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by Marketing Guru (8.5k points)

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by Marketing Guru (9.0k points)

Whether to use Targeting Expansion in Amazon Ads depends on your product type and goals. Here's a breakdown to help you decide:

For Broad Products (e.g., water bottles, yoga mats, phone chargers):

YES — Use Targeting Expansion

Why:

  • Broad products have mass appeal, so expanded targeting helps you reach untapped audiences you may not have manually considered.

  • Amazon’s algorithm may discover high-converting adjacent queries or ASINs you didn’t target.

  • It can help scale impressions and sales quickly, especially for Sponsored Products and Sponsored Display campaigns.

Best Use Case:

  • When launching a new product to scale visibility fast

  • When testing new markets or audiences

  • If your current manual targeting is saturated or plateauing

For Niche Products (e.g., custom 3D printer nozzles, vegan protein for seniors):

CAUTION — Use Targeting Expansion Sparingly

Why:

  • Amazon may expand too broadly, showing your ads to irrelevant shoppers, leading to:

    • Wasted spend

    • Poor click-through rate (CTR)

    • Higher ACOS (Advertising Cost of Sale)

  • You lose control over who sees your ads, which is risky if you need laser-focused targeting.

Best Use Case (If at all):

  • After strong baseline performance with manual targeting

  • When testing expansion in a separate, low-budget campaign

  • If you have budget to experiment and monitor results closely

Pro Tip:

Always test Targeting Expansion in a separate campaign, so it doesn’t mess with your main ad performance data. Watch for:

  • CTR changes

  • ROAS/ACOS swings

  • Drop in conversion quality

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