Amazon PPC operates as a real-time keyword auction: advertisers bid on keywords, and the highest bidder wins the top ad placement for that search — regardless of the seller's organic sales history or Best Seller status. Payment is per click, not per impression, so a high bid ceiling does not guarantee a high actual charge; ad delivery is also paced by Amazon across the day against the daily budget, meaning a bid can win auctions and generate impressions without the daily budget being exhausted immediately. This mechanism lets a brand-new listing with zero organic sales outrank an established best seller in ad placement from day one, which is why PPC is central to product launches (see PPC Honeymoon Period) and why sellers can inflate exposure by setting daily budgets well above their intended real spend.
PPC is an auction/bidding system — placement is won by bid competitiveness, not by sales velocity — which is exactly why it can substitute for organic rank during launch: a new listing has no sales history to earn organic placement, but it can still win first-page ad placement immediately through bidding. This is the mechanism behind the PPC Honeymoon Period and the reason the six-campaign structure is set up before or at the moment of launch rather than after organic rank has had time to develop.
A fixed bid does not produce a fixed cost-per-click. The bid only determines auction eligibility — whether you're "in the game" for a given impression — not the price actually paid, which is set by the auction dynamics against competing bids.
Из тем: PPC Campaign Structure & Bidding