What a % of ad spend really costs you.

Most Amazon PPC agencies and tools charge a percentage of your ad spend — so the more you grow, the more they take. See the real annual difference versus a flat fee, and the exact spend where % pricing starts working against you.

$/mo
Total Amazon Sponsored Ads spend per month.
%
Typical Amazon PPC agencies/tools charge 5–20% of ad spend. Pick or type theirs.
You'd save per year on a flat fee
$2,052
That's what the percentage model costs you over a flat $129/mo, every year — money that grows as your ad spend grows.
% model — per year
$3,600
Flat fee — per year
$1,548
Crossover spend
$1,290/mo
where % = flat
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RedHen is the flat-fee side of this math

RedHen manages your Amazon PPC for a flat monthly fee — never a percentage of your spend. Real profit tracking, automated bid rules, keyword harvesting, and negative keywords — changes wait for your approval by default, or run unattended if you switch that on. A $1.5M seller pays the same flat fee as a $50k seller.

See flat-fee pricing

Running it yourself instead? Start with our Amazon PPC automation rules: the conditions, actions and thresholds, ready to copy.

Amazon PPC pricing — common questions

How much do Amazon PPC agencies charge?

Most Amazon PPC agencies and many tools charge a percentage of your ad spend — commonly 5–20% — sometimes plus a minimum monthly retainer. A few charge a flat monthly fee. The percentage model means your management cost rises automatically every time you scale your ads, even if the work doesn't.

What if the agency charges a percentage of sales instead of spend?

Then the same percentage costs several times more, because ad-attributed sales are usually a multiple of ad spend. On an account spending $4,700 a month on ads and making $13,600 in ad-attributed sales, 5% of spend is $235 a month; 5% of sales is $680. Some agencies quote on sales — both that quoted RedHen Labs' founder did — so check which number the percentage applies to before comparing quotes.

Is flat-fee or percentage-of-spend better?

It depends on your spend. At low ad spend, a small percentage can be cheaper than a flat fee. But there's a crossover point — above it, the percentage costs more every month, and it keeps climbing as you grow. This calculator shows you exactly where that line is for your numbers.

Why is % of ad spend a problem as you scale?

Because it taxes your growth. If you double your profitable ad spend, a percentage-based fee doubles too — even though managing the account isn't twice the work. You end up paying more precisely because you succeeded. A flat fee keeps your cost fixed while your sales climb.

What does RedHen charge?

RedHen charges a flat monthly fee for Amazon PPC management and profit tracking — never a percentage of your ad spend. A large seller pays the same flat fee as a small one, so your management cost never punishes you for scaling.

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