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Selling on Amazon with Andy Isom

#139 - Why TACOS is just as important as ACOS

Selling on Amazon with Andy Isom

Andy Isom | Amazon FBA Seller & Agency Founder

Amazon, Business, Amazonfba, Selling, Marketing, Entrepreneurship, Personalbusiness, Productbusiness, Ecommerce, Onlinebusiness

4.9816 Ratings

🗓️ 27 April 2022

⏱️ 32 minutes

🧾️ Download transcript

Summary

ACOS is Advertising Cost of Sales, which is an important metric to understand because this tells you if your PPC campaigns are profitable. TACOS is Total Advertising Cost of Sales.

 

In this episode, I talk more about TACOS and why it's just as important as ACOS. 

 

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Transcript

Click on a timestamp to play from that location

0:00.0

ACOS is advertising cost of sales. ACOS is a very important metric to understand because that

0:08.8

tells you if your Amazon pay-per-click campaigns are profitable. Let's talk tacos. I don't think I've

0:19.0

ever talked about tacos or total advertising cost of sales on my podcast,

0:23.9

but this is going to be eye-opening for a lot of you guys.

0:32.9

You're listening to another episode of selling on Amazon with Andy Isam. In this episode,

0:39.2

we're going to talk about tacos and why tacos are just as important as ACOs or ACOS.

0:48.2

Guys, you've heard me in some previous episodes talk a lot about ACOS when talking about

0:53.5

advertising, specifically Amazon pay-per-click.

0:57.7

So in this episode, I want to talk about tacos or TACOS. I hate calling it TACOS. I'm not even

1:05.7

going to call it TACOS because that sounds way too much like my wife's name, Taylor or Tay. So we're calling it tacos.

1:12.2

T-A-C-O-S.

1:13.5

It's basically ACOS with a T at the beginning.

1:16.0

So let's define these again really quickly, just as a refresher.

1:19.1

ACOS, again, ACOS is advertising cost of sales.

1:25.1

Tacos is total advertising cost of sales. These are two different metrics,

1:30.6

but they're very similar, and they're both very important. And I'm going to talk about why in

1:34.8

this episode. Again, let's talk about ACOS. I almost said ACOS because I'm saying tacos and ACOS,

1:40.3

but I'm looking at the two words. Let's talk about ACOS here really quickly. To calculate ACOS,

1:45.7

all you're doing is you're taking how much money you spent on advertising and how many

1:51.8

sales came from advertising, specifically advertising. We're not talking about all sales. We're

1:59.3

going to talk about that in just a second. Right now we're talking about only sales from advertising. Let me give you a real life example.

2:05.8

I'm pulling up here my Amazon pay-per-click campaigns so I can tell you guys just here,

...

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