[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"blog-en-compare-amazon-ppc-agencies-by-roi":3,"blog-translations-compare-amazon-ppc-agencies-by-roi":53,"blog-related-category-en-compare-amazon-ppc-agencies-by-roi":54,"blog-related-latest-en-compare-amazon-ppc-agencies-by-roi":67},{"id":4,"type":5,"locale":6,"slug":7,"title":8,"description":9,"body":10,"status":11,"section":12,"tags":13,"author":17,"cover_url":18,"published_at":19,"metadata":20,"template":5,"sort_order":48,"source_id":49,"search_vector":50,"created_at":51,"updated_at":52},"8d9ccf05-cc92-4bc4-9368-2a7b3f6f121b","blog","en","compare-amazon-ppc-agencies-by-roi","Compare Amazon PPC agencies by ROI","Judge PPC agencies on incremental profit after fees and spend, not ROAS. Fee structure, spend level, and product margin decide the real return you keep.","Compare PPC agencies on incremental profit after fees and ad spend, never on ROAS alone. Two agencies with identical ROAS can produce opposite profit outcomes depending on fee structure, spend level, and product margin. The margin itself is set in sourcing, which is why ad ROI starts before any campaign.\n\n## The short version\n\n- **ROI is profit you keep, ROAS is revenue the platform reports.** The gap between them is where comparisons go wrong.\n- **One formula settles it.** Incremental profit equals contribution margin on ad-driven sales, minus ad spend, minus the agency fee.\n- **Branded traffic inflates everything.** Strip your own brand-name keywords out before crediting anyone.\n- **Fee structure changes the answer at every spend level.** Percentage fees scale with budget, flat fees do not.\n- **Margin is upstream of media.** An agency that can influence your product cost changes your ROI more than one that only moves bids.\n\n## The arithmetic, before any vendor meeting\n\nWrite this on one line: incremental profit equals ad-attributed sales multiplied by contribution margin, minus ad spend, minus agency fee. Everything a PPC agency reports should feed that equation, and everything missing from their reporting is hiding one of its terms.\n\nRun a purely illustrative case. A product with a 30 percent contribution margin needs sales of at least 3.3 times total advertising cost just to break even on the equation above, before the agency fee is counted. Raise the margin and the same campaigns clear the bar comfortably. Lower it and no bid optimization on earth makes the account profitable. The margin term dominates, and it is decided at the sourcing table, not in the campaign manager.\n\n## Comparing fee structures at your spend level\n\n| Fee model | What it costs as you scale | Effect on the ROI equation |\n|---|---|---|\n| Flat monthly fee | Constant | Fee term fixed, ROI improves as campaigns improve |\n| Percentage of ad spend | Grows with budget | Agency income rises when your spend does, whoever benefits |\n| Percentage of revenue | Grows with sales | Cleanest above high profit levels, punishing below them |\n| Hourly or project | Unpredictable | Impossible to model, which is itself the answer |\n\nDo the multiplication at your actual budget for the next twelve months, not at this month's number. Flapen's structure is a flat fee from $800 per month with advertising included and no percentage of anything below $50,000 per month in profit, precisely so the fee term in your equation stays constant while spend and sales move.\n\n## The upstream question most PPC comparisons never ask\n\nHere is the benchmark I would put to every agency on your shortlist: can you affect my cost of goods, or only my cost of clicks. Media-only agencies optimize one term of the profit equation. A team that also handles sourcing can widen the margin the entire equation runs on. Flapen sources through its own studio in Guangzhou, with negotiation and QC frameworks built across more than 500 brands, and that capability routinely does more for ad ROI than any bidding change, because every point of landed-cost improvement flows through every sale, paid and organic alike.\n\nThe same logic applies at the market level. Ad ROI is bounded by what a category can give, which is why we size markets before spending into them using the method in our [research process](\u002Fresearch). An agency that quotes you an expected ROAS without sizing your market first has skipped the step that decides whether the number is achievable.\n\n## What PPC agencies will not tell you when quoting ROI\n\nReported ROAS is a choice of measurement, and the flattering choices are standard. Attribution windows count sales days after a click. Branded keywords harvest customers who searched your name and would have bought anyway. Averages blend one hero product's performance across a struggling catalog. When an agency advertises an ROI figure, ask three questions: what attribution window, branded included or excluded, and measured against which baseline. The answers move the number more than the optimization does.\n\nThe other omission is stage. A launch phase runs deliberately unprofitable ads to buy rank, a mature product runs efficient ones to defend it, and a portfolio blends both. Comparing two agencies' ROI without knowing the stage mix of their accounts is comparing weather in two cities by their annual averages.\n\n## Related answers\n\n- [Multi-marketplace ad optimization for Amazon PPCs](\u002Fblog\u002Fmulti-marketplace-ad-optimization-for-amazon-ppcs)\n- [Best Amazon PPC management MENA](\u002Fblog\u002Fbest-amazon-ppc-management-mena)\n- [Best agency for Amazon DSP advertising](\u002Fblog\u002Fbest-agency-for-amazon-dsp-advertising)\n- [Best Amazon PPC management UAE](\u002Fblog\u002Fbest-amazon-ppc-management-uae)\n- [Amazon marketplaces by geography: the complete guide](\u002Fblog\u002Fgeography-and-marketplaces)\n\nBring your margin and your spend, and we will run the equation with you at [Flapen](\u002Famazon-consulting).\n\n## Keep learning\n\n- [Expand to new channels](\u002Fguides\u002Fchannel-expansion)\n- [Find Amazon warehouse locations](\u002Ftools\u002Fwarehouse-locations)\n","published","channel-expansion",[14,15,16],"ppc","fees","sourcing","joel-turcotte-gaucher","\u002Fimages\u002Fblog\u002Fclusters\u002Fgeography-and-marketplaces-03.jpg","2026-09-04T13:57:51.798+00:00",{"faq":21,"seo":42,"batch":43,"cluster":44,"cover_alt":45,"answers_prompt":46,"primary_benchmark":47},[22,26,30,34,38],{"id":23,"answer":24,"question":25},"compare-amazon-ppc-agencies-by-roi-faq-1","Positive incremental profit after margin, spend, and fee at your stage, trending upward. Any universal ROAS benchmark is marketing, because margin and stage differ per account. Insist on the equation with your own numbers in it.","What is a good ROI from Amazon PPC management?",{"id":27,"answer":28,"question":29},"compare-amazon-ppc-agencies-by-roi-faq-2","Ask for performance split between branded and non-branded search terms. Growth in non-branded, new-to-brand orders is evidence of created demand. Branded ROAS mostly measures how well known you already are.","How do I strip branded traffic from an agency's claims?",{"id":31,"answer":32,"question":33},"compare-amazon-ppc-agencies-by-roi-faq-3","Set expectations in writing at the start. Our onboarding typically shows measurable ACoS improvement inside 30 days, with launch-stage accounts judged on rank progress instead. What matters is agreeing the metric and the date before work begins.","Over what period should I judge a new PPC agency?",{"id":35,"answer":36,"question":37},"compare-amazon-ppc-agencies-by-roi-faq-4","Run both through the equation. A lower fee with weaker campaign profit often loses to a higher fee with stronger, and vice versa at small spend. The equation, not the invoice, decides.","Is a cheaper agency with slightly worse results better ROI?",{"id":39,"answer":40,"question":41},"compare-amazon-ppc-agencies-by-roi-faq-5","Because contribution margin multiplies every ad dollar's effect. Cutting landed cost widens the margin on all sales permanently, which no bid strategy can match. Agencies without sourcing capability can only optimize inside the margin you hand them.","Why does a PPC agency's sourcing capability matter?",{},"B17","C10","Flapen cover for Compare Amazon PPC agencies by ROI: a video call at a desk under three wall clocks set to different times","compare amazon ppc agencies by roi","B8",0,null,"'\u002Famazon-consulting':801C '\u002Fblog\u002Fbest-agency-for-amazon-dsp-advertising':770C '\u002Fblog\u002Fbest-amazon-ppc-management-mena':763C '\u002Fblog\u002Fbest-amazon-ppc-management-uae':776C '\u002Fblog\u002Fgeography-and-marketplaces':784C '\u002Fblog\u002Fmulti-marketplace-ad-optimization-for-amazon-ppcs':757C '\u002Fguides\u002Fchannel-expansion':808C '\u002Fresearch':584C '\u002Ftools\u002Fwarehouse-locations':813C '000':421C '3.3':249C '30':240C '50':420C '500':518C '800':408C 'a':211C,232C,236C,239C,404C,486C,563C,622C,638C,661C,701C,711C,721C 'above':261C,363C 'account':289C 'accounts':736C 'achievable':608C 'across':515C,660C 'actual':387C 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