Introduction

In the fast-paced world of Amazon advertising, there’s a persistent myth: more keywords = better results.

At first glance, it makes sense. More keywords should mean more visibility, more impressions, and ultimately more sales, right?

Wrong.

When it comes to Amazon PPC success, less is often more.

In this article, we’ll explore how targeting fewer, higher-performing keywords can lower your ACoS, increase conversions, and make your ad spend far more efficient.

The Problem with Keyword Bloat

1. Diluted Budget

When you target 200+ keywords in a single campaign, you spread your daily budget across too many opportunities.

This results in:

  • Insufficient data on most keywords
  • Inability to bid high enough to win impressions
  • Limited reach on the keywords that actually convert

2. Poor Data Quality

Bloated campaigns often create noise in your data.

It becomes hard to:

  • Isolate winners
  • Identify poor performers
  • Optimize efficiently

Without clear signals, most sellers end up making poor decisions — or none at all.

Why Fewer Keywords Work Better

🔍 1. You Focus on What Actually Works

When you trim your keyword list down to 10–30 proven terms, you’re betting on:

  • Higher intent
  • Better CTR
  • Stronger conversion rates

That means your budget flows toward what’s most likely to generate profitable sales.

💸 2. Better ACoS Control

With fewer keywords, you can:

  • Set more precise bids
  • React faster to performance swings
  • Pause or scale based on actual data

We’ve seen clients drop ACoS from 48% to 22% just by removing underperformers and doubling down on their best 20 keywords.

📈 3. Easier Campaign Management

Managing 20 keywords per campaign is far easier than managing 200.

That means:

  • Faster optimizations
  • Simpler reporting
  • Easier automation and scaling

It’s not about being lazy — it’s about being strategic.

The Fewer Keywords Framework

Here’s the step-by-step framework we use for clients at Marketplace Valet.

Step 1: Run Auto Campaigns for Discovery

  • Let Amazon collect search term data for 7–14 days
  • Make sure budgets and bids are conservative

Step 2: Pull Search Term Reports

  • Filter for:
    • ACoS under 50%
    • At least 2+ conversions
    • CTR > 0.3%

Step 3: Build Manual Campaigns

  • Exact match for top terms
  • Phrase match for longer tail
  • Broad match only if you still want light discovery

Step 4: Add Negatives in Auto

  • Prevent overlap by adding these top terms as negative exact in the Auto campaign

Step 5: Monitor and Trim Weekly

  • Pause keywords with:
    • Zero sales after 15+ clicks
    • ACoS > 80% after $20–$30 spend
    • CTR < 0.1%

Keep your keyword list lean — no keyword bloat.

Real Seller Example

Niche: Kitchen Products
Old Campaign:

  • 184 keywords
  • $150/day budget
  • ACoS = 41%
  • ROAS = 2.3

Optimized Campaign:

  • 27 keywords
  • $150/day budget
  • ACoS = 24%
  • ROAS = 4.1

By trimming keyword count by 85%, we nearly doubled the campaign’s efficiency.

SEO Angle: Keyword Consolidation Improves Listing Rank

Amazon’s algorithm prioritizes performance-based relevance.

That means:

  • The more your keywords convert, the more visibility you get organically
  • If you focus your budget on top terms, you feed Amazon better signals

Fewer keywords = better conversions = stronger organic rank.

Bonus: When Should You Add More Keywords?

Only after:

  • You’ve maxed out impressions on your current ones
  • Your ACoS is stable and profitable
  • You’re intentionally testing new terms in separate discovery campaigns

Tools to Help You Focus

  • Helium 10 Adtomic – Harvest top terms and manage ACoS easily
  • Data Dive – Cluster keywords by performance and search intent
  • Amazon Bulk Files – Efficient way to pause poor performers
  • Search Term Reports – Your ultimate source of truth

Common Mistakes to Avoid

❌ Targeting too many keywords from the start
❌ Running phrase and broad match on every keyword
❌ Ignoring CTR and conversion rates in decision-making
❌ Not trimming the fat regularly

Final Thoughts

Amazon PPC isn’t about casting the widest net — it’s about hitting the bullseye.

Fewer keywords mean:

  • More precise spend
  • Cleaner data
  • Easier campaign control
  • Better ACoS

If your campaigns feel bloated or underperforming, the fix might be simple:

✅ Trim the keyword fat
✅ Focus your firepower
✅ Watch your profits grow

Want Help Simplifying Your PPC?

At Marketplace Valet, we help brands:

  • Cut waste
  • Build lean PPC engines
  • Drive higher ROI through smart structure

Let’s talk → justin@marketplacevalet.com

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