PPC Bid Rules

Create automated rules that adjust keyword bids based on performance conditions, or use Smart Bid Optimization for AI-calculated suggestions.

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Difficulty: 🔴 Advanced · Reading time: ~15 min

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📋 Overview

Bid Rules let you automate keyword bid adjustments based on performance conditions you define. Set rules like "If ACoS (Advertising Cost of Sale) > 35% and Clicks > 50, decrease bid by 15%" : and let SellerMagnet execute them on a daily, weekly, or monthly schedule. For a faster approach, use the built-in Smart Bid Optimization engine to get AI-calculated bid suggestions in one click.

New to bid automation? If you have never used automated bid rules before, start with the Starter Rule Templates section below. These pre-built rules cover the most common scenarios and can be activated in under two minutes.


Summary KPIs

Card
Description

Active Rules

Number of currently enabled automation rules

Total Executions

Cumulative number of rule executions to date

Avg Bid Change

Average bid adjustment per execution

Last Execution

Timestamp of the most recent rule run

Reading the KPIs: If your Avg Bid Change is consistently negative over several weeks, your rules may be too aggressive at cutting bids. Consider loosening your ACoS thresholds or adding a minimum bid floor to protect visibility.


Smart Bid Optimization vs Manual Rules

Before diving into the details of each approach, here is a comparison to help you decide which method fits your workflow.

Feature
Smart Bid Optimization
Manual Bid Rules

Setup time

Under 1 minute

5-10 minutes per rule

Scheduling

On-demand (you click Calculate)

Automated (daily, weekly, monthly)

Customization

Strategy + 4 parameters

Fully customizable conditions & actions

Best for

Quick one-time analysis

Ongoing, hands-off automation

Learning curve

Beginner-friendly

Intermediate

Granularity

All keywords at once

Filter by campaign, metric thresholds

Review before applying

Yes (always preview first)

Optional (runs on schedule)

AI-powered recommendations

Yes

No (rule-based logic)

Best of both worlds: Many sellers use Smart Optimization for monthly portfolio-wide reviews and Manual Rules for day-to-day guardrails (e.g., pausing zero-conversion keywords automatically).


Smart Bid Optimization

The Smart Bid Optimization engine calculates optimal bid adjustments for all your keywords in one step.

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Step 1: Choose a Strategy

Strategy
Icon
Description

Balanced

Scale

Equal weight on growth and profitability (default)

Aggressive / Growth

Rocket

Prioritize impressions and sales volume

Conservative / Profit

Shield

Focus on lowering ACoS and protecting margins

Profit Maximizer

Chart

Maximize net profit per keyword

Choosing the right strategy: If you are in a product launch phase and need visibility, start with Aggressive / Growth. Once you have steady sales and enough conversion data (at least 30 days), switch to Balanced or Conservative / Profit to dial in profitability.

Use Case: Selecting a Strategy for a Seasonal Product

Scenario: You sell outdoor furniture and summer is approaching. You want to capture early-season traffic before competitors ramp up.

Recommended approach:

  1. Set strategy to Aggressive / Growth in April-May to build ranking and capture early impressions.

  2. Switch to Balanced in June-July when demand peaks and competition is high.

  3. Move to Conservative / Profit in August-September as demand tapers off and you want to protect margins on remaining inventory.

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Step 2: Configure Parameters

Parameter
Description
Default

Target ACoS (%)

Your target advertising cost of sale

25%

Min Bid

Minimum allowed bid

EUR 0.02

Max Bid

Maximum allowed bid

EUR 5.00

Lookback Period

Days of data to analyze

14 days

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Lookback Period Guidance

Lookback Period
Best For

7 days

Fast-moving products, flash sales, time-sensitive promos

14 days

Standard products with steady daily traffic (recommended)

30 days

Low-traffic products that need more data for accuracy

60 days

Niche products with very few daily clicks

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Step 3: Calculate & Review

Click Calculate Suggestions to generate optimized bids. Results appear in a table:

Column
Description

Checkbox

Select for bulk application

Keyword

Keyword text

Match Type

Broad, Phrase, or Exact

Current Bid

Your current bid amount

Suggested Bid

AI-calculated optimal bid

Change

Percentage or absolute change

Confidence

Visual bar (0-100%) indicating data reliability

Reason

Human-readable explanation (e.g., "High CTR, low ACoS")

Understanding Confidence Scores: A confidence score below 50% means the keyword has limited data. Consider extending your lookback period or waiting for more traffic before applying changes to low-confidence keywords.

Bulk actions:

  • Select Increases Only: Select only bid increase suggestions

  • Select Decreases Only: Select only bid decrease suggestions

  • Apply Selected: Execute all selected bid changes

Quick win: After your first calculation, use Select Decreases Only to quickly apply all bid reductions on wasteful keywords. This is the lowest-risk action and often saves 10-20% of wasted spend immediately.

Results KPI Strip

After calculation, a results summary appears:

Metric
Description

Total Suggestions

Number of keywords with bid changes

Increases

Count of suggested bid increases

Decreases

Count of suggested bid decreases

Avg Change

Average change across all suggestions

Est. Spend Impact

Estimated daily spend difference

Before/After Example: Smart Optimization on a Real Campaign

Metric
Before Optimization
After Optimization
Change

Daily Spend

EUR 85.40

EUR 72.10

-15.6%

Daily Sales

EUR 310.00

EUR 298.00

-3.9%

ACoS

27.5%

24.2%

-3.3 pts

Total Keywords

142

142

:

Avg CPC

EUR 0.68

EUR 0.54

-20.6%

In this example, a seller running the Balanced strategy with a 25% target ACoS reduced daily spend by EUR 13.30 while only losing EUR 12 in sales, a net improvement of EUR 1.30/day in profit. Over 30 days, that adds up to EUR 39.


Manual Bid Rules

SellerMagnet PPC Bid Rules

Creating a Rule

Click Create Rule to open the rule builder modal:

Section 1: Basics

  • Rule Name: Give your rule a descriptive name

  • Rule Type: Increase Bid, Decrease Bid, Pause Keyword, Enable Keyword, or Set Bid to Value

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Naming convention tip: Use a consistent naming format like [Action]-[Condition]-[Scope]. For example: Decrease-HighACoS-AllCampaigns or Pause-ZeroSales-BrandCampaign. This makes rules easy to identify summary view when you have many active.

Section 2: Conditions Build one or more conditions (ALL must match):

Metric
Operators
Example

ACoS

>, >=, <, <=, =

ACoS > 35%

Clicks

>, >=, <, <=, =

Clicks > 50

Orders

>, >=, <, <=, =

Orders = 0

Spend

>, >=, <, <=, =

Spend > EUR 20

Sales

>, >=, <, <=, =

Sales < EUR 10

CTR

>, >=, <, <=, =

CTR < 0.5%

CVR

>, >=, <, <=, =

CVR > 10%

Impressions

>, >=, <, <=, =

Impressions > 1000

Click Add Condition to add multiple conditions.

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Section 3: Action

  • Value: e.g., 15 for a 15% change

  • Unit: Percentage (%) or Absolute (currency)

  • Schedule: Daily, Weekly, or Monthly

Section 4: Scope

  • Apply to: All Campaigns, or select specific campaigns

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Use Case Scenarios

Scenario 1: Automatically Lower Bids on High-ACoS Keywords

Goal: You want to reduce bids on keywords that are eating into your margins.

Rule configuration:

  • Name: Decrease-HighACoS-AllCampaigns

  • Type: Decrease Bid

  • Conditions: ACoS > 40% AND Clicks > 20

  • Action: Decrease by 10%

  • Schedule: Daily

  • Scope: All Campaigns

Why Clicks > 20? This prevents the rule from reacting to keywords with too little data. A keyword with 3 clicks and 0 orders might show 100% ACoS temporarily, the click threshold ensures you only act on statistically meaningful data.

Scenario 2: Boost Bids on High-Converting Keywords

Goal: You want to scale up keywords that convert well but might not be getting enough visibility.

Rule configuration:

  • Name: Increase-HighCVR-LowACoS

  • Type: Increase Bid

  • Conditions: CVR > 12% AND ACoS < 15% AND Impressions > 500

  • Action: Increase by 15%

  • Schedule: Weekly

  • Scope: All Campaigns

Expected result: Keywords that are profitable and converting well get a weekly bid bump, gradually winning more impressions and sales.

Scenario 3: Pause Keywords with Zero Conversions After Significant Spend

Goal: Stop bleeding money on keywords that get clicks but never convert.

Rule configuration:

  • Name: Pause-NoSales-HighSpend

  • Type: Pause Keyword

  • Conditions: Orders = 0 AND Spend > EUR 15

  • Action: Pause

  • Schedule: Daily

  • Scope: All Campaigns

Recovery plan: Review paused keywords monthly. Some may have failed due to listing issues (out of stock, poor images) rather than being bad keywords. Re-enable them after fixing the root cause.

Scenario 4: Protect Brand Campaign Efficiency

Goal: Keep your branded keywords highly profitable while maintaining top-of-search position.

Rule configuration:

  • Name: Decrease-BrandACoS-BrandCampaign

  • Type: Decrease Bid

  • Conditions: ACoS > 10% AND Clicks > 30

  • Action: Decrease by 5%

  • Schedule: Weekly

  • Scope: Brand Campaign only

Why only 5%? Branded keywords typically have low competition. Small adjustments are enough to optimize without losing your top position.


5 Essential Bid Rules Every Seller Should Have

These starter templates cover the most common optimization scenarios. Activate them as a set for a solid baseline automation strategy.

Template 1: The ACoS Cutter

Setting
Value

Name

ACoS-Cutter

Type

Decrease Bid

Conditions

ACoS > 35% AND Clicks > 25

Action

Decrease by 10%

Schedule

Daily

Scope

All Campaigns

Purpose: Automatically rein in keywords that are spending above your profitability target.

Template 2: The Growth Accelerator

Setting
Value

Name

Growth-Accelerator

Type

Increase Bid

Conditions

CVR > 10% AND ACoS < 20% AND Clicks > 15

Action

Increase by 12%

Schedule

Weekly

Scope

All Campaigns

Purpose: Give more budget to keywords that are converting efficiently. These are your best performers, help them win more auctions.

Template 3: The Money Drain Stopper

Setting
Value

Name

Money-Drain-Stopper

Type

Pause Keyword

Conditions

Orders = 0 AND Spend > EUR 20

Action

Pause

Schedule

Daily

Scope

All Campaigns

Purpose: Automatically pause keywords that have spent a meaningful amount without a single conversion.

Template 4: The Low-CTR Reducer

Setting
Value

Name

Low-CTR-Reducer

Type

Decrease Bid

Conditions

CTR < 0.15% AND Impressions > 2000

Action

Decrease by 20%

Schedule

Weekly

Scope

All Campaigns

Purpose: Keywords with very low CTR despite many impressions indicate poor relevance. Lowering bids saves budget for better-performing keywords.

Template 5: The Bid Floor Guardian

Setting
Value

Name

Bid-Floor-Guardian

Type

Set Bid to Value

Conditions

ACoS < 10% AND Orders > 5 AND Clicks > 30

Action

Set bid to EUR 1.00

Schedule

Weekly

Scope

All Campaigns

Purpose: Ensure your best keywords never fall below a competitive bid floor, even if other rules have decreased them over time.

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Managing Rules

PPC Approval Center: review AI suggestions before applying

Each active rule displays as a card showing:

  • Rule name and status badge (Active / Paused)

  • Rule type (Increase, Decrease, Pause, etc.)

  • Conditions in human-readable format

  • Scope (All campaigns or specific ones)

  • Schedule and last run time

  • Actions: Toggle on/off, Edit, Delete, View Log

Pausing vs Deleting: If you are unsure whether a rule is helping, pause it for a week instead of deleting it. Compare your campaign performance before and after. You can always reactivate it or adjust its conditions.


Execution Log

Track every bid change made by your rules:

Column
Description

Date

When the rule executed

Rule

Which rule triggered the change

Keyword

The affected keyword

Old Bid

Previous bid amount

New Bid

Updated bid amount

Reason

Explanation of why the rule matched

An Optimization History Chart shows the cumulative impact of bid rule executions over time.

Monitoring best practice: Check the Execution Log at least once a week. Look for patterns like the same keyword being decreased repeatedly (it might be better to pause it) or bids hitting your minimum floor (your floor might be too high).


Before/After: Impact of Bid Rules Over 30 Days

Here is a real-world example of what a well-configured rule set can achieve over one month.

Metric
Day 1 (Before Rules)
Day 30 (After Rules)
Improvement

Active Keywords

312

287 (25 paused)

:

Monthly Spend

EUR 2,560

EUR 2,180

-14.8%

Monthly Sales

EUR 9,200

EUR 9,050

-1.6%

ACoS

27.8%

24.1%

-3.7 pts

TACoS

8.2%

7.0%

-1.2 pts

Wasted Spend

EUR 410

EUR 95

-76.8%

The seller used the 5 starter templates above. The biggest impact came from Template 3 (Money Drain Stopper), which paused 25 keywords that had collectively wasted EUR 315 in the first 30 days without a single sale.


chevron-right⚠️ Common Mistakes to Avoidhashtag
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## 🔧 Troubleshooting

Rule is not executing

Check
Solution

Is the rule toggled to Active?

Open the rule card and confirm the status badge shows "Active"

Does the schedule match?

A weekly rule only runs once per week. Check the "Last Run" date

Are conditions too restrictive?

Temporarily loosen one condition to test if the rule fires

Is the campaign paused in Amazon?

Rules cannot modify bids on paused campaigns

Rule is executing but bids are not changing in Amazon

Check
Solution

Is your Amazon API connection active?

Go to Settings and verify your Amazon Advertising API credentials are valid

Has the bid hit Min or Max?

If the calculated new bid exceeds your floor/ceiling, no change is made

Is there a sync delay?

Amazon can take up to 1 hour to reflect bid changes in the console

Smart Optimization shows 0 suggestions

Check
Solution

Enough data in lookback period?

Extend the lookback to 30 or 60 days

Are all keywords already optimal?

If bids are already near the AI target, no changes are needed

Campaigns have active keywords?

Paused keywords are excluded from optimization


❓ FAQ

chevron-rightCan I use Smart Optimization and Manual Rules at the same time?hashtag

Yes. Smart Optimization is an on-demand tool that you run manually. Manual Rules run on their own schedule. They operate independently, but be aware that a Manual Rule could modify a bid that Smart Optimization just set. To avoid conflicts, run Smart Optimization first, then review your Manual Rules to ensure they do not override the changes.

chevron-rightHow often should I run Smart Optimization?hashtag

For most sellers, every 2-4 weeks is ideal. Running it too frequently (e.g., daily) does not allow enough time for bid changes to generate meaningful new performance data.

chevron-rightWhat happens if a rule tries to set a bid below EUR 0.02?hashtag

The system enforces a minimum bid of EUR 0.02 (Amazon's minimum). If a decrease rule would push a bid below this floor, the bid is set to EUR 0.02 instead.

chevron-rightCan I undo a bid change made by a rule?hashtag

There is no one-click undo, but you can see the old bid value in the Execution Log and manually set it back. For important campaigns, consider using Manual Review mode in the Approval Center so you can approve/reject changes before they go live.

chevron-rightDo rules run on paused keywords?hashtag

No. Only active (enabled) keywords are evaluated by bid rules. If a rule pauses a keyword, that keyword will not be evaluated by any other rules until it is re-enabled.

chevron-rightHow is the lookback period applied?hashtag

The lookback period defines the time window for performance data. If set to 14 days, the system evaluates clicks, orders, spend, ACoS, etc. from the last 14 calendar days only. Older data is ignored.


➡️ What's Next?

PPC AI Optimizerchevron-rightPPC Approval Centerchevron-right

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