Keyword Cannibalization on Amazon

Part 9 of 11 – This is the ninth part of a multi-step guide on how to succeed with Amazon ads. In this part, I will explain what keyword cannibalization on Amazon means and how it can impact your ad campaigns.

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What Is Keyword Cannibalization?

When setting up ads on Amazon, one crucial concept to understand is keyword cannibalization. This occurs when you end up bidding against yourself in the auction system that Amazon’s ad platform is built on. This can potentially happen when you use the same keywords in different campaigns. The result could be higher ad costs and reduced ability to optimize your ads. However, this is something you can largely avoid by using the campaign structure I’ve outlined in previous parts.

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There are many who claim that keyword cannibalization doesn’t exist on Amazon, and some even say that Amazon has stated this themselves. I have yet to see such a statement from Amazon, but I also haven’t seen any clear evidence that it does exist. Therefore, I believe it’s best to play it safe. As mentioned, you can avoid this issue by following the structure I’ve discussed.

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How to Avoid Keyword Cannibalization on Amazon

To avoid keyword cannibalization, you should try to avoid using the same keywords across different campaigns as much as possible. By dividing your campaigns by product type, this issue often doesn’t arise. However, it can become a problem for well-known brands. If you are working with a very well-known brand, I recommend seeking help to set up the structure and avoid potential keyword cannibalization. In these cases, a more customized ad structure is often needed, regardless of whether cannibalization actually exists or not.

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Remember to be cautious of keyword cannibalization on Amazon - a form of internal competition that can hinder your ad performance.