Are you looking for a way to drive brand awareness? Have you thought about Amazon advertising? This e-commerce platform provides a variety of marketing solutions for businesses trying to boost their brand loyalty and sales.
Amazon advertising includes sponsored product ads, sponsored brand ads, product display ads, video and audio advertisements, etc. Each marketing solution strives to achieve the goals of brands and sellers. A multitude of factors influences Amazon advertising costs, such as the chosen advertisement type, targeting strategy, and marketing goals.
Learn more about the following four types of Amazon advertising in detail.
Sponsored product ads
One of the most popular types of advertising on Amazon is sponsored product ads. These are PPC advertisements designed for promoting a single product. Businesses can either automatically or manually target keywords, which their shoppers would find relevant. By selecting automatic keyword targeting, Amazon is responsible for the choice of keywords.
Moreover, sponsored product ads don’t resemble traditional advertisements, thus blending in perfectly with the search results of prospective customers. These assist businesses in generating sales, launching new offers, and eliminating excess inventory. Companies only pay for advertising when a shopper clicks on the advertisement, which enables businesses to have greater control over their marketing budgets.
Moreover, sponsored product ads appear on the right side and the bottom of search results, as well as on product details pages. These are available to professional sellers, book vendors, retail vendors, agencies, etc. Businesses are advised to rely on negative keywords and automatic targeting so as to get the best results from their sponsored advertisements.
For instance, by using negative keywords, you will eliminate the clicks of low value, as Amazon won’t display your advertisements for the keywords you choose. Automatic targeting helps businesses find the right keywords. Companies are recommended to use automatic targeting for several weeks until they gather enough data to switch to manual targeting. Read more about negative keywords and how to use them.
Sponsored brand ads (SBAs)
Another prominent type of Amazon advertising is the use of sponsored brand ads whose ultimate goal is increasing brand awareness and sales. These advertisements allow businesses to promote up to three products, appearing above, below, or on the left of search results. They include the brand logo, selected products, and a custom headline.
Shoppers can be redirected to different pages upon clicking on an SBA. When clicking on the brand logo, prospects are usually redirected to the e-store. In contrast, when clicking on the product, they go to its detail page. SBAs follow the same PPC format as sponsored product ads, meaning businesses are only charged when customers click on the advertisements.
Moreover, SBAs are beneficial for both new and already recognized brands. These ads help recently developed brands get the recognition they need. Conversely, established brands use them to improve customer loyalty and retain their customers. Also, SBAs enable businesses to showcase their products with the help of landing pages by attracting the attention of buyers with images and videos.
The performance of sponsored brand ads can be improved by targeting between thirty and forty keywords for the purpose of reaching a wider target audience. Also, using A/B testing is helpful in improving the quality of the advertisements. Businesses are encouraged to experiment with various images and headlines.
In addition, the headlines are supposed to be actionable to stimulate buyers to make a purchase. Therefore, you should include call-to-action (CTA) in the headlines, such as save now or buy now. See this link, https://www.investopedia.com/terms/c/call-action-cta.asp, for a better understanding of the call to action (CTA).
Product display ads
Another important type of advertising on Amazon is product display ads. These are designed to target the interests of shoppers. There are two types of targeting involved in this type of advertising, interest-based, and product-based advertising. The former targets the broader interests of shoppers, helping businesses reach a vast audience. The latter refers to targeting similar goods to those of the competitors.
The focus of product display ads isn’t placed on the keywords but the similarities between the interest of buyers and your goods. These advertisements appear on customer review pages, merchandising emails, relevant product detail pages, as well as outside Amazon. Businesses can improve the competitiveness of these ads by running non-stop campaigns. Almost fifty percent of Amazon shoppers make at least one purchase per month. Consequently, you need a campaign that runs round the clock.
Audio and video ads
Audio and video ads are a popular form of Amazon advertising outside the Amazon platform. These advertisements reach customers while they watch TV or listen to music. Also, individuals are exposed to them when visiting Amazon-operated sites like IMDb or Twitch. Video ads include in-article videos, in-feed videos, and video in-banners.
Additionally, video advertisements can only be accessed by collaborating with an Amazon ad consultant. Unlike the other types of advertising offered by this shopping platform, these require a large budget. For instance, you will need a minimum of $25,000 to have such a marketing campaign designed to fit your requirements.
How to set an advertising budget?
The advertising budget of businesses whose goal is to promote their products on Amazon should be based on a marketing strategy. Prior to setting a budget, you need to determine your expectations, the duration of the campaign, and the money you are willing to spend.
Amazon bids refer to the sum of money you are ready to pay for shoppers to click on your advertisements. There are two bidding options, dynamic and fixed bidding. In the case of dynamic bidding, Amazon is in charge of adjusting the bid based on the likelihood for the advertisement to convert. Conversely, fixed bidding means you are responsible for selecting the bid. Regardless of which type of bidding you choose, it’s important not to end up overspending.
To sum up
The popularity of Amazon is what encourages vendors to try this type of advertising.
Your rank on this shopping platform will be improved in no time!
