Amazon PPC Strategy for 2025 – What’s Changed and What Still Works

Introduction 
Amazon PPC continues to evolve, and 2025 is shaping up to be a year of smarter, more competitive ad strategies. With increased automation, rising CPCs, and Amazon’s growing suite of ad formats, sellers must adapt to stay profitable. In this post, we break down what’s changed in Amazon PPC, what strategies are still working, and how to future-proof your campaigns—whether you’re just starting or scaling a seasoned brand. 

What’s New in Amazon PPC for 2025? 

1. AI-Powered Bidding is the Norm 
Amazon has steadily enhanced its campaign bidding algorithms. In 2025, dynamic bidding (“up and down”) is widely adopted, enabling real-time adjustments based on likelihood of conversion. Manual bidding still works, but sellers who leverage AI and automation now have the upper hand. 

Pro Tip: Use rules-based automation to monitor when CPC spikes or impressions drop. SentryKit alerts can flag performance drops in real time, ensuring campaigns stay optimized. 

2. Sponsored Display Is Getting Smarter 
Amazon’s Sponsored Display has come into its own. With improved targeting—like contextual and audience-based placements—brands can now retarget shoppers off-Amazon more effectively. This channel is crucial for sellers looking to scale beyond search intent. 

3. Video Ads = Higher ROI 
Amazon is favoring Sponsored Brands Video, offering more prominent placements and better engagement. These autoplay ads often yield better CTRs and conversions. In 2025, video is no longer optional—it’s expected. 

Still catching up? Start with simple how-to or product demo videos. Amazon makes uploading and optimizing easier than ever. 

What Still Works in 2025? 

1. Keyword Precision Matters 
Despite Amazon’s push toward automation, keyword research is as critical as ever. Exact and phrase match keywords offer predictable ROI, especially when paired with negative keyword refinement. 

Use long-tail keywords to reduce competition and CPC. Focus on high-intent phrases that match buyer readiness. 

2. Campaign Structure Wins Over Complexity 
The best-performing sellers still use a simple but structured campaign hierarchy—segregating branded, competitor, and category keywords into different ad groups. This gives more control over bidding and budget allocation. 

Tip: Avoid bloated campaigns. Monitor performance metrics by campaign type using automated alert tools like SentryKit to detect underperformers early. 

3. A/B Testing Ad Creatives and Headlines 
Whether it’s Sponsored Brands or Sponsored Products, creative testing drives results. Headline tweaks, image changes, or even product order in the ad can yield significant performance differences. 

Allocate budget to experimentation every month. Let performance data, not assumptions, guide your scaling. 

Advanced Tips for PPC Success in 2025 

✅ Leverage New-to-Brand Metrics 
Amazon’s NTB (New-to-Brand) data allows you to measure customer acquisition vs. retention. Use this to gauge the long-term value of branded campaigns or launch strategies. 

✅ Harness the Power of Retargeting 
Combining Sponsored Display with product targeting and views-based retargeting ensures you’re not leaving money on the table. Re-engaging warm audiences can double your ad ROI. 

✅ Monitor ASIN-Level Performance 
Instead of looking at PPC at a campaign level only, drill down to individual ASINs. Some listings convert poorly despite high impressions. These should be optimized—or paused. 

Proactive monitoring through SentryKit can surface low-converting ASINs and alert you to dips in CTR or sales performance. 

✅ Budget Fluidity During Key Sales Events 
Sales spikes during Prime Day or Q4 can throw off PPC data. Be prepared to adjust budgets rapidly and prevent overspending. Use alerts and trend tracking to maintain control. 

Where Most Sellers Still Struggle 

• Neglecting Non-Branded Keywords: Sellers often overbid on brand terms but ignore category terms that drive top-of-funnel discovery. 
• Setting and Forgetting Campaigns: Amazon PPC is not fully hands-off—even with automation. Regular optimizations are necessary. 
• Lack of Performance Alerts: Without real-time visibility, performance dips can cost hundreds. This is where SentryKit’s alerting system becomes a game-changer. 

Final Thoughts 
Amazon PPC in 2025 is smarter, more automated, and more competitive. But at its core, success still relies on a few fundamentals: structured campaigns, keyword relevance, and continuous optimization. Pairing these with modern tools like Sponsored Display, video ads, and proactive alert systems can help you gain an edge. 

Whether you’re optimizing your first ad or managing a full portfolio, staying ahead of PPC changes is essential—and that’s where having tools like SentryKit helps sellers avoid pitfalls and act fast when performance drops.