Without access to historical performance data, forecasting future outcomes becomes challenging. Consequently, we refrain from making predictions about the Advertising Cost of Sales (ACOS) you might encounter if you haven't previously utilized advertising from Google to Amazon. However, after conducting a three-month evaluation, we will be in a position to provide a more definitive answer regarding this matter.
The ACOS varies significantly depending on the product being advertised. Our experience shows that ACOS can be as minimal as 1%, yet in some instances, campaigns with ACOS reaching 300% or more have resulted in notable improvements in rankings and triggered what is often referred to by Amazon as the "Snowball effect," attributed to the influx of external traffic.
It's important to recognize that ACOS is just one indicator of success. The actual return on investment (ROI) considers ACOS, Brand Reinvestment Bonus (BRB), the snowball effect, and improvements in product ranking.
When drawing a comparison between advertising on Google and Amazon based on ACOS, Amazon advertising typically shows a lower ACOS, making it the preferred initial advertising channel. However, incorporating Google as part of an omnichannel brand strategy is crucial for expanding your brand's presence beyond the confines of Amazon Ads. Solely depending on Amazon Ads for advertising could significantly hinder your brand's growth and market value.