Question: Match the bidding strategy to the definition. Amazon will increase your bids in real time for clicks that may be more likely to convert to a sale, and reduce them for clicks that are less likely to convert to a sale.
- Dynamic bids - up and down
- Dynamic bids - down only
- Fixed bids
Explanation
Dynamic bids - up and down adjusts bids in real time based on the likelihood of conversion. Amazon Ads can raise bids for opportunities that are more likely to lead to a sale and lower bids for opportunities that are less likely to convert. This strategy uses auction-time conversion signals instead of applying one fixed bid to every click. It can support conversion-focused campaigns by making bids more responsive to each auction.
Why the other options are incorrect
Dynamic bids - down only is incorrect because it can only reduce bids for lower-conversion opportunities and cannot increase bids.
Fixed bids is incorrect because it uses the exact bid and does not adjust based on conversion likelihood.
Source for verification
https://advertising.amazon.com/help/GCU2BUWJH2W3A8Z7
The answer(s) to the question is highlighted in the BOLD text above. You can also find more questions and answers related to the exams on the "Amazon Sponsored Ads Certification" page.