Amazon Business Advertising Explained

By | Last Updated: 30th June 2019 | This post may contain Affiliate Links

Amazon is a huge marketplace, where millions of people shop on a daily basis, if you’ve listed your products on the website, but haven’t gained many sales you may want to consider advertising on Amazon itself.

Advertising on Amazon is an easy way for you to promote your listings. Adverts appear right where customers will see them, such as the first page of search results or product detail pages.

As of 2019, Amazon have two advertising solutions, these are Sponsored Products for promoting individual listings and Sponsored Brands Ads for registered brand owners to promote their brand and product portfolio.

Let’s explore these in further detail:

Sponsored Products

Sponsored Products help Amazon customers discover and purchase products that you sell on Amazon with ads that appear in search results and on product pages. Sponsored Products can also help you to achieve a variety of goals, from generating awareness of a new product to promoting seasonal items or creating more demand for a best seller.

It works by placing bids on relevant keywords, and if your bid wins and your ad matches the search, your ad gets shown to shoppers.

You can control how much you spend by setting your budget and choosing how much to bid per click. You bid the maximum amount that you’re willing to pay when a shopper clicks an ad for your product. The more competitive your bid, the more likely your ad is to be displayed when it matches an Amazon customer’s search.

Sponsored Products help you grow your sales on Amazon by reaching customers who are searching for products like yours and driving them to your product page.

Remember most businesses use Sponsored products as part of Amazon’s buy box. The Buy Box is the box on a product detail page where customers begin the purchase process by adding items to their shopping carts. A key feature of the Amazon website is that multiple sellers can offer the same product, so you may compete with other merchants to appear in the Buy Box. Amazon uses performance-based criteria to determine your Buy Box eligibility and placement status.

Equally, Amazon provide a range of tools and reports that make it easy to analyse campaign performance and measure success. Once you have launched your campaign, you can view all reports on the reporting page.

If you’re interested in this form of advertising, you should consider ultising Amazon’s video ads – these can be ideal for telling your brand story with high-quality content in trusted, brand-safe environments on Amazon sites like IMDb, devices like Fire TV, and across the web.

Remember, video marketing is one of the most popular tactics for online marketers today, according to Hubspot, 78% of people watch online videos every week, and 55% view online videos every day. Equally according to research by Cisco, ny 2020, online videos will make up more than 80% of all consumer internet traffic.

With the use of Amazon Video Ads, you can now go beyond traditional TV ads to share your brand message with relevant audiences in the many places they consume content. Video ads empower you to showcase your brand message or demo your products and services. Embed your brand message within high-quality content across the web and in trusted environments like Amazon sites and devices.

Sponsored Brands

Sponsored Brands are keyword-targeted ads that showcase your brand and product portfolio. Featuring your brand logo, a custom headline, and up to 3 of your products listings, these ads appear within search results.

Sponsored Brands empower vendors to increase brand consideration and sales on Amazon by promoting multiple products within search results and driving shoppers to a landing page or Store on Amazon.

In addition to offering a placement above search results, Sponsored Brands also now appear on the left side and bottom of the search results page on desktop, as well as within search results on the Amazon app. This allows more customers to engage as they shop and browse on Amazon.

You can decide how you want to manage your bids by choosing from one of two options:

Automated: Adjust bids automatically to optimize your advertising cost of sales across placements. For example, automated bidding can lower bids for other placements beyond top of search. Automated bidding will never increase your bid.

Manual: Increase or decrease your bid by a precise percentage.

You can also monitor ad performance to better optimise campaign results. These are:

Campaign placement report: This is designed to track how your ads are performing in each placement and adjust your budget accordingly.

Keyword placement report: Understand sales and performance metrics for keywords across both placement groups (in all campaigns that have received impressions). Use this information to make bid adjustments and expand your keyword target list.

Campaign report: Gain insights into sales, budget, and performance metrics across all campaigns.

Equally, another cool feature on Amazon is their stores, as of 2019 you can promote your brand and products with your own multi-page Store on Amazon for free. Stores are available for sellers enrolled in the Amazon Brand Registry, vendors, and agencies. You do not need to advertise on Amazon to create a Store, but you must be a brand owner who is selling products on Amazon.

Stores can be great for showcasing your brand story and products, you can help shoppers discover your product portfolio and related products on Amazon. Equally no coding is needed, use drag-and-drop tiles or predesigned templates to create a customised, multi-page Store, without writing a line of code.

Equally stores can be fantastic for custom curation, this means you can feature a dynamic or handpicked assortment of products along with optional multimedia content to enhance the customer shopping experience. Use built-in social features like social sharing buttons, coupled with promotional extensions such as Headline Search Ads, to drive store awareness and traffic.

Another plus point is the fact you can even get your own amazon web address – this means you can drive shoppers to your Store with ads on Amazon and marketing activities outside of Amazon using a unique, easy-to-remember Amazon URL.

You can also use Stores insights to optimise ad campaigns if you wish, stores insights provide you with a powerful understanding of your Stores sales and traffic sources.

As you can see, Amazon offers a great range of advertising opportunities if you want to launch an advertising campaign on their website. Remember to read all their guidelines and plan accordingly for a successful marketing campaign.

Professional Marketing Expert with extensive experience within traditional and digital marketing, business and e-commerce. Also proficient with several coding languages, web development and more. Equally this is re-enforced through over ten years of experience plus a UK university degree - educational accomplishments include being awarded prestigious accolades such as Best Dissertation Award and Citation Awards.