Introduction: The Secret Strength of PPC Segmentation
Amazon is now an integral sales channel for Direct-to-Consumer (DTC) brands. Yet most brands do not maximize one particular ad technique: isolating branded and non-branded pay-per-click (PPC) advertising campaigns. Failing to do so can result in wasted advertising budget, lost revenue, and a losing battle with competitors.
In this article, we’ll explore what branded and non-branded campaigns are, why separating them matters, and how this simple tactic can drastically improve your return on ad spend (ROAS). We’ll also provide real-world examples, actionable steps, and proven insights to help DTC brands scale their Amazon presence intelligently.
Understanding the Difference: Branded vs. Non-Branded PPC
Prior to jumping into strategy, it is essential to note the distinction between branded and non-branded campaigns. Branded PPC campaigns reach keywords that have your brand name or close variants. For example, if your business is “ZK Beauty,” branded keywords would be “ZK Beauty lipstick,” “ZK Beauty brushes,” or “Buy ZK Beauty on Amazon.” These searchers already have knowledge of your brand and tend to have high buying intent, so they are lower in the funnel and are ready to convert.
Conversely, non-branded PPC efforts address more broad, category-level terms that your brand is not included in. Instances of such terms are like “vegan lipstick,” “soft makeup brushes,” or “cruelty-free cosmetics.” Buyers using such terms for a search are most likely searching for discovery mode and considering numerous alternatives. As such, there is stiffer competition, and the conversion ratio tends to be lower.
Why DTC Brands Oftentimes Ignore This Method
The majority of new-to-Amazon DTC brands use the platform much like Google or Meta Ads, grouping all their keywords into a single campaign or ad group. Although this might appear efficient on paper, it creates severe problems. To begin with, it results in a lack of campaign targeting. It is difficult to optimize for specific performance metrics such as Advertising Cost of Sale (ACoS) when branded and non-branded keywords are grouped.
Second, this approach leads to budget misallocation. High-performing branded keywords will devour most campaign budget, leaving close to zero to test and scale non-branded keywords. Third, it generates horrific attribution insights, so it is practically impossible to understand which keywords are acquiring new customers and which are protecting your current brand.
The Data-Driven Benefit of Campaign Segmentation
When you segment branded and non-branded campaigns, you get true performance measurement, enabling you to know how each set of keywords contributes to your final objectives. You can bid by purchase intent due to this segmentation. Branded keywords typically have better conversion rates, and thus they can bear more conservative bidding. Non-branded keywords are more discovery-driven and need flexible budgets and experiments to discover appropriate combinations.
Segmenting the campaigns also keeps you protecting your brand equity. By running brand campaigns, you guarantee your listings are showing at the top of search when somebody searches for your brand, thus keeping competitors from hijacking that traffic. Such a strategy also allows you to scale discovery cost-effectively by budgeting your top-performing non-branded keywords that get new customers.
Case Study: ZK Beauty’s Amazon Breakthrough
A compelling example of this strategy in action is ZK Beauty. Originally reliant on their Shopify store, they decided to expand to Amazon and implemented a clear segmentation between their branded and non-branded campaigns. Within just two months, Amazon had grown to represent 25% of their total business.
ZK Beauty created two distinct campaign portfolios for branded and non-branded keywords. They used exact match targeting for branded terms to ensure precision and minimize spend. For non-branded campaigns, they focused on discovery-based keywords and strategic bidding to attract new customers. Defensive ads were also implemented to secure top-of-search placements and prevent competitors from poaching branded traffic. The results were substantial: a 42% reduction in ACoS for branded terms, a 34% increase in new customer acquisition, and a threefold return on overall Amazon ad spend.
Step-by-Step Guide to Installing This Strategy
First, perform a complete audit of your existing campaigns. Check if branded and non-branded keywords are combined together. If they are, it’s high time to reorganize. Organize two separate campaigns — one for branded and the other for non-branded keywords. For branded campaigns, employ exact and phrase match keywords and put conservative bids. Include your brand name as a negative keyword in non-branded campaigns so that there is no overlap.
Begin non-branded campaigns with broad and phrase match terms to cover wide ground. Isolate high-performing terms once data is coming in and fine-tune strategy accordingly. Begin with long-tail keywords to manage costs first. Have unique ACoS and ROAS targets for every campaign type. Branded campaigns must be set to get an ACoS of 10–15%, whereas non-branded ones may be in the range of 30–40% depending on competition level and purchase intention. Negative keywords should be judiciously applied to avoid cannibalization from within.
Continuous monitoring and optimizing is essential. Impressions, click-through (CTR), conversion, and ACoS for each campaign must be monitored independently. Bids, placements, and keyword targets need to be changed weekly in order to get maximum efficiency and performance.
How This Strategy Defends Your Brand
Amazon is a highly competitive environment. If you’re not actively bidding on your brand terms, competitors will. Many sellers run conquesting campaigns targeting the brand keywords of successful DTC brands. By having a dedicated branded PPC campaign, you control visibility, prevent competitors from hijacking your traffic, and maintain authority over your branded search results.
Tools That Help With Branded vs. Non-Branded Segmentation
Several tools can streamline the process. Helium 10 Adtomic provides keyword segmentation and detailed performance analytics. Perpetua offers AI-powered bid optimization and differentiates between branded and non-branded traffic. Amazon’s native Advertising Console also allows for manual campaign segmentation and monitoring if you prefer a hands-on approach.
Common Pitfalls to Avoid
Don’t forget to update your negative keywords regularly. Failing to do so can lead to campaign overlap and inaccurate data. Avoid using a uniform bid strategy across branded and non-branded campaigns. Each keyword group serves a different intent and needs tailored bidding. Also, don’t overlook the value of Sponsored Brand and Sponsored Display Ads. These ad types are powerful for both defending your brand and expanding reach.
Another mistake is relying solely on auto campaigns. While useful for discovery, auto campaigns don’t provide the control needed for effective segmentation and optimization. A balanced mix of auto and manual campaigns is essential for growth.
Conclusion: Don’t Let Simplicity Fool You
Segmenting your branded and non-branded PPC campaigns may seem basic, but it’s often the most impactful optimization you can make on Amazon. Doing so can significantly lower your overall ACoS, capture more new customers, and protect your brand from competitive threats. ZK Beauty’s rapid success on Amazon is a prime example of how effective this strategy can be when executed correctly.
If you’re a DTC brand investing in Amazon, make this your first major PPC optimization. The results are measurable, scalable, and immediate.