How to Use Amazon Advertising to Boost Your ROI

Amazon is the go-to place for eCommerce shopping and sellers. Mr. Bezos has created a strong platform that allows for all easy access to whatever you need, whether that be grocery products, sporting goods, or electronics; Amazon has it all.

For years, Google Ads has dominated the paid search game, but Amazon is positioning itself to be a viable substitution, especially in the eCommerce space. If not a substitution, Amazon is at least another medium you can use to reach eager consumers. The benefit of advertising on Amazon is the fact that searchers on this platform have a strong buyer’s intent already. One could argue that searchers on Amazon, on average, have a higher intent to buy than searchers on Google or Bing since it’s strictly an eCommerce site.

If you are selling a physical product and are not taking advantage of the powerful platform of Amazon, then you should be asking yourself, “why?” And if you are selling on Amazon but not taking advantage of the advertising avenue provided, then you are missing out.

Amazon sponsored ads provide your business, as well as your products, with valuable exposure. Unlike Google Ads, Amazon incentivizes you when spending money on ads by actually boosting your organic rankings inside the platform. But much like Google Ads, Amazon provides you with different sponsored ad options and the ability to track return on investment and other key metrics.

Types of Amazon Sponsored Ads

There are 3 types of Amazon sponsored ad options to get you started with Amazon Advertising.

1. Sponsored product ads

These ads are very similar to the ads you would see inside the Google Shopping Network. Just like Google Ads, product ads use keywords to target searches. The keywords include broad match, phrase match, and exact match. Once you build your ad campaign, you can control the daily budget and even set the campaign duration. These ads will display above or below the search results page, as well as other product detail pages. For example, if someone were to search backpacks, the product display ad may appear as such:

2. Headline search ads

These ads take the form of a headline banner ad and always appear above the search results page. Headline search ads are powered by cost-per-click and lead searchers to a specific page you set. The ads are always keyword targeted, but unlike sponsored product ads, headline ads only take advantage of phrase and exact match keywords. Going with our same example, a backpack product display ad may appear like this:

3. Product display ads

These ads work in a much different way than the previous two types we’ve highlighted. Product display ads are not keyword targeted, rather interest or product targeted. When building this type of campaign, you select an interest or product category from a long list. However, each campaign is limited to one type of interest or product category, in an attempt by Amazon to make advertisements as relevant as possible. Product display ads appear to the right or at the bottom of the search results page, at the top of the offer listings page, as well as in Amazon marketing emails. Similar to our previous examples, if someone were to search backpacks, this specific product display ad could appear like this: 

How to use all three ad types to your advantage

All three Amazon sponsored ad options provide you with a unique opportunity to get your product in front of potential customers. The recommended approach is to use all three ad options in your advertising arsenal and to use them in a strategic and calculated way. This often scares some people away from discovering how much advertising on Amazon can benefit their business and improve ROI.

Pyxl has been a strong player in the digital marketing space and has the resume to prove it. We’ve provided clients with successful, results-driven paid media campaigns. We incorporate our strong knowledge of Google Ads and other paid media avenues to take brands to the next level on Amazon. We’re excited to boost your business’ presence inside the Amazon search network. Reach out today to discover how we can help!

Updated: Apr 13, 2022