Amazon is a great marketplace where millions of people visit every day. It’s an excellent platform for businesses to sell their products and reach a massive customer base. However, reaching the relevant audiences within that customer base is what matters. Whether you are trying to build your brand awareness, increase your sales, or get more customers on Amazon, there are different tools and ad types on Amazon Ads that you can utilize to work towards your objectives and goals.
Before continuing with the Amazon ads topic, there are many acronyms and terms in marketing, and reading a short text can sometimes be confusing. To help with that, here is a mini glossary of the terms and abbreviations you can come across while reading our blog post or managing your ads and checking your metrics.
As mentioned above, you can utilize different ads for various objectives, including sponsored products, brands, displays, and stores. Each has its use cases and placements and serves different goals. Utilizing more than one ad type can help you achieve your objectives and assist you with targeting mixed campaign goals.
Sponsored Products is the ad type to use when you want to advertise your products to customers actively looking for certain products or making searches with related keywords. You can promote your products one by one with different campaigns or select a few of them under the same campaign and set a Sponsored Products ad.
Within the campaign, you can manually target specific keywords (Amazon will show you some options for keywords you can use based on your product’s category) or if you don’t have any previous data and don’t want to do a keyword research, you can select the automatic mode for Amazon Ads’ system to target keywords automatically.
When a customer searches with your chosen keywords, your product will appear with a “sponsored” mark alongside other products related to the search term. Another way of targeting is product targeting. In product targeting, you can search and choose different products (for example, best sellers in your category) on Amazon to place your ads (Amazon will show you some options for product alternatives for targeting). This way, your product will appear on targeted products’ pages as related items with a “sponsored” mark.
To use both targeting methods, you must create two separate keyword and product targeting campaigns to see which works better for your brand.
For pricing in Sponsored Products, you need to adjust your daily budget for the campaign and manage your bids on targeted keywords or products. This type of ad is suited for objectives such as increasing sales, promoting your products, and boosting your brand's visibility.
Sponsored Products ad makes it easier for customers to find your products while browsing. Once a customer clicks your ad, they will go to the product details page of your advertised product.
Sponsored Display Ads are only available to Vendors, Professional Sellers (Enrolled in Amazon Brand Registry), and Agencies. This ad type can reach customers on the Amazon home page, shop result pages, product detail pages, and 3rd party apps and websites.
The shape and size of the ads are automatically adjusted depending on their placement, as they can appear in different places on apps and websites. Also, the targeting methods of Sponsored Display ads differ from those of Sponsored Products.
With Sponsored Products, you can use keyword or product targeting, as mentioned above. However, with Sponsored Display, you can use audience targeting, which allows you to reach customers with particular interests, potentially customers who viewed similar products and categories, or customers who have purchased your products or similar products in similar categories within a specific time range.
Also, you can add headlines, product images, and your brand’s logo to Sponsored Display ads. According to Amazon, advertisers using sponsored display audiences see up to 74% of their ad-attributed sales driven by new-to-brand customers.
These ads are suited for reaching more customers, increasing sales, increasing traffic, and building brand awareness. Regarding pricing, CPC and CPM are available for this type of ad. Suppose you want to reach customers based on interests, not keywords, or increase traffic to your business’ website. In that case, sponsored display ads can build an ad campaign to reach customers on and off Amazon while increasing your visibility and reach.
Sponsored Display Ads are available to Vendors and professional Sellers (Enrolled in Amazon Brand Registry). Sponsored Brands ads can reach customers in different places on Amazon, such as product detail pages, homepage, top and bottom of search, and middle of search (if there’s a video in the ad).
In Sponsored Brands ads, you can add logos, videos, headlines, and some of your products in a single ad. Once a customer clicks on your ad, you can choose to direct them to your product list page, where you show a range of your selected products, or to your brand store page, which can be used to give detailed information about your brand, your story, products, showcase all of your products, and engage with customers.
If customers click on the product itself, they will be directed to the product details page; however, if they click the headline or your logo, they will be directed to the store page or product list page, depending on your choice. You can also use a video ad format to direct the customer to the product detail page once they click on the ad. You can use keyword or product targeting with Sponsored Brands like Sponsored Products.
These ads are powerful because they can appear at the top of results or product pages and grab attention. Amazon also offers other features, such as brand follow and Amazon posts, which can increase engagement, build customer relationships, and strengthen your brand’s presence on Amazon.
Regarding pricing, CPC and CPM are available for this type of ad. Sponsored Brands ads can create awareness, increase sales, and engage with new-to-brand customers. According to Amazon, “Advertisers who used all Sponsored Brands ad formats saw on average 79% of their sales from new-to-brand customers.”
Sponsored Display Ads are available to Vendors and professional Sellers (Enrolled in Amazon Brand Registry). Sponsored TV ads are video-format ads that can help you reach customers on streaming platforms such as Prime Video, Twitch, and other streaming TV services through Amazon Publisher Direct. However, currently, they are only available in certain countries.
Are you unsure which ads to use and which campaigns to run? Let Ecomglue handle the ad strategy and setup while you focus on your business and grow your brand.