What are Amazon Product Display Ads? How do They Work?
Amazon Product Display Ads (or Sponsored Display Ads) are PPC ads that can target shoppers interest along with complementary and even competitors’ products.
This is how it works:
Amazon Sponsored Ads and Amazon Sponsored Brands (former Headline Search Ads, HSA) target customers based on keyword searches, but Amazon Product Display Ads target customers a little differently by allowing advertisers to target their ads based on shopper interest or a specific product. So, by appearing just below the “Add to Cart” button, Amazon Product Display Ads can increase the cart value at check out or increase revenues by piggybacking on purchases from your competitors.
Available to vendors through Amazon Marketing Services, it is easy to get started with this pay per click advertising campaign. Simply, select the ‘Product Display’ option, choose your targeting, set your budget, set a few parameters, and you are done!
If you’re not using Amazon Product Display Ads, you are missing out on a golden opportunity to increase sales and beat out the competition. Whether you are looking to boost your sales numbers, drive traffic, and/or increase brand awareness, Product Display ads can help you do it.
Please note: these Amazon PPC ads may be easy to set up, but in order to maximize your return, you need to truly understand how these ads work.
For those of our readers who are using Amazon Ads, we recommend requesting a free PDF report grading your PPC performance for more insights on cost optimization.
Here is a closer look at the 2 different types of targeting that are available to you:
1. Amazon Product Display Ads: Interest Targeting
With the interest targeting option, you can target your ad to potential customers based upon their shopping habits, introducing yourself to a fairly large audience. By selecting specific categories in which to appear, you put your product in front of interested people who may not have found it otherwise.
This type of targeting works best for items that have a specific or niche market on Amazon. At the very least, it is a way to get your brand name and logo in the minds of Amazon users. In this instance, your ad will appear on product listings in the categories you have chosen. Because they have already expressed an interest in your market category, there is an increased chance that they will purchase your product. Even if they do not make an immediate purchase, by seeing, and clicking on your Product Display ad, they now know you exist and are more likely to search for you or purchase from your ads in the future.
The more you can do to get your name out there and create brand awareness in your category, the better.
2. Product Display Ads: Product Targeting
Instead of targeting categories and interests, this option allows you to create an ad that appears on specific product pages. This is perhaps the most powerful way to use Amazon Product Display ads and can help you in 2 different ways:
- First, you can choose to target your own related products. If you want to advertise a set of bath towels, for example, you can target that ad to display when someone purchases your ceramic soap dishes. This alerts the buyer to the availability of this other products they may like or need and increases the likelihood that the buyer will add more items to their cart.
- Second, you can choose to target your competitors’ related products. By selecting ASINs, UPCs, or keywords, you can make your Amazon Product Display ad appear below the “Add to Cart” button on your competitions’ listings. Customers may then take a look at your listing and add your product to their cart instead of, or along with, the product you have targeted. In this instance, you will either steal customers from your competition or piggyback off their customers’ purchases.
Either way, you are, once again, growing and increasing your brand awareness.
How to Properly Utilize Amazon Product Display Ads?
Now that you know why Product Display ads can be a real boon to your business, here are some things to consider that will help you make the most of this valuable marketing tool:
- Products to advertise
- Which products to target
- Product display ads: interest targeting
- Getting the most of your ad copy
a) What Products Should You Advertise?
If you are new to AMS, consider choosing your best selling product, or one with a great customer rating and target that against competitive products. One of the most powerful influencers when it comes to customer purchases on Amazon is customer ratings and reviews.
People inherently trust these statements. So, if someone clicks on your ad from a competitive listing and they see the positive customer feedback, they are more likely to buy from you instead. And, of course, the more people that buy from you, the higher your Best Seller Rank will climb and the more likely it is that people will be able to find your product organically through a keyword search. It is a win all around.
Launching new products also makes for a perfect time to use Amazon Product Display ads. In this case, you will want to target some of your own best selling and popular products. By displaying your ad on your own popular products, you can take advantage of the traffic they generate and create awareness of your new products for both new and returning customers.
And because advertised products can sell faster than those that are not advertised, if you have products that are on sale, or those you want to clear from your inventory, advertising them may do the trick. It is also a good idea to use Amazon Product Display ads to promote seasonal or holiday specific products.
b) What Products Should You Target?
As we mentioned above, product targeting is often used to target competing or complimentary products.
When deciding which products to target, you will want to go after the best your competition has to offer, but do not forget to consider your own strengths. Do not advertise your product on a listing where it does not even have a chance of winning the sale. Match your Amazon Product Display ads to products where yours will stack up or beat it out entirely. It will be a waste of time, effort, and most importantly, money, to do otherwise.
Remember, your goal is not only to increase sales, but also to increase awareness of your brand and your product offerings. The more products you target, the more often your ad will appear. There is no upper limit when it comes to the number of products you can target so do not be afraid to cast a wide net.
c) How To Target Interests?
Interest targeting requires a narrow focus in order to be successful when using Product Display Ads on Amazon. Take the time to carefully consider your product and who your ideal buyer may be. You are not using keywords in this campaign but it would not hurt to write a few down for yourself to help you narrow your categories. The more specific you can be, the better your ad will perform.
Look at it this way: you want your ad to appear to people who are most interested and that means being as specific as possible. If you sell exercise equipment, like a barbell, for example, you will want to do more than target ‘Sports & Outdoors’ or ‘Exercise & Fitness’. You will want to include more narrow interests like ‘Strength Training’.
The more narrow you are able to go, the more likely you are to find someone who is looking for your exact product but did not know that it, or you, existed.
d) How To Maximize Your Ad Copy?
Like Headline Search ads, Amazon Product Display ads allow you to customize images and text. This gives you a unique opportunity to write copy that will take down the competition on their own listing! Obviously you will want to be careful with how you do this but with some clever crafting, you can highlight your competitors’ flaws and showcase the ways your product avoids these shortcomings to better suit the customers’ needs.
Amazon Product Display ads are a powerful marketing tool and are best when used in conjunction with other AMS campaigns. Because these ads will only be displayed on specific pages, they do not get the reach or click rate you see with other types of advertising.
But what they lack in volume, they make up for in specificity. By narrowing your audience to include only those who are shopping in related categories, or shopping similar or related products, you are reaching people who will be most interested in what you have to offer. This baked in buyer interest will help to increase your sales, grow brand recognition, and keep you well ahead of your competition.
This is a guest post by Andrew Maff, Director of Marketing and Operations for Seller’s Choice, a full-service digital marketing agency for e-commerce sellers. Seller’s Choice provides uniquely personalized marketing and managed services for digital marketplace sellers, e-commerce merchants, and brand builders worldwide.