Updated: Dec 6, 2019
Everybody recognizes that Orders divided by Clicks, in other words, Conversion Rate is a metric that must not be ignored. It is a metric that tells you about the rate at which your clicks convert into sales. And you want that number to be high, so you can get more (orders) for less (clicks).
The Magic Metric
This metric can take on different meanings at different levels - keywords, Ad Group, Campaign, Product and Account. And it always varies based on the chosen time frame. The longer the time frame, the more ironed out the outliers will likely be.
At the most atomic keyword level, conversion rate tells you how relevant a particular keyword is for driving sales. A high converting keyword is one you can bet your horses on. You can bid aggressively on it and be confident that it will bring you results. A low converting keyword on the other hand, is one that will likely spend without bringing great results.
At higher levels of aggregations, conversion rate can help you analyze how well your collection of keywords drives sales and how well your campaign types achieve their respective goals. And at the account level, you can decipher whether you have a good product-to-market fit overall.
Ignored By Amazon
For most of us, KPI measurement and tracking lies at the heart of business success, and conversion rate is definitely an important one to track. But does Amazon think that way? Perhaps not.
Among all the metrics that Amazon makes available in Campaign Manager, conversion rate, sadly, does not have a place. It is the missing metric that Amazon forgets to pay attention to.
What's funny is that even within Business Manager, they do not refer to the organic conversion rate as such. It has a rather strange title of "Unit Session Percentage". Ugh.
PPC Ninja Cutting Through Inefficiencies
At PPC Ninja, we cut through the inefficiencies of Amazon's data presentation and make it easy for you to analyze your numbers. All of our views - Keywords, Campaigns, Bid Recommendations, come equipped with the Conversion Rate metric. You can reveal it from the Select Column dropdown in the top right.
And because we are such data nerds, you will notice two flavors of conversion rate that we provide - Conversion Rate All SKU and Conversion Rate Same SKU.
The 'All SKU' numbers include all the conversions (in other words sales) even for other SKUs that this keyword or campaign drove. This can give you further insights into how effective and relevant your keywords are. Here is a screenshot showing a side-by-side comparison of Same-SKU and All-SKU numbers.
We hope you find tracking the conversion rate metrics as useful and important as we do. And while Amazon might be out of sync with what sellers need, the team at PPC Ninja is committed to give you all the Ninja powers you need to sell profitably on Amazon.
If you want to track your overall conversion rate you can do this in Seller Central or with a specialized Amazon Seller Tool, e.g. AMALYTIX.
Want to see any new metrics in PPC Ninja? LET US KNOW! Our team would be happy to see how to make them available to you. As always, please email us at email@example.com for any comments or requests. We are happy to help!