When Higher Total ACOS Means More Profit

In this episode, Olena and Michael take on one of the hottest Amazon PPC topics — Total ACOS.

They break down why lower isn’t always better, how chasing the lowest number can actually hurt profitability, and why looking at organic growth, conversion rate, and sales velocity matters just as much as ad spend.

Together they unpack real examples where a higher Total ACOS led to bigger profits and share practical insights on how to think smarter about your strategy.

We’ll see you in The PPC Den!

🦡 Highlights ​​

• 00:00 – Intro

• 00:43 – Olena shares why most clients want to lower Total ACOS and why this can be misleading

• 01:50 – Discussion on real account data showing profit growing even as Total ACOS rises

• 04:30 – Olena explains Amazon’s algorithm, sales velocity, and conversion rate impact

• 06:11 – Why cutting spending isn’t always the healthiest strategy

• 09:58 – Michael unpacks the math of Total ACOS: ad spend, paid sales, organic sales

• 12:20 – Olena shares strategies with generic keywords, seasonality, and brand vs. non-brand terms

• 14:00 – What happens when ad spend is reduced too aggressively

• 16:40 – Michael highlights solutions: reporting, SEO, CTR/CVR optimization, price, and competitive tracking

• 19:30 – Olena on long-term thinking, patience, and manual checks for ad positions

• 20:50 – Final thoughts

🦡 Resources & Links

• 🦡 GET AD BADGER ➡️

• Find Michael Erickson Facchin — Ad Badger’s CEO and soul, PPC whisperer, and your go-to guide through the wild world of Amazon advertising

• Our guest today is Olena Shmaiun, Amazon PPC Manager of Ad Badger

• The One Activity That Will Fix Your ACOS in 2025

• 35 Negatives to 1 Positive: The Secret to Lower ACoS

• How TACoS Relates to Your Ad Performance

• Why Is Your ACOS So High?

• How TACoS Relates to Your Ad Performance

• 📚 Unlock our FREE comprehensive Amazon Marketing Playbook

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• Transform your workflow with our comprehensive Amazon Advertising checklist

• Review all our show notes

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Host and Executive Producer: Michael Erickson Facchin

Guest Co-Host: Olena Shmaiun

Senior Producer: Nancy Lili Gonzalez

Podcast Coordinator & Graphic Designer: Sofiia Podash

Video and Audio Editor: Pedro Moreno