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Sponsored Display Ads

Sponsored Display Ads

There is no denying that Amazon advertising has become a key player for all e-commerce businesses, selling both on and off Amazon. With Amazon advertising, you can take control of your campaigns to gain awareness of your brand and reach relevant shoppers. Amazon provides advertisers with a variety of options, including Sponsored Products, Sponsored Brands and Sponsored Display campaigns, from which you can pick and choose and personalize the perfect campaign strategy for your business. So, what exactly are Sponsored Display ads? This guide will tell you all you need to know to use these self-service ads like an expert.

What are Sponsored Display Ads?

Amazon Sponsored Display Ads are a self-service display advertising solution with auto-generated display creatives, designed to inspire shoppers to purchase your products. Available for desktop and mobile, display ads appear on product detail pages, search results pages as well as third-party sites (with audience retargeting) and allow you to reach shoppers throughout every step of their purchase journey.

Sponsored display ads allow advertisers to use first-party shopper insights, including interests, categories and ASINs to target audiences as opposed to keyword targeting. This means, you can specifically target those who are most likely to purchase your products based on their shopping behavior.

Sponsored Display Ads Breakdown:

What: Ads including product features, image, price, star rating and deal batch, automatically generated from the product detail page

Where: Placements can appear on Amazon product detail pages, on the right side by the buying option, on customer review pages or at the top of the offer listings page. With Sponsored Display retargeting, ads can appear on Amazon owned & operated properties (i.e. Amazon retail site and mobile app, IMDb, Twitch, etc.) as well as on third-party sites

How: Campaigns are optimized through Amazon machine learning and automation and the advertiser maintains the ability to change a bid or pause a campaign at any point

Who: Available for vendors and professional sellers who are enrolled in the Amazon Brand Registry in CA, US, DE, ES, FR, IT, UK, UAE, IN, and JP (features may vary across marketplaces). Shoppers who have previously viewed a certain product or similar products and those who expressed interest in the product’s category will be reached while browsing on Amazon. With retargeting, advertisers can also reach shoppers off Amazon

Sponsored Display vs. DSP

Sponsored Display AdsDSP
Available for:Advertisers that sell on AmazonAdvertisers that sell on Amazon and those that don’t
Minimum ad spend:No minimum ad spendMinimum ad spend for managed services with Amazon. However, when working with an agency, you can avoid this minimum ad spend
Campaign management:Quick, self-service campaign creation and managementIncreased customization for reporting. You get much more information and additional KPIs with DSP. You can also set whether the ads are displayed on Amazon or off Amazon, and mobile or desktop only, and much more
Pricing model:Cost-per-click (CPC)Cost-per-impression (CPM)
Campaign setup:Campaign setup in Seller Central or the Advertising ConsoleCampaign setup in the Amazon DSP
Ad type:Display adsDisplay, mobile and video ads as well as the Fire Tablet. Now, video ads are also available on Twitch gaming platform

Benefits of Sponsored Display Ads

Display ads allow you to reach relevant audiences to grow your Amazon business with placements on Amazon product detail pages, search results pages, third-party websites and apps. The key benefits to sponsored display ads are the self-service format and automatic creatives, that make it extremely easy to access and create display campaigns, and the CPC format, which helps you control costs.

Bring traffic to your product detail pages

Increase your brand awareness and exposure for new products using Sponsored Display ads. You can gain traffic from your competitors and direct those relevant shoppers directly to their products with display ads.

Boost impressions

Display ads can help you retarget those who have viewed your products in the past without making a purchase and target those who have viewed similar products or exhibited relevant shopping behaviors. Use display ads to increase your upper funnel appeal, capture shoppers’ attention and draw them down the funnel.

Because you can place your ads under a competitor’s listing, you can display your best products directly next to theirs. 

Note: it is extremely important that these placements are strategic to get the most out of your ads. Our advertising experts at factor-a can help you get the most out of your Sponsored Display campaigns.

Large budget and creative creation not necessary

The CPC model and the automatically generated creatives allow advertisers to increase their presence and expand their reach exponentially to specific product detail pages without breaking the bank. Increase your product awareness, consideration and conversion.

*Your campaign will automatically be paused if your product goes out-of-stock to avoid unnecessary spending as well as poor brand impressions

Brand safety tools

Amazon has implemented brand safety tools that deliver your ads to trustworthy placements. This means, they are appearing only with appropriate and relevant content. Third-party integrations allow Amazon to protect you from invalid traffic, unauthorized sellers and unsafe content and first-party traffic quality to monitor for unsafe content. Amazon manually reviews third-party websites and apps and blocks them from Amazon if deemed necessary.

Targeting with Sponsored Display Ads

There are three different targeting options with Sponsored Display Ads: Product Targeting, Audiences Views Remarketing and Audiences Interests. Audiences is a new feature of Sponsored Display ads and you can find out more details about what it is and how to use it in our article. The following outline can help you understand what targeting is best used for what purpose: 

Product targeting: Drive consideration or cross-selling

  • Best used to: promote your products among those shoppers actively browsing yours or similar products as well as relevant categories.
  • Ads appear: On relevant product detail pages and shopping results pages across Amazon on desktop, mobile and Amazon app

Audiences: Views Remarketing: Target high-intent shoppers

  • Best used to: Re-engage audiences who have viewed your product detail page or reach audiences who have viewed detail pages of similar products and within given categories in the past 30 days but did not purchase
  • Ads appear: On the Amazon home page, relevant product detail pages, shopping results pages (on desktop, mobile and the Amazon app), as well as off Amazon on third-party websites and apps (not yet available for IN and JP)

Audiences: Interests: Introduce your products to new audiences

  • Best used to: Target audiences with behaviors that indicate they may be interested in your product, i.e. those who have browsed within a specific interested segment within the past 90 days
  • Ads appear: On relevant product detail pages and shopping results pages across Amazon on desktop, mobile and Amazon app

How to Create and Use Sponsored Display Ads Campaigns

1) In the campaign manager, choose to “Create Campaign”

2) Select the “Sponsored Display” ad type

Campaign Type Amazon Advertising
Select Sponsored Display Ads (source: screenshot Advertising.Amazon.com)

3) In the settings section, enter the following:

  • Campaign Name (not public)
  • Campaign start and end date- pick anytime that works best for you and you have the ability to pause your campaign at any point and start it again in the future
  • Daily budget- amount you’re willing to spend in one day, spread out over a month and applied across all days in a month
Campaign Settings
Sponsored Display Ads Campaign Settings (source: screenshot Advertising.Amazon.com)

4) Select your targeting type (Product or Audiences)

  • Select which products or categories or which audiences you want to target

Only one targeting type per campaign; automated engagements help target audiences that are most likely to convert

Product Targeting
Product Targeting
Audiences Targeting Interests
Audience Targeting Option (source: screenshot Advertising.Amazon.com)

5) Select the product to advertise

Select Products to Advertise
Select Products (source: screenshot Advertising.Amazon.com)

6) Customize creative with a custom headline and brand logo *only available with audiences views remarketing or product targeting

Note: Headline must meet Sponsored Display Creative Acceptance Policies and existing campaigns without a headline and logo cannot be updated, but rather must be stopped and created anew. Campaigns with headline and logo must contain no more than 100 ASINs

Set Custom Creatives with Sponsored Display Advertising
Custom Creatives

7) Enter your bids (see Bidding Breakdown below)

8) Review all information and submit your ad

Note: If a campaign does not contain custom creatives, it will be ready to go live within 1-2 hours, whereas those with custom creatives will go through a review process, which may take between 24 hours and 3 business days. then submit your ad

Bidding Breakdown

Imagine an auction- bidders putting up their number, each offering a little more than the last to try to win whatever sought-after item is up for sale. This is exactly what happens in mere milliseconds every time a shopper types in a search term on Amazon, except the bidders are advertisers and the “sought-after item” is an ad placement. 

It is important to set your bids and bid ranges so you have a good chance of winning the auctions that are most relevant to your business, without overspending. If your ad is determined the most relevant in a given auction and your bidding price is right, it will be ranked highest and shown to the shopper. It is important to make strategic bids in order to maximize your budget and win the best placements for you and your business.

Setting a bid for Sponsored Display Ads Campaigns
Set your bid (source: screenshot Advertising.Amazon.com)

At factor-a, our Amazon Advertising team has the experience and expertise to help you build the best advertising strategy for your business. We will work with you to determine what makes sense to spend where and how you can utilize Amazon Display ads to maximize your online business. Contact our experts today to learn about what we can do for you.

About the author

Kristen Bryk

Amazon Expert


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