Sponsored Search FAQs

1.8K Published on February 11, 2021

In this article, you'll know about Sponsored Search, how to use it and how it can help grow your business in Lazada. Click on the topics below.

On this Page:

I. Overview of Sponsored Search and Its Benefits

II. Glossary

III. Setting Up your Campaign

IV. Post-Campaign Set-Up

V. Troubleshooting

VI. Top-up

VII. Checking your Campaign's Effectivity


I.

Q: What is Sponsored Search?

A: Sponsored Search is an efficient and easy way to help users discover your products on Lazada search results. Sponsored Search is a cost-per click, keyword-targeted solution that enables a seller to promote the products they sell.

Q: Who can use Sponsored Search?

A: At this moment, only whitelisted sellers will have access to Sponsored Search.

Here is the eligibility criteria for sellers to use Sponsored Search on Lazada:

  • An active seller account

  • Product listings in one or more of the available categories

Reach out to the seller support team for more information.

Q: Why should I use Sponsored Search?

A: Sponsored Search can help you achieve a variety of goals, such as generating awareness of your brand or your new product; promoting seasonal items; and creating more demand for an item.

Q: How much does Sponsored Search cost?

A: Sponsored Search uses a cost-per-click, auction-based pricing model. You set the maximum amount that you are willing to pay when a customer clicks on your product. The more competitive your bid is, the more likely it is that your product will be displayed. You’re often charged less than your bid price.

Q: I have limited budget, is Sponsored Search suitable for me?

A: Sponsored Search is suitable for different budgets. You can reach out to the seller support team to know more about the budgets in your country.

Q: Where will the Sponsored Search product appear?

A: Sponsored Search may be displayed at the top or within search results. At this time, the products will appear on Lazada app’s search result.

Q: Where are customers taken to when they click on my Sponsored Search product?

A: When customers click your product, they will go to your product’s detail page.

Q: What products are ineligible for Sponsored Services?

A: At this time, Lazada does not support promoting adult products, used products, refurbished products, and products in prohibited categories.

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II. Glossary

To better understand your promoted product performance, see the definitions of some commonly-used terms:

Terms

Definitions

Spend

Total actual spend amount.

Impressions

The number of times your promoted product is shown.

Click

The number of times someone clicked on your promoted product.

Clickthrough rate (CTR)

The ratio showing how often people who see your promoted product end up clicking on it. It’s calculated as Clicks divided by Impressions.

CPC (cost-per-click)

The average amount you pay each time someone clicks your promoted product. It’s calculated as Spend divided by Clicks.

CR

How often, on average, a promoted product click leads to its unique SKU being sold. It’s calculated as Unique SKU sold divided by Clicks.

Units Sold

The total number of units sold after someone clicks your promoted product.

Revenue

Revenue generated from units sold after someone clicks your promoted product.

Return on Investment (ROI)

The revenue that resulted from Sponsored Search compared to the amount you've spent on Sponsored Search. It’s calculated as Revenue divided by Spend.

Store CR

How often, on average, a promoted product click leads to any product sold from your store listings. It’s calculated as Store Unique SKU sold divided by Clicks.

Store Unit Sold

The total number of units sold from your store listings after someone clicks your promoted product.

Store Revenue

Revenue generated from total units sold from your store listings after someone clicks your promoted product.

Store ROI

The total store revenue that resulted from Sponsored Search compared to total amount you’ve spent on Sponsored Search. It’s calculated as Store Revenue divided by Spend.


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III. Setting Up your Campaign

A. Budget

Q: What's the minimum daily budget for Sponsored Search campaign?

A: The minimum daily budget for Sponsored Search is PHP 50.

Q: How does Sponsored Search budget work?

A: You set a daily budget for your campaign. The daily budget is a daily amount you are willing to spend on a campaign. Daily budgets are not be paced throughout the day, meaning a smaller daily budget could be spent in a few minutes if there are a large number of shoppers interested in your products.

Regardless, you control the daily amount you want to spend on Sponsored Search.

Q: How will my products be served each day?

A: The delivery of your promoted products is dependent upon the budget and the bids set by you. A higher bid and budget will fetch more impressions.

B. Schedule

Q: Can I schedule the Sponsored Search?

A: Yes, you may schedule your sponsored search products promotion by setting a start date and end date.

C. Product Selection

Q: How many products can I select?

A: You may select up to 5 products during campaign creation. After the campaign has been successfully created, you may add up to 50 products per campaign.

D. Keywords

Q: What are keywords?

A: Keywords are a single word or phrases describing your product. Keywords are matched to search terms that customers use to search for products on Lazada and determine when your products may appear.

To start, we recommend using the suggested keywords when creating your campaigns.

Q: How are the keywords generated?

A: Lazada helps you by recommending relevant keywords and bid price for your product selection. Lazada’s Sponsored services engine will generate recommended keywords based on the Lazada organic search historical data, which would help promote your product selection.

Q: How do I select the right keywords?

A: You may want to select keywords that are relevant to the products you have selected.

Q: Can I bid on my brand name?

A: Yes, you may bid on your brand name.

Q: Can I bid on any competitors keywords?

A: Bidding of competitor keywords is not allowed in Lazada Sponsored Search.

Q: What are the different keyword match types available?

A: At this time, Sponsored Search only support broad match modifier match type. Broad match modifier match type allows more shoppers to see your ad, but only if these shoppers search for products that are relevant to your keyword.

Q: Can I apply negative match type keywords?

A: At this time, we do not have the option to apply negative match type keywords.

E. Bid

Q: What is bid price?

A: Bid Price indicates the highest amount that you're willing to pay for a click on your product.

Q: If an sellers wins an auction, how much do they pay?

A: If an seller wins the auction, they pay the second one's auction price (or add a little bit on top of the second bidding).

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IV. Post-Campaign Set-Up

A. Review

Q: Can I review the promoted products before they go live?

A: All successfully-created promoted products are eligible to run immediately. However, you may review your products in the Overview page.

B. Budget

Q: Can I change my budget?

A: Yes, you may increase or decrease your daily budget once your products are live.

Q: What happens if the campaign goes out of budget?

A: You will see an out of budget message in the campaign page. You may adjust your campaign budget or top up your ad credits to resume campaign delivery.

C. Keywords

Q: Can I delete keywords?

A: Yes, you may delete keywords at any time. However, deleted keywords cannot be re-activated again.

Q: Can I see the deleted keywords and its performance?

A: Yes, you may see the deleted keywords along with the performance.

D. Bid

Q: Can I change the bid price for each keyword?

A: Yes, you may change the bid price for each keyword, anytime during the campaign.

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V. Troubleshooting

Q: What are the possible reasons for the promoted products not showing up on the search results?

A: Sellers may want check on:

  • The campaign budget

  • The campaign schedule, i.e. the campaign has started and has not ended

  • The quantity of your product

  • The bid price, and ensure that the bid price is competitive

  • The relevance score of the existing keywords, and add more keywords to the campaign

Sellers may also reach out to seller support if they need additional help.

Q: What are the possible reasons for promoted products not showing up on the search results page?

A: These are the possible reasons:

  • The bids are not competitive enough to win the promoted search slot

  • The relevance score of the keyword is poor / low

  • The quality of product relevance is poor / low

Q: I have setup my campaigns but I can only see my competitor’s promoted products. What can be the possible reason?

A: This could mean that your competitor is bidding for the same keywords at a higher bid. It may also be due to your competitor’s campaign status, budget, and/or relevance.

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VI. Top-up

Q: What are the top up methods available?

A: At this time, Lazada Sponsored Services support top up via transfer from your store’s earnings.

Q: How long does it take to reflect my new balance?

A: You should see your new balance within 30 minutes. Reach out to the seller support team if you are unable to see the updated balance.

Q: How do I check my balance?

A: You will be able to view your available credit balance from Seller Center → My Account.

Q: Will my credit balance expire after a period of time?

A: No, your credit balance does not expire.

Q: Can I get a refund?

A: At this time, credit balance cannot be refunded.

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VII. Checking your Campaign's Effectivity

Q: What are impressions?

A: An impression is counted each time your product is shown. Impressions help you understand how often your product is being seen.

Q: What are clicks?

A: A click is counted each time someone clicks on your product.

Q: What is clickthrough rate (CTR)?

A: Clickthrough Rate (CTR) measures how often people click your product after it's shown to them, which can help you understand the effectiveness of your product. It’s calculated as the total clicks divided by the total impressions.

Q: What is conversion rate (CR)?

A: Conversion Rate (CR) shows how often, on average, a promoted product click leads to its unique SKU being sold. It’s calculated as Unique SKU sold divided by Clicks.

Q: What is estimated return on investment (ROI)?

A: Estimated Return on Investment (Est. ROI) is the revenue that resulted from Sponsored Search compared to the amount you've spent on Sponsored Search. It’s calculated as Revenue divided by Spend.

Q: What are the available reports?

A: Lazada provide a range of reports that make it easy to analyze campaign performance and measure success. Once you have launched your campaign, you can view account; campaign; product; and keyword reports on the reporting page.

Q: Will I be able to export my promoted products data?

A: Yes, you may export the promoted products reports in excel format.

Q: Can I see the changes made to my promoted products?

A: Yes, you may view the change history of the past 30 days.

Q: How long will my promoted products data be available?

A: The promoted products data is available for a period of 90 days.

Q: Does Lazada sponsored services identify bad clicks?

A: Lazada’s sponsored services engine uses automated system to detect invalid clicks. Invalid clicks are clicks on promoted products that Lazada considers to be illegitimate, such as unintentional clicks or fraudulent or errors by the system. These clicks will be removed, and the amount are credited to back up the invalid charges that you’ve accrued.

Q: What is the attribution window?

A: Lazada sponsored services report units sold and revenue within 30-days of lookback window from the promoted products click.

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