Amazon offers a diverse set of advertising options, and each one has its distinct strengths. Understanding Sponsored Products, Sponsored Brands, and Sponsored Display is essential for sellers, advertisers, and marketers aiming to maximize sales, build brand awareness, and reach the right audience. Let’s break it down to help you craft a strategy that meets your goals.
Sponsored Products focus on driving immediate product sales, Sponsored Brands highlight a business’s broader product range to enhance brand awareness, and Sponsored Display excels at retargeting and expanding reach beyond Amazon. Each serves a specific purpose, and together, they can build a comprehensive advertising strategy. Let’s learn in depth below.
What Are Sponsored Products?
Sponsored Products are Amazon’s bread and butter for advertising. These ads are pay-per-click (PPC) and appear directly within Amazon’s search results or on product detail pages. Designed to promote individual product listings, they ensure your product gets in front of shoppers actively searching for similar items.
Who Can Use Sponsored Products?
To use Sponsored Products, sellers need:
- A professional seller account.
- Products eligible for the Buy Box.
- Items that are new, not used or refurbished.
- Listings in categories allowed by Amazon.
What Makes Sponsored Products Stand Out?
The power of Sponsored Products lies in their targeting options:
- Keyword Targeting: You can bid on specific search terms, such as “organic coffee” or “wireless headphones,” ensuring your product is seen by the right audience.
- ASIN Targeting: Target specific competitor products or complementary items.
- Category Targeting: Broaden your reach to include entire categories relevant to your products.
- Negative Keyword Match Types: Exclude irrelevant traffic with exact or phrase match exclusions.
With Sponsored Products, you pay only when someone clicks on your ad. These ads provide detailed performance metrics, including cost-per-click (CPC), click-through rate (CTR), and return on ad spend (ROAS), allowing you to monitor and refine campaigns for maximum impact.
What Are Sponsored Brands?
If you want to showcase your brand’s personality and product range, Sponsored Brands are the way to go. These ads let you feature your logo, a catchy headline, and a carousel of selected products, appearing prominently at the top of search results.
Who Can Use Sponsored Brands?
To access Sponsored Brands, sellers must:
- Be enrolled in Amazon Brand Registry.
- Offer products that are new and in eligible categories.
- Be able to ship to all U.S. addresses.
Why Choose Sponsored Brands?
These ads are a perfect choice for driving brand awareness. By linking to your Amazon Storefront or a curated landing page, you can direct shoppers to explore your entire catalog or specific collections. The keyword targeting feature ensures your ad appears for searches relevant to your products.
For example, imagine you’re selling organic skincare. With Sponsored Brands, you can create a campaign showcasing your bestseller, a value set, and a new launch, all under a beautifully designed ad featuring your logo and slogan, such as “Natural Beauty Starts Here.”
What Are Sponsored Display Ads?
Sponsored Display takes advertising a step further by extending its reach beyond Amazon. These ads appear not only on Amazon’s platform but also on external websites and apps, allowing sellers to target audiences throughout their shopping journey.
Who Can Use Sponsored Display?
Eligibility for Sponsored Display requires:
- A professional seller account or vendor status.
- Enrollment in the Amazon Brand Registry.
What Sets Sponsored Display Apart?
The strength of Sponsored Display lies in its audience targeting:
- Views Remarketing: Target customers who viewed your products but didn’t buy.
- Product Targeting: Focus on specific product detail pages.
- Audience Interests: Vendors can target users based on their shopping behavior.
These ads are excellent for re-engaging customers who have interacted with your products or reaching new-to-brand shoppers. For instance, a customer who browsed but didn’t purchase your fitness tracker could later see your ad while reading a fitness blog, nudging them back to Amazon to complete their purchase.
Sponsored Products vs Sponsored Brands vs Sponsored Display: Side-by-Side Comparison
Let’s start things off with a quick comparison table:
Feature | Sponsored Products | Sponsored Brands | Sponsored Display |
Ad Placement | Search results, product pages | Top of search results | On & off Amazon |
Targeting Options | Keywords, ASINs, categories | Keywords only | Audience behavior, retargeting |
Creative Control | Minimal customization | High customization | Moderate customization |
Primary Goal | Sales | Brand awareness | Retargeting & reach |
Eligibility | Buy Box, product type | Brand registry, product type | Brand registry, vendor/seller |
While the comparison table provides a snapshot of the distinctions among Sponsored Products, Sponsored Brands, and Sponsored Display, let’s dive deeper into the specifics of each category.
Ad Placement: Where Your Ads Will Appear
Sponsored Products are highly visible within Amazon’s ecosystem. These ads appear on search result pages and product detail pages, ensuring your products are front and center when shoppers are actively searching or browsing similar items. This placement is ideal for influencing purchase decisions directly on Amazon.
Sponsored Brands, on the other hand, take a premium spot at the very top of search result pages. This prime location allows these ads to act as a billboard for your brand, drawing attention to your logo, tagline, and a curated selection of products. The visibility at the top of search results means Sponsored Brands are often the first thing a shopper sees, making them great for creating a lasting impression.
Sponsored Display goes beyond Amazon’s boundaries, offering placements both on and off Amazon. These ads appear on product detail pages, shopping results pages, third-party websites, and apps. By tapping into external platforms, Sponsored Display ensures your products and brand remain visible throughout a shopper’s journey, even when they’re not actively browsing Amazon.
Targeting Options: How You Reach Shoppers
Sponsored Products excel in granular targeting. Sellers can choose keyword targeting to bid on specific terms like “eco-friendly water bottle.” Additionally, ASIN targeting allows you to directly compete with or complement products on competitor listings, while category targeting helps broaden your reach to entire categories. With negative keyword match types, you can exclude irrelevant searches, ensuring you don’t waste ad spend.
Sponsored Brands rely solely on keyword targeting, but this simplicity isn’t a limitation. It allows you to focus on specific, high-performing keywords while showcasing a collection of products. For instance, if you sell camping gear, you can target “camping essentials” and highlight your brand alongside several of your products.
Sponsored Display takes targeting to the next level with audience-based strategies. You can reach users who previously viewed your products (views remarketing) or target shoppers based on their interests or shopping behavior (audience interests). This ability to retarget past visitors or introduce your brand to new-to-brand shoppers ensures that Sponsored Display isn’t just about visibility—it’s about driving engagement at different stages of the purchase journey.
Creative Control: The Visual Appeal of Your Ads
Sponsored Products are straightforward product ads. They feature the product image, title, price, star rating, and a quick link to the detail page. While effective for driving immediate sales, they don’t offer much room for creative customization.
Sponsored Brands, however, let you shine creatively. With these ads, you can include a brand logo, a headline, and a carousel of multiple products. This flexibility is perfect for businesses looking to showcase their brand identity or a collection of related products. The inclusion of a compelling tagline, like “Fresh Roasted Coffee Delivered to Your Door,” can reinforce your message and build trust with shoppers.
Sponsored Display ads strike a balance between functionality and creativity. These ads can include a logo, lifestyle images, and personalized headlines. While they lack the detailed customization of Sponsored Brands, their appeal lies in their dynamic ability to appear on diverse platforms, both on and off Amazon, tailoring their format to fit the placement.
Primary Goal: What Each Ad Type Achieves
The ultimate aim of Sponsored Products is sales. These ads are designed to convert browsers into buyers by highlighting specific products at the moment of purchase intent.
Sponsored Brands, by contrast, are more about brand awareness. They help you build recognition, attract new customers, and encourage shoppers to explore your broader catalog or storefront.
Sponsored Display blends both worlds. It’s highly effective for retargeting, bringing back shoppers who have interacted with your products, while also introducing your brand to new audiences on external platforms. This dual approach makes it a powerful tool for both conversions and awareness.
Eligibility: Who Can Use These Ads
Sponsored Products have straightforward eligibility criteria. You need a professional seller account, your products must be eligible for the Buy Box, and they should belong to an approved category.
Sponsored Brands come with stricter requirements. Only sellers enrolled in Amazon Brand Registry can use these ads. Additionally, your products must be new and belong to eligible categories, and you must be able to ship to all U.S. addresses.
Sponsored Display also requires enrollment in Amazon Brand Registry but is available to both professional sellers and vendors. This flexibility makes it an excellent option for businesses looking to expand their reach.
Choosing the Right Ad Type
- For Immediate Sales: Sponsored Products is your go-to option for boosting individual product visibility and driving purchases quickly.
- For Building Brand Awareness: Sponsored Brands shine when you want to tell your brand story and attract new customers.
- For Retargeting and Audience Expansion: Sponsored Display helps keep your products in front of potential buyers across the web.
A well-rounded strategy often combines all three, creating a funnel that captures interest, drives traffic, and seals the deal.
FAQs
Can I use all three ad types together?
Yes, combining them helps you cover the full customer journey, from awareness to conversion.
What’s the average cost-per-click for these ads?
Costs vary by category and competition but typically range between $0.50 and $2.00 for Sponsored Products and Sponsored Brands, while Sponsored Display can be slightly higher due to its broader reach.
How do I know if my ad campaigns are working?
Focus on metrics like ACoS (advertising cost of sales), ROAS, and CTR to measure effectiveness.
Final Thoughts
Sponsored Products, Sponsored Brands, and Sponsored Display each bring something unique to the table. The key is understanding their strengths and aligning them with your goals. By investing in a combination of these ad types, you can effectively grow your brand, boost sales, and stay competitive in the Amazon marketplace.
Remember, advertising is a process of constant refinement. Experiment, analyze, and adapt to ensure your campaigns continue delivering results.