Change your mindset towards Amazon Ads: "Cost Vs Investment"

"Unlocking Amazon Success" podcast reveals how advertising on Amazon and harnessing the flywheel effect can skyrocket your sales. Gain valuable insights, strategies, and expert tips for long-term growth and outperforming the competition. Tune in now!


Himanshu from Adsify

7/7/20231 min read


I recently read a quote by Henry Ford which goes like, stopping advertising to save money is like stopping your watch to save time

And this fits perfectly in the context of Amazon advertising. And I'll tell you how? so when you advertise on Amazon you just not only increase your ad sales, but you increase your organic sales as well.

And as soon as you stop advertising, your competitors get that advantage. And not just your ad sales, but your organic sales also fall.

Your organic sales are always dependent on your ad sales because of Amazon's flywheel effect.

So how does the Amazon flywheel effect work?

Your ads give you a boost in the number of units sold on Amazon. And because of that, your best seller rankings improve.

You must have seen your best seller ranking below every Asin that you have listed in your account. And because of that bestseller ranking, your organic visibility also improves.

So lower the best seller rank, higher the organic visibility that Amazon gives you.

So while I understand that there has to be a limit on spending as well as most of the sellers,3P sellers are bootstrapped and run their business with the profits that they earned the previous month.

But the mindset towards ads should be of investment and not the cost.

So you invest some part of your profits to grow your business month on month and also to survive against competition. Because if you don't do it, your competitors will surpass you and they'll have that sale. And in turn, you will lose your sales.

So it's really important to have that mindset.