Branded Search on Amazon: Balancing Paid Spend and Organic Lift

Branded keywords on Amazon can often appear to be the strongest-performing campaigns. This is because low Cost Per Clicks (CPCs), high Return on Ad Spend (ROAS), and strong conversion rates make them look like an obvious success. However, failure to exercise caution can lead to a misleading perception of apparent efficiency.

The key question is not, “How well do these campaigns perform?” Instead, the focus should be on: “How much incremental value are they actually adding?” At Market Rocket, brand campaigns are treated as a form of strategic defence rather than a growth engine. While they are valuable for protecting a brand’s visibility, especially in aggressive categories, they are not the primary source of long-term customer acquisition.

For instance, accounts have been audited where over 40% of the total ad spend was directed toward branded keywords. Although the performance data looked excellent, new-to-brand growth remained flat. This suggests that these campaigns were not adding new customers. Fundamentally, they were just paying for conversions that the brand would have likely achieved organically. That’s where spending becomes safety, not strategy.

When Branded Spend Makes Sense

Running branded campaigns can be beneficial for several reasons. For instance, these campaigns help in defending against competitor bidding. They also allow for shaping the top of the Search Engine Results Page (SERP) with specific brand messaging.

Furthermore, branded campaigns are useful for supporting new product launches or improving the visibility of sub-brands. They can also reinforce discovery from Demand-Side Platforms (DSP) or other off-Amazon traffic sources.

However, if a brand already ranks highly organically on its own terms, doubling up with paid coverage may simply cannibalise existing traffic. As a result, the blended Return on Advertising Spend (ROAS) may remain high, but the brand may not be reaching new audiences. There is also a risk of overpaying for customers who were already searching with clear intent.

Measuring the Tipping Point

To identify whether branded spend is doing its job or holding back performance, we recommend:

Running controlled pullback tests on branded campaigns

Monitoring for shifts in glance views, conversion rate, and sales volume

Evaluating NTB metrics to assess real acquisition impact

Comparing branded vs. non-branded ACoS and ROAS trends

If you’re scaling spend and seeing diminishing returns in customer growth, it’s a sign branded is taking up more than its fair share.

What We Recommend at Market Rocket

Cutting branded spend entirely is not advisable. Instead, placing sensible limits on these campaigns is recommended. These limits must form part of a broader customer acquisition strategy.

For most brands, this involves:

  • Capping branded expenditure at 20-30% of the total budget.
  • Consequently, more budget should be allocated towards category, competitor, and generic search terms.
  • Utilising Sponsored Brands and Sponsored Display for brand storytelling should go beyond just defending the brand name.
  • Measuring New-to-Brand (NTB) and Customer Lifetime Value (LTV) to determine the genuine impact.

Branded search should not be viewed as a source of easy wins. Rather, it ought to be a component of a strategy designed both to protect market position and to fuel future growth. Analysing brand campaigns in isolation can be deceptive. Establishing connections across acquisition, expenditure, and long-term profitability reveals the true value. Assistance is available if you seek clarity on whether branded search is driving growth or simply providing reassurance.

Want to see your Amazon performance skyrocket?  Book a call with our team or email us at amazon@marketrocket.co.uk to take your brand to the next level.

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