Why haven't I hit my ACoS Goal yet!

There are different reasons why you haven't hit your ACoS goals yet, but in most cases, the bidding algorithm just needed more time. SellerMetrics makes bid changes incrementally as to not disrupt your sales and the Amazon algorithm.

Hence, if you were to plot your ACoS % through time in a graph, your ACoS should slop gradually to your ACoS goal. You should experience a gradual slope instead of a steep cliff downward at the near exact point where you have started with SellerMetrics.

Expected SellerMetrics optimization time horizon

So how long should you give SellerMetrics to achieve your ACoS goals? It depends on your product, campaign lift cycle, competition, and strategy settings. But If I were to give it an exact time, I would say to give our system at least 2 months for our algorithm to achieve your ACoS goal or close to it.

Another reason your ACoS goal has not been reached yet is the strategy you are using. You can select growth, moderate, and optimize strategy. You can see the details of the strategies here. Using the optimized strategy allows you to reach your ACoS goal faster, while growth and moderate will take longer to reach your ACoS goals.

The final reason why you have not reach your ACoS goals is simply your ACoS goal is just unattainable.

In a competitive niche, the CPC to price ratio will normally be so high that achieving a reasonable ACoS may not be possible.

Even though a product has a good conversion rate of 20%, if the product sells for $10 with an average CPC of $1.50, you need to generate at least 5 clicks to get a sale.

The 5 clicks multiplied by $1.50 is $7.50, so you need to spend $7.50 for each sale (Cost per Acquisition). The best you can hope for is an ACoS of 75% ($7.50/$10). 75% is a very high ACoS.

So using the above example, if you set your ACoS goal to 30% the market and profit margins dynamics will imply that your ACoS goal might just be unattainable.

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