how much does it cost to advertise on amazon

how much does it cost to advertise on amazon Advertising on Amazon primarily involves Sponsored Products, Sponsored Brands, and Sponsored Display campaigns. Costs are determined through a pay‑per‑click (PPC) auction model where sellers set bids on keywords or products. Average cost‑per‑click ranges from $0.02 to over $3.00 depending on category competitiveness—high‑volume categories like electronics often see $1.00–$2.50 per click, while niche categories may be under $0.20. ACoS (Advertising Cost of Sale) benchmarks help gauge efficiency; a 20% ACoS indicates you spend $0.20 in ads for every dollar of attributed sales. Daily budgets can start as low as $5 but often range $20–$100 for small to mid‑sized campaigns. Sponsored Brands and Display ads typically carry higher CPCs due to broader targeting. Costs also include creative production, keyword research tools, and agency management fees if outsourced. Effective ad spend strategy includes refining keyword lists, optimizing product listings, and closely monitoring ACoS to maximize ROI.