Playing the role of Amazon’s advertising ad network and exchange, Amazon DSP features a variety of ad options like high-quality graphic advertising and video commercials that have a track record for successfully converting visitors into customers.
This service allows you to buy display advertising and video ads that you can show across Amazon and its partnered properties (i.e. Amazon devices (Kindle e-readers, Fire Tablet, and Fire TV), IMDb, Woot, Shopbop, Digital Photography Review, Zappos, Goodreads, and Twitch). Among its important features include:
This year, Amazon sellers should take advantage of the new opportunities that Amazon DSP has to offer. To guide you through these opportunities, we’ve listed several functionalities that our clients experience during their Amazon advertising journey!
READ MORE: Looking to learn more about Amazon DSP and how we scale brands with it? Learn what it has to offer in our back-to-basics article here.
With the introduction of the latest version of Amazon Marketing Cloud (AMC) in 2021, advertisers like us have been given more opportunities to get their hands on more information about ad performance and consumers. At a granular level, AMC allows advertisers to:
While some would be concerned about the information being displayed on AMC, Amazon ensures that all analysis is within a privacy-friendly environment.
AMC has allowed for TOFU (top of funnel) advertising to have a clearer and more meaningful impact in a way that advertisers and brands can fully understand where the money is going and how much impact consideration ads bring to their business. AMC gives advertisers the analytics tool that satisfies their need for cross-channel measurement and answers the high-priority questions they’ve been having for the longest time.
Among the many things that have attracted data-savvy advertisers to AMC is its cross-channel reporting capabilities. With web blockers blocking third-party cookies from tracking pixels, creating in-depth reports can become tricky. But with the use of AMC, advertisers are able to overcome that limit and create better reporting due to its data transparency. This data transparency allows for the creation of specialized campaigns with more effective conversion rates.
Read: Top 23 Amazon Advertising Trends & Predictions We See for 2022
Amazon’s TV and online videos ads (or OTT Ads) are gaining more traction and becoming more and more popular to different audiences. These types of ads help with increasing brand awareness through a broad audience reach, making them one of the best options for increasing conversions. As viewers have now switched to watching more shows on streaming services, OTT ads enable advertisers to meet their audiences by having their ads displayed across all of Amazon’s streaming platforms and devices. This switch has enabled brands to increase their purchase rate up to 90% when their ads are integrated into a media strategy.
FACT: As of 2021, there are over 200 million people subscribed to Amazon Prime content globally.
Unlike the normal ads you see on TV, Over-the-top or OTT advertising focuses on ads that run through online streaming services and can also be served programmatically. Streaming platforms have been increasingly frequented by potential customers, especially those from the younger audience, making it the perfect place for advertisers to roll their ads in and try to gain conversions from. Among the most popular places for OTT ads include Smart TVs, video streaming apps, gaming consoles, tablets, and streaming devices. Having an estimated unduplicated monthly US audience of more than 135 million monthly, streaming ads cut the cable cord and reach 74% of ages 18-34, 64% of ages 35-54, and 56% of ages 55 and above. With these numbers, it’s easy to see how streaming TV advertising is increasingly the best place to create more mix to the brand’s media along with lasting customer connections.
OTT ads allow you to reach your target audience within Amazon’s platforms and Amazon’s network of third-party publishers.
As we mentioned, advertisers can target specific audiences who are more interested in our client category and are more likely to purchase products from their brand. They can be targeted by using Amazon DSP insights, Amazon’s first-party data, and having real-time intent for their ads. Through Amazon DSP, advertisers will be able to get more audience information than sponsored advertising, specifically: product interests, shopping behaviors, and demographics (gender, age, income, etc.) data on and off Amazon.
Traditional television ads are usually much more expensive than OTT ads. However, not all OTT ads will be cheap due to their rapidly increasing popularity. But while the cost of OTT ads can rise quickly, they’re a very cost-efficient way of posting visual ads as they’re more likely to have a more controllable ad spend, are easier to track, and have more relevant data after every campaign.
While online streaming services are vast, they weren’t able to reach more consumers in the past. But now that online streaming has been booming, OTT ads have been able to reach audiences that were unreachable before viewers have switched to watching on streaming platforms. Another way to keep the audience hooked is by not having a skip feature, allowing more audiences to watch your OTT ads.
Also known as ad conquesting, competitor audience targeting is among the many features of OTT that make the ad competition stricter. Advertisers may target their ads around those who have seen their competitor’s ads, helping other brands increase their potential customers who might be interested in your products.
This new feature allows advertisers more control over ad placement. By allowing advertisers to block genres, advertisers can make sure that their ads can appear in the most relevant genres that can get the most impressions from their target audience.
Amazon has added new additional content and movies on both IMDb TV and Amazon Prime video which will open more opportunities for ads to reach a larger variety of audiences.
Using a measure-and-buy approach, advertisers are able to pay only for impressions from audiences that are relevant to their brand. Advertisers may also be able to specify where they want their ads to appear.
Amazon OTT features a Video Creative Builder which allows for the creation of compelling and relevant video assets for use with ready-to-use customizable templates. Advertisers can change up the video’s images, background, and description. Existing videos may also be enhanced through this builder, allowing users to add product logos, choose templates, and add other elements such as texts and images.
Read: How Tree to Tub Generated Over 180% RoAS, 13+ Million Impressions, & More in 10 Months with Amazon DSP – Case Study
Unlike other Amazon ad strategies, Amazon DSP allows advertisers to post ads without needing to sell products on Amazon. Because of that, more and more advertisers are starting to use Amazon DSP for creating link-out strategies and generating more traffic to their websites.
Advertisers can use existing audience data from clients to create campaigns that send qualified traffic to your Amazon Store or any website outside of Amazon. This data is commonly not available to other display advertising services as well as it’s only unique to Amazon DSP. Doing this can enable advertisers to reach audiences on non-Amazon channels that are hard to reach or they have never reached before.
Here are some of the advantages of using link-out strategies:
Read: The Ultimate Amazon Storefront Checklist and Best Practices
Link-out campaigns can help you accomplish the following:
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