Introduction

If you’ve run Amazon ads for any length of time, you’ve probably been told:

“Exact match is the most profitable.”

But for many sellers, relying heavily on exact match can:

  • Skyrocket your cost-per-click (CPC)
  • Shrink your reach
  • Trap your campaigns in a narrow performance range

And here’s the truth: you can achieve a lower ACoS with less exact match spend, if you know how to use the rest of Amazon’s ad targeting tools wisely.

In this guide, we’ll show you how to leverage phrase match, broad match, and campaign structure to maximize performance without maxing out your budget.


Why Exact Match Isn’t Always Ideal

1. High CPCs

Exact match often becomes a bidding war on the most competitive terms — driving your costs up.

2. Low Flexibility

If your listings or search trends shift, your exact terms may stop converting — leaving you blind.

3. Keyword Exhaustion

You’re stuck targeting the same narrow set of phrases. You miss long-tail, high-converting variations.


How Broad and Phrase Match Can Save You Money

🔁 Broader Reach, Lower CPC

Amazon rewards relevancy and engagement, not just strict keyword control.

Broad and phrase match:

  • Trigger for more related terms
  • Help uncover long-tail gold
  • Often come at lower CPCs than exact match

💡 Keyword Harvesting Power

Let’s say you run a phrase match for “dog grooming kit”
It may trigger for:

  • best dog grooming kit
  • grooming kit for poodles
  • at home pet grooming kit

You can analyze the search term report to pull converting terms and move them to Manual Exact campaigns (if needed).


Real Example: 70% Lower ACoS Without Exact Match

One of our clients in the home storage category was stuck at:

  • 43% ACoS
  • ~$1.90 CPC on exact match keywords

We:
✅ Shifted budget to Phrase + Broad
✅ Ran tighter product targeting
✅ Used negatives to block poor matches
✅ Rebuilt Manual campaigns around performance-based keyword expansion

Result after 30 days:
🔥 ACoS dropped to 18%
🔥 CPC fell to $0.82
🔥 ROAS increased by 70%


The Ideal Campaign Structure for This Strategy

Step 1: Discovery Campaign (Broad + Phrase)

  • Set low-to-medium bids
  • Monitor search term performance
  • Add negative keywords weekly

Step 2: Performance Harvesting

  • Use Search Term Reports
  • Find keywords with:
    • 2+ conversions
    • ACoS < 40%
    • CTR > 0.2%

Step 3: Add Top Performers to Phrase or Exact Campaigns

  • Use Phrase for variations
  • Use Exact only for the best ROI-driving terms

Step 4: Pause underperforming Exact Terms

  • If ACoS > 60% with poor volume, cut it
  • Replace with phrase match or long-tail variation

Smart Use of Negatives

To make this system work, you must control bad traffic.

Best practices:

  • Add irrelevant search terms as negative exact
  • Add broader poor phrases as negative phrase
  • Block same keywords from triggering in multiple campaigns (to avoid overlap)

Tools to Help

  • Amazon Search Term Report – Use weekly for keyword mining
  • Helium 10 Adtomic – Automate harvesting & negatives
  • Data Dive – Cluster keywords by topic and intent
  • Bulk Files – Manage campaign changes at scale

Benefits of Minimizing Exact Match Spend

Lower CPCs across the board
More flexibility to capture intent variations
Less micromanagement per keyword
Higher ROAS through refined campaign structures


When to Use Exact Match

We’re not saying to never use exact match.

Use it for:

  • Your top 5–10 revenue-generating keywords
  • Branded terms
  • High-volume terms where control matters

But outside of those — phrase and broad often provide more bang for your buck.


Final Thoughts

You don’t need to be chained to expensive exact match ads.

With the right structure, tools, and analysis, you can:

  • Achieve lower ACoS
  • Unlock more keyword opportunities
  • Scale campaigns efficiently

In a market where every ad dollar matters, strategic targeting beats brute force bidding.


Need Help Building a Leaner PPC System?

At Marketplace Valet, we help 7- and 8-figure brands optimize Amazon ads with:
✅ Smart keyword targeting
✅ ACoS control systems
✅ Full-funnel ad management

📧 Reach out at justin@marketplacevalet.com

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