Amazon has seen a significant increase in its market share, as more brands are turning to Amazon Advertising. When it comes to marketing to consumers directly, brands can’t ignore Amazon’s power.
Amazon is the largest eCommerce retailer, spending $0.51 per dollar. Amazon is the site with more product searches than Google. It has grown to be the third-largest advertising platform over the years.
Although initially, it was sufficient to have your product listed on Amazon to get sales, today you need to participate in Amazon’s advertising programs.
Amazon Advertising: Why Brands Should Be Focused on
Complexity is a hallmark of the Amazon search algorithm. There are many factors that go into ranking your products in an Amazon Search.
Amazon is also focusing on rank manipulation and reviews. A lot of the marketing effort that was once focused on collecting reviews has been shifted to advertising on Amazon in order to stay compliant.
Instead of focusing on products that are discounted for reviews or incentivized reviews, you can use Amazon Advertising as a way to convert your first customers.
As your sales velocity improves, this leads to product reviews. This will allow you to generate the traffic and converts necessary to rank your product organically.
The ranking problem when working with Amazon products can be solved by combining Amazon advertising and different promotional offers that Amazon has.
Amazon advertising will rank your product first on the first page of search results when you launch a product.
If your product is well optimized, you will see a decrease in your dependence on Amazon advertising.
You might still need to advertise even if your products rank high, to protect your digital property or to compete with Amazon advertising. Advertising on Amazon will be less expensive if your product is niche.
Recommended Guide: how to use keywords for building a successful amazon business.
Should you Advertise on Amazon?
You can also advertise on Amazon if you have an existing product that you are able to sell online.
Amazon allows you to market your product at a lower price than other advertising platforms.
Start with a product that is already selling well, and then measure your ROI before adding more products.
Amazon Advertising has gone through many changes over the years. Recently, some of their products were renamed.
These are the four best ways to advertise on Amazon.
1. Amazon Sponsored Products
This is Amazon’s most used advertising method. This powerful tool has been used by brands for years to target shoppers both automatically and manually.
You can use various match types here that you are comfortable with as an advertiser: broad, phrase, and exact matches, as well negative keyword matching.
Amazon Sponsored Products is open to any seller who uses Amazon Seller Central, Kindle Direct Publishing, or Vendor Central.
Amazon is now offering additional targeting options through its Seller Central platforms, such as Category, Interest, and Product Targeting. Advertisers might soon have access to more match types, it is believed.
2. Sponsored Brands Programmes
Headline search ads were rebranded as sponsored brands in September. Seller Central users who have registered their brands with the Brand Registry program, and those using Vendor Central Platform are eligible to participate in this program.
The Sponsored Brands program allows you to place a banner advertisement at the top and bottom of search results pages and inside columns.
The Sponsored Brand program, however, allows you to be creative and add your own tagline. You can also display three products in the ad.
It is also possible to direct customers to the page you choose. You can also direct shoppers to the page of your choice.
- Amazon Custom Page with Different Products
- It allows you to create a brand page or store page for your brand.
Amazon Sponsored brands campaigns can be powerful tools to target similar products and steal market share from your direct competition.
Most brands are eligible for Sponsored Business Brands. A campaign can be started immediately for their brand and product names. This ensures that our customers don’t get diverted to any other listings while they search for our client’s brand or product names.
3. Product Display Ads
Amazon Sponsored Products and Sponsored Brands Programs have enjoyed greater popularity than Product Display Ads. This is due to the fact that it’s a different type of advertising.
You’ll generally see lower conversion rates for Product Display Ads than your Sponsored Products and Sponsored Brands counterparts.
These ads may be effective in some markets, such as the book industry. Amazon Kindle Direct Publishing’s only advertising options are Amazon Product Display and Amazon Sponsored Products.
Product display ads have the advantage of allowing you to market your product directly on the product detail page of your competitor. Your ad will be below the Buy Box for your competitor.
If you have a variety of products similar to your Amazon customers, product display ads can be very effective.
For example, if you have five products under your brand, you can market the slower-selling products on the detail page.
This prevents people from leaving the main product detail page and encourages them to check out other products under your brand.
4. Amazon Demand-Site Platform Platform (DSP Platform).
The first three methods of advertising Amazon are very popular with advertisers. However, Amazon’s DSP platform can be used by big brands to increase awareness for their brands.
You can reach Amazon audiences via Apps through the platform. These formats of ads include:
- Mobile banner.
- Interstitial mobile
- Mobile web display.
Advertisers can only purchase advertisements on Amazon’s sites through the Amazon Demand Side Platform program.
This is a great way to market products but it won’t most likely generate direct sales.
Amazon Demand Side Platform also allows you to access video ads. These are new additions to Amazon’s advertising platform.
Video isn’t a common tool for sellers who want to target the Amazon marketplace. These videos are more in the traditional marketing category, which focuses on building brand awareness and not increasing sales with a single ad.