A sponsored product is an ad format shown in the top positions of on-site marketplace search and category pages, charged per click. It is set up with keyword or automatic targeting, and sales are attributed directly with the marketplace's own data.
What separates on-site marketplace advertising from Google and Meta is that the user already arrives with purchase intent; conversion rate is therefore high, but so is the competitive price. A common mistake in Turkey is opening the entire catalog on automatic targeting; the budget scatters across low-converting products. The right method is to advertise products that already sell organically to build momentum, then move the winning terms from the search term report into a manual campaign.
Advertising cost of sales = Ad spend / Revenue from ads
If ad spend on a product is 3,000 TL and revenue from ads is 15,000 TL, the advertising cost of sales is 20%; with a contribution margin of 25%, the business is running on the edge.
What separates on-site marketplace advertising from Google and Meta is that the user already arrives with purchase intent; conversion rate is therefore high, but so is the competitive price. A common mistake in Turkey is opening the entire catalog on automatic targeting; the budget scatters across low-converting produc…
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