Amazon PPC A→Z · Lesson 2 · 1:48
Where to set your bid What a click is worth is your ceiling, not your bid. Bid below it and the gap is what you keep; go above it only on purpose, with a limit and an end date.
The video plays from YouTube (no cookies until you press play). 1 Take each top product's click worth (Lesson 1). 2 Decide how much of each sale's profit you want to keep, e.g. 20%. 3 Bid = click worth × (1 − that share). Any bid above the click worth gets a reason and an end date. Bidding right at the ceiling (all the profit goes to the click), or above it with no limit and no end date.
0:00 The ceiling is not the target 0:18 The ceiling: $1.50 a click 0:28 Plan for your full bid 0:34 Four bids, same 100 clicks 0:56 How much profit to keep 1:09 Above the ceiling, on purpose 1:23 The common mistake 1:29 Do this today Show Hide 0:00 You know what a click is worth. So what should you bid? 0:04 Bid the full dollar fifty, and you keep nothing. 0:07 Bid one dollar twenty, and you keep thirty dollars per hundred clicks. 0:11 The gap is your profit. Let's set it on purpose. 0:15 Lesson two: where to set your bid. 0:18 In lesson one, a click on this water bottle was worth one dollar fifty. 0:23 That's the ceiling. At that bid, the average click pays for itself, and nothing more. 0:28 Plan as if you pay your full bid. Amazon never charges more than it, so it's the safe number. 0:34 So let's try four bids, on the same hundred clicks. Ten sales bring back a hundred and fifty dollars. 0:41 At one dollar fifty, the clicks cost a hundred and fifty. You keep nothing. 0:46 At one dollar twenty, they cost a hundred and twenty. You keep thirty. 0:51 At ninety cents, you keep sixty. But a lower bid can win fewer clicks. 0:56 So decide how much of each sale's profit you want to keep. 1:00 Keep twenty percent, and your bid is one dollar fifty times zero point eight. One dollar twenty. 1:06 Keep forty percent, and it's ninety cents. 1:09 Bidding above the ceiling is fine on purpose, like for a launch. 1:14 At one dollar eighty, every click loses thirty cents. So set the limit first. Three hundred dollars covers a thousand of those clicks. 1:23 The common mistake: bidding right at the ceiling, or above it with no limit and no end date. 1:29 So today, take each product's click worth, choose how much profit to keep, and set the bid below the line. 1:36 Anything above it needs a reason and an end date. 1:40 Next lesson: ROAS and ACoS, and how they tie back to your click worth. See you there. Not affiliated with Amazon. Numbers in this video are a worked example. Published 25 October 2026.