google vs amazon

COVID-19 pandemic is so nice to Amazon, the company witnessed revenues up 26% in the three months since March, because locked-down customers ordered more and more products online, and the people’s disposable income allows them to purchase more due to less expenditure from outside activities. On the other hand, it’s estimated Google will lose no less than $10 billion in advertising revenues this year due to the Covid-19 pandemic. So if you are still not leveraging Amazon marketing resources, it’s time to change.

Perhaps the primary part of Google revenue loss might come from those sectors that severely are impacted by Covid-19 such as travel, or might come from retail, eCommerce advertisers who shift the marketing budget to more focus on lower-funnel channels, rather than Google losing its ads market value in the long term.

However, for marketers, what’s important both over the short- and long-term care Amazon’s continued moves into areas Google once dominated — particularly display ads. Amazon’s display and DSP products have continued to grow in scope, and the company is more actively pushing advertisers to use the functionality as a driver for the top-of-funnel.

What’s more, Amazon’s targeting data is growing richer and set to become more valuable, as Google actively sunsets third-party cookies in Chrome.

Thus by the end of this article about Amazon marketing, you can learn what Amazon marketing ads products you can leverage, how the ads charge, how it works, and where the ads appear.

(Note: Maximizing Amazon marketing ads opportunity is a part of 7 Secrets to Amazon Marketing Success, please click here to explore other 6)

Generally speaking, a robust Amazon marketing ads strategy will incorporate 6 primary ads:

Amazon Sponsored Products is a keyword- targeted, cost-per-click (CPC) advertising program designed to promote individual listings and drive traffic to product detail pages. Because they’re shown to shoppers who are actively searching for terms associated with a particular product, these ads tend to generate high-quality clicks and can yield a much lower ACoS than many other pay-per-click (PPC) programs.

Search Result

sponsored product ads

Sponsored Products Related to this item in a product page

product related in product page

Sponsored Products are available for professional sellers, vendors, book vendors, Kindle Direct Publishing (KDP) authors, and agencies.1 Products must be in one or more eligible categories and be eligible for the Featured Offer in order to advertise.

amazon sponsored product ads

Regardless of the channel itself, sponsored product ads automatic targeting is similar to Google Shopping ads, in which Amazon can automatically show the ads by responding to the most related keywords, or products. Advertisers can only add negative keywords based on the search terms report.

But comparing with Google Shopping ads, sponsored product ads manual targeting has its unique functionality strategies

  • Competitor ASINs

asins in product targeting

Done right, this can be an extremely effective advanced advertising strategy. The idea is to identify a competitor and place your own ad or product on their page. For this to work well, you’ll need to find a competitor product with inferior attributes such as fewer stars, fewer reviews, and a higher price. Then, when a customer lands on your competitor’s product detail page, they’ll be drawn instead of your higher-star rating and better pricing.

  • Brand Name & Category targeting

product targeting amazon

In addition to targeting competitor pages, think about how your own products may lead to cross-selling sales or complementary sales. If someone’s viewing the product detail page for a running shoe, there’s a good chance the shopper will also be interested in a high-performance running sock to go with it. This is one area where it’s ok to target your own products, to those brands, or product categories.

  • Refine Category Targeting

refine category targeting

Under a product category, you can implement a granular strategy, which considers the target by product price range, product review ratings, and shipping plan for prime eligible, or not prime eligible. That hugely helps you calibrate the same category product with a higher price, worse ratings, and fulfillment methods, which make your ads stand out with a cutting edge offer.

sponsored brand ads

These keyword-based, banner-style ads appear above Amazon search results to help build brand recognition and drive shoppers to a complete product portfolio. They feature the brand’s logo, a customized headline, and up to three products. Sponsored Brands can be an effective way to reach consumers who are browsing but don’t yet know what they want to buy. Like Sponsored Products, Sponsored Brands operate on a CPC pricing model, and both of keyword targeting and product targeting are available.

Sponsored Brands are available only for professional sellers enrolled in Amazon Brand Registry, vendors, book vendors, and agencies.

sponsored brand ads

Except for banner-style ads format, it also has a brand video ads format for promoting your products. It stands out in desktop and mobile shopping results and helps customers discover your brand and products as they shop on Amazon. Ads are keyword targeted, cost-per-click, and link customers directly to the product detail page where they can learn more and purchase.

brand story teller

One point I need to remind any marketers who are new to Amazon marketing is Amazon marketplace is a more product-driven channel, which pricing, review, fulfillment, etc, rather than a brand name. In a way, shoppers might not remember your brand but just check out because of your product and review. So sponsored brand ads is a powerful option for brands to tell a brand story on the top of search results when shoppers search a product, generic category keyword.

Product Display Ads are CPC ads that can show up in different areas — on websites, apps, and devices, both on and off Amazon — to drive traffic to a product’s detail page. These ads are relevant to buyers looking for specific product pages, as opposed to those scrolling search results on Amazon. They deliver highly relevant ads to consumers with certain interests, or to shoppers who are actively viewing specific products.

Sponsored Display ads are available to professional sellers enrolled in Amazon Brand Registry, vendors, and agencies with clients who sell products on Amazon.

sponsored display ads

Sponsored display ads also provide product targeting as well as sponsored brand, sponsored product ads do, but it has its unique targeting strategy options to help your brand.

  • Search Targeting

Shoppers who search for keywords relevant to your advertised products, but haven’t purchased the product in the past 30 days. You can drive these prospects to your product pages on and off Amazon by using search targeting ads that are charged by CPM and convert them into sales.

  • View Targeting

Shoppers who viewed the detail pages of your advertised products or similar products, and they haven’t purchased in the past 30 days. Different from search targeting, you only pay for those who click your ads (CPC), and the ads only show off Amazon websites. Also, it retargets those shoppers who visited yours or your competitor’s page.

  • Purchase Targeting

Shoppers who previously purchased your advertised products, but they haven’t purchased in 365 days. It doesn’t make sense if you sold the products which they just need to buy once, however you sold them the products, which need an upgrade, or get older over time, or have a new model coming up, it’s a kind of consumable products, you can use purchase targeting (CPM) and convert them into sales again.

Amazon DSP

Amazon DSP is best suited to advertisers who want to programmatically buy display, video, and audio ads at scale, which is different from Sponsored Display Ads.

You can use Amazon DSP to support a wide variety of advertising goals. For example, for audiences that have already visited your product page, you can remarket to them on Amazon, where they are likely to be in the mindset to purchase. Or, if your goal is to drive brand awareness and expand your audience, then you could reach new customers offsite with a video that introduces your brand, and top products.

amazon dsp targeting

Except for programmatically buying inventories of different ads format in a hub, Amazon DSP allows advertisers to leverage Amazon 1st party data by using Audience builder, which we call DMP normally. And as I discussed previously in the other article, if you’re using a CDP like Lytics, Amazon DSP can integrate with Lytics, so you can leverage more 1st party data (A single customer view) from other channels and in-house, and calibrate a much wider audience accurately in Amazon DSP.

amazon dsp

Self-service and managed-service options are available. Self-service customers are in full control of their campaigns. The managed-service option is designed for companies that want access to Amazon DSP inventory, with consultative service, or for those with limited programmatic advertising experience. But being different with display ads, Amazon DSP’s managed-service option typically requires a minimum spend of $35,000 (US).

Amazon Video Ads

Scale your reach across world-class content to more audiences that matter to your brand. Our video advertising solutions combine first-party insights, measurement capabilities, exclusive inventory, and a unique relationship with Amazon Publisher Services. Use OTT and out-stream video ads to engage audiences across Amazon subsidiaries like IMDb.com, devices like Fire TV, and across the web.

amazon video ads

With Amazon marketing OTT video ads, you can showcase your brand alongside high-quality content, including the latest movies and TV, curated news, and live sports. Reach audiences watching content on connected TVs, publisher channels and networks, IMDb, and IMDb TV.

sponsored video ads

Businesses can buy video ads whether or not they sell products on Amazon. Self-service Amazon DSP users can buy and manage their own video campaigns, while those seeking a managed-service option can work with our ad consultants. The managed-service option typically requires a minimum spend of $35,000 (US).

Amazon Live

You can create your own Amazon Livestream for free by downloading the Amazon Live Creator app or collaborate with us for an Amazon-produced Livestream.

The Amazon Live Creator app is available in the US to vendors who have a Store and professional sellers enrolled in Amazon Brand Registry.
Amazon-produced livestreams typically require a minimum spend of $35,000 (US). Contact a sales consultant for more information.

amazon live

Brands can use the Amazon Live Creator app to produce livestreams to help shoppers discover your brand, see your products in action, and drive sales. Use your Livestream to demonstrate product features and offer shoppers special in-stream promotions.

amazon live

Amazon-produced livestreams allow you to showcase your products within themed livestreams that appear in prominent placements across Amazon. This can amplify your reach on important shopping days like Prime Day, Black Friday, and Cyber Monday, or seasonal events like Back to School or Off to College.

I hope you enjoy reading 6 Amazon marketing ads opportunities and find it helpful. If you did, please support us by doing one of the things listed below, because it always helps out to our channel.

Louis Lu

By Louis Lu

Growth Hacker & Digital Marketer, with a proven record of over 11 years experience in 20+ Asian markets, and 24,000+ connections in Linkedin

One thought on “Amazon Is Eating Google’s lunch? 6 Amazon Marketing Ads Opportunities”
  1. Thank you for consolidating the ads option, indeed pretty helpful! Are you familiar with Amazon Japan and eCommerce market in Japan? I want to explore more.

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