Understand the differences between the three most popular Amazon ads types and pick out the one that best fits your PPC campaign.
In recent years, Amazon has become increasingly competitive, with nearly 10 million sellers vying for the attention of customers. Therefore, using Amazon ads seems to be a universal solution if businesses want to expand their traffic and increase the conversion rate. However, little is known that Amazon PPC advertising has three different types of ads, each with its own pros and cons.
If you are struggling with understanding how Amazon ads types work and how to make them profitable, let’s have a look at the article below!
Introducing The 3 Essential Amazon Ads Types
When accessing the Seller Central account, you will be presented with three main ad types: Sponsored Products, Sponsored Brands, and Sponsored Display the Jungle Scout can help the Amazon sellers a lot with their selling. Read more to find about the Jungle Scout.
Though not the same in purpose and function, these branches are all PPC-based, which means you have to pay a certain amount of money every time someone decides to click on the content.
Sponsored Products
In terms of popularity, Sponsored Products definitely exceeds its two counterparts, with nearly two-thirds of existing Amazon seller accounts taking advantage of this at least once.
It is because the application of Sponsored Products does not require enrolment in Brand Registry, making it highly accessible for all Amazon store owners. So what exactly is this type of ad, and what can it contribute to your business?
First off, Sponsored Products enable you to promote a specific product within your listings to potential shoppers. Whenever they type in keywords that match the content of your ads, Amazon will automatically arrange your ads on their search result page.
Where your ads are placed will depend on the listing optimization and sales record. But overall, Sponsored Products makes sure to increase your item’s visibility to those interested in making a purchase.
Another occurrence of Sponsored Products is when Amazon buyers leaf through products similar to what you have to offer. For example, you decided to spend money on running ads about your best-selling meat grinder.
Depending on the keywords you inserted, customers who surf through pages selling food processors or food choppers will likely see an internal link leading back to your webpage. The algorithms of Amazon work in a way that makes products of the same line or industry appear together.
Generally speaking, if you wish to draw attention to products with a low organic rank, using Sponsored Products is highly recommended. It can give an instant boost to listings that are previously unheard of, thus significantly improving the chances of conversion.
That is not to mention that Sponsored Products ads are usually well assimilated alongside organic posts, which means customers are less inclined to associate them with paid content.
Sponsored Brands
Sponsored Brands are relatively easy to tell apart thanks to their extensive coverage at the top of every Amazon search result page. As the name already indicates, Sponsored Brands ads are used to feature an entire store, with the brand’s logo, a few key products, and a tagline.
Unlike Sponsored Products where your ads are stacked against those of your competitors, Sponsored Brands grant you total control over curating a unique shopping experience for your target audience.
First off, you are allowed to customize the banner with your own imagery and ad copy, making it highly relatable and reflective of your business. You can even add in a video for better visual assistance!
Once a user clicks on your Sponsored Brand banner, they will be redirected to your landing page. Here, rest assured that all unrelated content will be removed, essentially ensuring the customers’ attention solely to what your store has to offer. This way, customers are more persuaded to place an order from your brand, thus increasing the RoAS in the long run.
Overall, Sponsored Brands will work best in your favor if you want to double down on brand awareness and attract more visits to your main listing.
While they do not tell your potential buyers which to buy, these ads act as a comprehensive guideline that exposes your customers to a variety of choices.
Sponsored Display
Compared to the two aforementioned ad types, Sponsored Display is arguably the least common, with roughly a quarter of Amazon store owners deciding to test it out.
However, Sponsored Display has managed to become a favorite among digital marketers thanks to its unique feature: the ability to place ads beyond Amazon. No longer are you bound to the platform. With the help of Sponsored Display, your products will be able to appear on other third-party apps and websites.
The working mechanism of Sponsored Display is also different from the typical Amazon ads. Instead of bidding keywords, you have to craft your ads based on the shopping patterns and behaviors of potential customers.
Another way to ensure the quality of your Sponsored Display ads is to target them at the existing traffic, particularly those who have already checked out your listing.
After feeding Amazon with necessary data, the algorithms will calculate ad placements and display your paid content to those most likely to seal the deal.
With a vast number of pages available for Sponsored Display ads, it is no wonder why many Amazon store owners are betting on this, as it would dramatically increase the conversion rate.
To conclude, Sponsored Display will be an optimal choice if you understand the ins and outs of retargeting. Sponsored Display provides you with more room and flexibility to execute your ad campaigns, but it also means that you have to put in extra efforts to secure the performance.
Conclusion
Telling the difference between the three Amazon ads types is easy enough. What matters is whether you can apply such knowledge to real-life and choose one category that serves your PPC campaign.
For those of you who have yet to master this technique, why not consider outsourcing Olifant Digital? Leave your campaign in the hands of the professionals and expect to see the results right away!
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