When is ACoS considered successful on Amazon?
There is no ideal ACoS for every type of business, as it depends on many factors, such as the interests of the business, the objective of the campaign or even the type of product. In reality, the goal is to get the highest possible return with the lowest possible investment, so it is important to keep the ACoS as small as possible.
Furthermore, depending on the category your product falls into, it will have a higher or lower ACoS on average. According to a study by Sellics, the product category with the lowest ACoS is video games, with 8.2%, while the products with the highest ACoS are those in the mobile phones and accessories category, with 36.8%.
In between are some products such as musical instruments (23.6%); kitchen utensils (21.2%) or toys (18.6%).
However, a high ACoS is not synonymous with failure. If, for example, you plan to launch a product in a very competitive niche or to sell excess inventory, you can have a higher ACoS rather than pay other costs that may reduce business profitability.
