Amazon Advertising allows merchants to use their existing Amazon inventory data to create custom ads that appear on Amazon product pages or any of the millions of other websites participating in Amazon’s advertising network. Unlike Google AdWords, which requires advertisers to pay each time someone clicks on an ad, Amazon only charges when someone clicks on an ad and then buys the product you’re advertising. In this way, it’s like how you don’t pay every time someone looks at your store window – you only pay when they walk inside and make a purchase.
What Is Amazon Advertising?
If you’re an active shopper, it might surprise you to learn that about half of all products sold on Amazon are sold by third-party sellers. This is where things like sponsored product ads come into play. When a company advertises a product and has it listed directly on amazon they are considered to be a 3rd party seller.
Every product you see listed on Amazon has a set of data associated with it that’s called an item listing. This includes things like its ASIN (Amazon Standard Identification Number), product description, brand, price, images, etc. When you see sponsored product ads on Amazon, those are used to drive traffic directly to those item listings so customers can purchase them.
There are two primary ways you can advertise your products using sponsored product ads. You can either create your campaigns to promote a specific product or you can opt to create an ad group within an existing campaign.
When you create a campaign, it acts as an umbrella for all ad groups within it. If you’re planning to promote multiple products within a single campaign then you should consider creating separate campaigns instead.
How to Create an Effective Advertisement
Whether you’re brand new to Amazon or have been selling there for a while, creating effective ads is a great way to reach your audience and gain more visibility. To get started, use the following tips.
When you’re creating your ads, it’s important to consider two things: your budget and what you want to achieve. Do you want to drive traffic to a certain page? Increase engagement with a product or promotion? Drive sales of an individual product?
If you’re using your budget to drive sales of a specific product, make sure to include relevant keywords. For example, if you want customers to buy a certain fitness band, using your headline and description to mention synonyms of fitness bands is one way to promote that specific product.
Think of your landing page as your product page. When you link your ad to a separate page on your site, it allows you to increase engagement and sales by offering customers more information and options. For example, if you sell pet supplies, add in links so customers can learn more about specific pet breeds or see related products they might be interested in purchasing.
Amazon Advertising Requirements
As a first step, you’ll need to set up an Amazon seller account, then verify your seller eligibility. You must have products that are fulfilled by Amazon in order to advertise on their platform. Once you’ve verified your seller eligibility and selected a business structure (individual or professional), you can start creating campaigns on Seller Central. There are two types of campaign options: Sponsored Products and Headline Search Ads.
Sponsored Products are product display ads. They can be used to promote a single product or multiple products. Headline Search Ads are text-based ads that appear in search results and on category pages, including subcategories, of products on Amazon. Sponsored Products require you to have an image uploaded for each product, while Headline Search Ads do not require images or brand logos.
Both Sponsored Products and Headline Search Ads can be targeted based on geographic region, language, device (desktop, mobile, or, tablet), customer engagement, estimated sales volume, and/or category/subcategory. You can choose to have your ad appear immediately when it is created or to set a daily budget.
What Makes a Good Amazon Advertisement?
Before you decide to advertise on Amazon, it’s important to understand what makes a good ad and what doesn’t. While there are no official guidelines that outline exactly how an ad should look, there are common characteristics of strong ads. Strong ads have a clear CTA (call-to-action) that informs potential customers why they should click and buy.
People often ignore ads because they aren’t interested in what’s being advertised. When a customer clicks on an ad, it’s because they either want to buy what you have to offer or learn more about your product and brand. If you don’t communicate why your product is valuable, customers will leave without making a purchase.
Though it might seem like there are no boundaries when it comes to designing advertisements on Amazon, there are some basic tips that should be considered.
It’s also important to make sure your product is seen first. It can be easy to get caught up in designing an eye-catching ad that doesn’t relate bac to your product or brand. While ads with engaging images and designs are important, they shouldn’t take away from your products and their value. Your ad should focus on what you have to offer, not what you want to say about yourself as a brand.