My product is struggling with low sales and high ad costs, and I’m stuck on how to improve performance. Below is a detailed breakdown of my situation, and I’d appreciate any practical advice from experienced sellers.

Current Product & Traffic Status

My product is priced higher than the market average, with significant differentiation from competitors in terms of design and functionality. However, sales have been stagnant, and I’m relying heavily on ad spend to drive orders—this has led to a high ACOS that I can’t bring down. Here’s a detailed breakdown of my current performance:

  1. Ad Performance & Conversion Data

I spend approximately $250 per day on ads, with an average CPC of $1.8. Most ad orders come from auto campaigns, while exact match manual campaigns have extremely high ACOS (over 80%) and low conversion rates. Third-party tools (like Helium 10/Cerebro) show that the average conversion rate for my target keywords in this category is 15-20%, but my actual conversion rate is only 4-5%.

I’ve tried adjusting bids, adding negative keywords, and optimizing my listing, but the conversion rate hasn’t improved. The gap between my conversion rate (4-5%) and the category average (15-20%) is too large, making it impossible to reduce ad spend.

  1. Organic Traffic & Ranking

My product has been listed for 3 months, with over 600 reviews and a 4.6 rating. However, organic traffic is almost non-existent—90% of orders come from ad spend. Even when I push ad spend to $300/day, organic sales only account for 10% of total orders. I’ve checked my listing multiple times and confirmed there are no issues with keywords or category placement.

  1. Inventory & Supply Chain

I have 1,200 units in stock, with 300 units in transit and 2,000 units in production. If sales don’t pick up soon, I’ll face overstock issues. My current daily sales are around 30-40 orders, with ad spend accounting for 60% of revenue—this is unsustainable long-term.

Key Questions I Need Answered

How can I improve my conversion rate from 4-5% to the category average of 15-20%? I’ve optimized my listing copy, main image, and A+ content, but there’s been no significant improvement.

Is there a way to reduce ad spend while maintaining sales volume? Currently, cutting ad spend leads to an immediate drop in orders.

Should I adjust my pricing strategy? My product is priced 10-15% higher than competitors—would lowering the price help boost conversion, or would it hurt my brand positioning?

I’m really stuck right now. I’ve tried almost every method (adjusting bids, optimizing listing, testing ad creatives) but haven’t seen any progress. Any practical advice would be greatly appreciated—thank you in advance!