Pay-per-click advertising - you pay when a shopper clicks, not when the ad shows. On Amazon this covers Sponsored Products, Sponsored Brands and Sponsored Display.
ExampleA shopper searches "kids flash cards", your Sponsored Products ad shows, they click, you pay the auction price. No click, no charge.
PPC is the auction layer of Amazon advertising. Every ad format sellers touch day to day - Sponsored Products, Sponsored Brands, Sponsored Display - is bought on a pay-per-click auction. You bid on a keyword or a target, Amazon ranks the bids, and you pay only when someone clicks.
The operator view: PPC is a tax on visibility you have not earned organically yet. The goal of a well-run account is not more PPC - it is using PPC to buy rank and data until organic carries more of the load. That is why PPC spend should always be read against total revenue, not just ad revenue.
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