Which two variables are used by the auction to determine which ad will display?
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Correct answer: cost-per-click bid, relevancy.
Why this is the answer
The Amazon Ads auction uses two primary variables to determine which ad wins an impression: your cost-per-click (CPC) bid and the ad's relevancy. Your bid indicates the maximum amount you're willing to pay per click. Relevancy is determined by factors like the ad's content, the product's detail page, and how well it matches the customer's search query. A higher bid can help, but a highly relevant ad with a slightly lower bid can often outperform a less relevant ad with a higher bid. Pixels and ad spend are tracking and budgeting metrics, not direct auction inputs. Ad type and budget are campaign settings, not real-time auction variables.
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