently Asked Questions About Amazon Ad Placement Optimization (FAQs)
What is Amazon ad placement optimization?
Amazon ad placement optimization is the process of adjusting bids and bid modifiers to increase visibility in placements that generate the best results.
What are Amazon bid modifiers?
Bid modifiers are percentage increases applied to your base bid for specific placements, such as Top of Search, Rest of Search, or Amazon Business.
What is a good Top of Search bid adjustment?
There is no universal percentage. The right adjustment depends on your conversion rate, ACoS, CPC, and overall campaign goals.
Should I increase bids on the placement with the lowest CPC?
Not necessarily. Conversion rate and profitability matter more than CPC alone. A low-cost placement that does not convert can waste ad spend.
How often should I adjust placement modifiers?
Most sellers should make small changes and allow enough time to collect data before making additional adjustments.
What is Amazon Business ad placement?
Amazon Business ad placement shows ads to registered business buyers and can appear in both standard and business-specific shopping experiences.
Is Amazon Business worth testing?
Yes. Many sellers overlook this placement, and some products achieve strong conversion rates and efficient ACoS from business buyers.
Can I choose exactly where my Amazon ads appear?
No. Amazon ads are distributed through auctions. Bid modifiers only increase your competitiveness for specific placements; they do not guarantee placement.
Are Your Best Amazon Ad Placements Underperforming?
Some sellers focus on keywords and budgets while overlooking where their ads actually perform best. A few strategic bid modifier adjustments can uncover profitable placements and increase sales without compromising your advertising budget.
Fill out the form below and schedule a call with a BellaVix Amazon advertising expert. We’ll review your placement performance, identify missed opportunities, and show you where your ad dollars can work harder.
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