Sponsored Products Charged GBP1.000.000 per click

Has anyone had this error?
Amazon charged me 1M to 2M per click. I’ve set my bid to max 0.6 pounds.

Gee, how can I pay my bill when the invoice came?

Experiencing unexpectedly high costs per click can be a concerning situation, and I understand your frustration. There could be various reasons for such discrepancies between your bid amount and the actual charges. Here are some possible explanations and steps you can take:

  1. Bid Competition: The bid you set is the maximum amount you’re willing to pay for a click, but the actual cost can be influenced by the competitive landscape. If there’s significant competition for the same keywords, the bid prices can be driven up, leading to higher costs per click.
  2. Ad Relevance: Amazon’s algorithm considers the relevance of your ad to the search query. If your ad isn’t deemed relevant enough, you might need to bid higher to maintain visibility.
  3. Keyword Relevance: Make sure the keywords you’re targeting are highly relevant to your product. If your keywords are too broad or too competitive, it might result in higher costs.
  4. Quality Score: Similar to Google Ads, Amazon’s advertising platform considers the quality of your ad, your product listing, and the user experience. A higher quality score can lead to lower costs and better ad placement.
  5. Campaign Settings: Review your campaign settings, including targeting options, location, and scheduling. Adjust these settings to optimize your campaign’s performance and reduce unnecessary costs.
  6. Negative Keywords: Use negative keywords to prevent your ads from showing for irrelevant searches. This can help reduce unnecessary clicks that don’t lead to conversions.
  7. Monitor and Adjust: Regularly monitor your campaigns and adjust your bid strategy based on performance data. If certain keywords are generating high costs with minimal results, you might need to consider reducing bids or pausing those keywords.
  8. Consult Amazon Support: If the discrepancy in costs persists and you believe it’s not aligned with your bid strategy, reach out to Amazon’s seller support. They might be able to provide insights into your specific situation.
  9. Budget Control: Set daily or lifetime budgets for your campaigns to control your overall spending. This can help prevent unexpected high costs from consuming your budget.
  10. Optimize Product Listing: Improving your product listing’s quality and relevance can lead to better ad performance and potentially lower costs over time.

Remember that managing Amazon advertising campaigns involves a combination of strategy, monitoring, and optimization. While unexpected costs can be frustrating, by continuously analyzing performance data and adjusting your campaigns accordingly, you can work towards achieving a balance between costs and conversions.