Amazon Sponsored Display – Dominate your Advertising Game
In the competitive world, that is the Amazon marketplace, capturing the attention of shoppers is not just about being seen – it’s about being seen at the right time by the right audience.
It’s here that Amazon Sponsored Display ads come into play.
Unlike Sponsored Products and Sponsored Brand Ads, which function on keyword targeting, Sponsored Display Ads offer sellers a unique opportunity to focus on audience targeting – both on and off the Amazon platform.
By leveraging Amazon’s own data on shopping behavior and browsing history, these ads help your product stay top-of-mind with potential customers and build long-term brand awareness.
In this blog, we’ll walk you through everything you need to know about Amazon Sponsored Display Ads—from what they are and how they work, to tips for setting them up and maximizing their effectiveness. Ready to dominate your advertising game? Let’s dive in!
What are Sponsored Display Ads on Amazon?
Sponsored Display Ads are a powerful form of advertising designed to target specific audiences using Amazon’s extensive first-party data. These ads allow you to connect with shoppers based on their shopping behavior, interests, and purchase history, including those who’ve viewed or purchased your products or similar ones from your competitors. Sponsored Display Ads pop-up on Amazon’s search results and product pages, as well as Amazon owned and third-party websites and apps, expanding your reach both within and beyond the Amazon platform.
Embed – https://www.youtube.com/watch?v=L8zV8C5xEj4
Sponsored Display Ads can be used for; retargeting past visitors, retargeting past purchasers, reaching shoppers who are in-market for products like yours, or introducing your brand to new audiences through lifestyle and interest-based targeting. And the best part? They’re simple to set up. Amazon automatically pulls your product’s title, image, and reviews, so you can get started quickly without needing custom creatives.
Whether you’re aiming to increase conversions, drive brand awareness, or create a comprehensive advertising strategy, Sponsored Display Ads are an invaluable tool for Amazon sellers looking to grow their business.
Where Do Sponsored Display Ads Appear?
Sponsored Display Ads are structured to meet your audience wherever they are. Amazon’s first-party data ensures your ads target the right people, even when they’re off the platform. It’s all about staying at top of mind and bringing those potential customers back to you, whether they’re actively shopping on Amazon or casually browsing other sites and apps.
Knowing where your ads show up is crucial to understanding the power of Sponsored Display Ads. These ads aren’t just limited to one place – they follow your customers throughout their shopping journey, both on and off Amazon. Let’s break it down.
On Amazon
- Product Detail PagesSponsored Display Ads appear in multiple placements on product detail pages, strategically positioned to catch shoppers who are actively comparing options and making purchasing decisions.For example, your ad could show up at the top of the page, below the bullet points, below the buy box, or below the sponsored ad carousels at the bottom of the page. These placements put your ad right in front of shoppers when they’re actively considering their purchase, giving your product a chance to stand out and redirect their attention from your competitors.
- Search Results PagesYour ads can also pop up on the search results pages when customers look for related products. This is prime real estate for grabbing the attention of browsing shoppers as they scroll through various options. A well-placed Sponsored Display Ad here can make all the difference in steering them toward your product.
- Across DevicesWhether your customers are shopping on a desktop or mobile device your ads will find them. Sponsored Display Ads are optimized to appear across all devices, ensuring you’re reaching as many people as possible, no matter how they shop.
Off Amazon
- Third-Party Websites and AppsHere’s where Sponsored Display Ads can really boost your brand awareness and increase sales. These ads can show up on popular Amazon owned and third-party websites and apps like Twitch, IMDb, Pinterest and more, giving you access to an even broader audience.
Let’s say someone browsed your product on Amazon but didn’t buy. Later, while they’re pinning ideas on Pinterest or browsing IMDb, your ad could reappear, reminding them about your product and encouraging them to come back.
How Do Amazon Sponsored Display Ads Work?
Amazon Sponsored Display Ads are designed to help sellers reach customers through targeted and personalized advertising. Unlike other sponsored ad types, these ads leverage Amazon’s first-party data to connect with shoppers based on their behavior, interests, and purchase history.
Sponsored Display Ads are particularly effective for retargeting shoppers who have interacted with your product or similar items, engaging relevant audiences, and maintaining brand visibility.
When launching a Sponsored Display campaign you have two primary targeting options: Contextual Targeting and Audience Targeting. Each method offers unique advantages, helping you reach customers at different stages of their journey, whether they’re browsing, comparing, or ready to buy.
Understanding these targeting strategies is key to creating campaigns that drive sales, boost brand visibility, and grow your business on Amazon. Let’s explore these options in detail.
Targeting Options in Sponsored Display Ads
1. Contextual Targeting
Contextual Targeting is all about placing your ads in front of shoppers who are exploring products in categories similar to yours or directly viewing competing products.
- ASIN Targeting: Your ads are displayed to shoppers who view specific products that match or complement yours. This strategy directs shoppers to your product detail page, where they can learn more and purchase. It’s an excellent tactic for retargeting customers who might be considering alternatives or for driving cross-sales.
- Category Targeting: This option displays your ads to shoppers browsing product categories related to your listing. Category targeting also allows refinements based on metrics like:
-
- Price: Target products priced higher than yours to offer better value.
- Star Ratings: Focus on products with lower reviews to highlight your superior product quality.
- Prime Shipping Eligibility: Appeal to Prime members by targeting similar products that don’t qualify for Prime delivery.
Contextual Targeting is ideal for driving shoppers already engaged in a buying decision, nudging them toward your products instead of competitors’.
2. Audience Targeting
Audience Targeting enables you to reach shoppers based on their shopping behavior, purchase history, and interests. This option is powerful for re-engaging past customers or introducing your products to new audiences.
- Remarketing Audiences:
-
- Views Remarketing: Targets shoppers who have viewed your product detail pages or similar products within a specified timeframe (e.g., 7, 14, 30, 60, or 90 days). This strategy helps bring back customers who showed interest but didn’t purchase, effectively closing the gap between browsing and buying.
- Purchases Remarketing: Focuses on shoppers who have purchased your products or similar ones in the past. You can select a look back period, making it ideal for driving repeat purchases, building customer loyalty, and cross-selling related items.
- Amazon Audiences:Amazon provides pre-defined audience segments based on shopping and browsing behaviors. These include:
-
- In-Market Audiences: Shoppers actively researching and likely to buy within a specific category.
- Interest and Lifestyle Audiences: group shoppers based on their behavior, preferences, and significant life events.
Audience Targeting is incredibly versatile, allowing you to tailor your ads for specific customer behaviors and preferences.
How to set up a Sponsored Display ad
Setting up a Sponsored Display Ad is not all that different from setting up Sponsored Products or Sponsored Brands campaigns. The process is straightforward, and Amazon provides plenty of tools to help you along the way. Here’s a step-by-step guide to get started:
Step 1: Log in to Seller Central
Head to your Amazon Seller Central account and navigate to the “Campaign Manager” under the Advertising menu.
Step 2: Create a New Campaign
Click the “Create Campaign” button and select “Sponsored Display” from the list of campaign types.
Step 3: Name Your Campaign and Set a Budget
- Campaign and Ad Group Names: Use clear, structured names that include details like the product, ad type, and targeting method (e.g., ProductName_Display_Retargeting). Best practice is to create one ad group per campaign and use the same name for both to keep your setup simple and easy to track.
- Start Date and End Date: Choose when your ad will start. If you want it to run continuously, leave the end date blank.
- Daily Budget: The amount you set will depend on how aggressive you want to be with your advertising or how much you have to allocate to this campaign. Start with a comfortable amount and adjust based on your goals and campaign performance.
Step 4: Choose Your Optimization Strategy
Here is where you select the primary objective of your campaign:
- Viewable Impressions: Ideal for boosting brand awareness, charging based on ad views rather than clicks.
- Page Visits: Aimed at bringing more shoppers to your product page. Charged at cost per click.
- Conversions: Focused on driving sales and is the best choice for most campaigns. Charged at cost per click.
At the bottom of this section, you’ll see an optional tick box labeled “Keep success metrics at or below a desired value”. While this setting allows Amazon to control metrics like cost-per-click (CPC), it’s generally better to leave this box unticked. By doing so, you retain full control over your bids, ensuring you can optimize performance based on your own strategy rather than relying on Amazon’s automated adjustments, which may limit your ad delivery and reach.
Step 5: Select Your Ad Format
- Image Ads: Use Amazon’s automatic creative generation, which pulls your product’s main image, title, and reviews directly from the product detail page.
- Video Ads: If available, videos can add a dynamic element to your campaign and help engage shoppers.
Step 6: Select Your Products to Advertise
Choosing the right product to advertise is key to maximizing the performance of your Sponsored Display Ads. It’s recommended to focus on one product per campaign to simplify optimization and streamline data analysis.
Start with your best sellers, best selling variations of a parent listing (like different sizes or scents), or advertise similar products that appeal to the same audience.
Focusing on one product (or closely related variations) per campaign allows you to gather clearer data, fine-tune your strategy, and optimize performance more effectively. It’s all about making your campaign as targeted and impactful as possible.
Step 7: Define your Targeting Options
When setting up targeting for your Sponsored Display campaign, it’s important to align it with your goals or strategy. If you want to target specific categories or competitors’ products, you’ll choose Contextual Targeting. On the other hand, if you want to target audiences you will select either Remarketing audiences, In-market shoppers, or Lifestyle and Interest audiences.
Contextual Targeting
If your goal is to target specific categories or competitors’ products, Contextual Targeting is the way to go. Here’s how to set it up step by step:
- Select Categories or Individual Products: Decide whether to target product categories or specific ASINs.
- Go with Amazon’s suggestions or browse and select your own category or ASINs
- Refine Categories by applying filters such as; targeting products with lower star ratings or higher price points to make your product more competitive.
- Set Your Bid: Choose Amazon’s suggested bid or enter your own custom bid to control your campaign costs.
Audience Targeting
Audience Targeting allows you to connect with shoppers based on their behavior, interests, or purchase intent. Here’s how to set it up:
- Choose from three audience types based on your goals: Remarketing Audiences, In-Market Audiences or Lifestyle and Interest Audiences
Remarketing Audiences Setup
- Select Views or Purchases
- Select a Look-Back Range: Pick a time frame (e.g., last 7, 30, or 90 days)
- Select Advertised Products or related advertised products to target views or purchases of your own ASINs or competitors, or, select an audience category based Amazon suggestions or browse to make your own selection.
- With audience categories you can use the “Refine” tool to narrow targeting by: brand, price range, star ratings and fulfillment type (e.g., FBA or FBM).
- Set Your Bid: Go with Amazon’s suggested bid or enter a custom bid
In-Market and Lifestyle & Interest Audiences Setup
- Select one of Amazon’s suggested categories or browse for your own
- Set Your Bid: Choose Amazon’s suggested bid or input your own based on your campaign goals.
Step 8: Customize your Creatives
- Upload your brand’s logo – ensure the logo is high-quality and meets Amazon’s size and format requirements
- Write a Headline – create a compelling headline (up to 50 characters) that highlights your product or brand
- Add an Image – use either the default Product Image or upload a custom Image
- Review the Preview – Amazon provides a preview of how your ad will appear across different placements (e.g., desktop, mobile, and third-party sites).
Step 9: Review and Launch
Before hitting “Launch Campaign,” double-check all the details:
- Targeting options
- Budget allocation
- Ad creatives and formats
Once everything looks good, click “Launch Campaign”, and your Sponsored Display Ad will be live!
Pro Tips for Successful Setup
- Start Broad, Then Refine: Test both audience and contextual targeting to see which delivers the best results for your product.
- Monitor and Optimize: Regularly track performance metrics like impressions, clicks, and conversions, and adjust bids or targeting as needed.
- Focus on Quality Creatives: Use clear, high-quality images and catchy headlines to draw more attention to your ads.
Eligibility to Create Sponsored Display Ads
Before jumping into Amazon Sponsored Display Ads you need to ensure you meet certain criteria.
Who Can Create Sponsored Display Ads?
Sponsored Display Ads are available to:
- Professional Amazon Sellers: You must have a professional seller account on Amazon.
- Brands Enrolled in Amazon Brand Registry: Your brand must be enrolled with Amazon Brand Registry to access any advanced advertising tools.
- Vendors: Amazon vendors enrolled in the Vendor Central program
To unlock Sponsored Display Ads, you will need to register as a professional seller and apply for Amazon Brand Registry by providing proof of trademark ownership. These steps not only grant access to Sponsored Display Ads but also unlock additional tools like A+ Content and Amazon Stores.
Pro Tip: While not required for eligibility, having positive reviews, maintaining a healthy account, and choosing consumable products or products in high-performing categories, like home goods or fashion, can significantly boost the visibility and effectiveness of your Sponsored Display Ads.
Countries Eligible for Sponsored Display Ads
Sponsored Display Ads are available in a growing number of countries worldwide. Here’s the breakdown:
- America: United States, Canada, Mexico, and Brazil
- Europe: United Kingdom, Germany, Italy, France, Spain, Sweden, Netherlands, Turkey, and Poland
- Asia Pacific: India, Japan, Singapore, and Australia
- Middle East: United Arab Emirates and Saudi Arabia
As one of the biggest online marketplaces, Amazon is continually expanding the availability of Sponsored Display Ads, globally.
Amazon Sponsored Display Ads Vs Amazon DSP Ads
While both Sponsored Display Ads and Amazon DSP Ads are powerful advertising tools, they serve different purposes and cater to different types of advertisers. Understanding their differences can help you choose the best option to meet your advertising goals, whether it’s driving product sales or building large-scale brand awareness.
8 tips to create a winning Sponsored Display ad
Boosting the performance of your Sponsored Display Ads doesn’t have to be complicated. With the right strategy and a bit of experimentation, you can maximize your campaign’s effectiveness and drive better results. Here are some tried-and-tested tips to help you create a winning campaign:
1. Less is More
While Amazon suggests adding more than 10 ASINs to your Sponsored Display campaigns, many advertising experts recommend a more focused approach. Instead of including a large number of products, prioritize advertising your best sellers, best-selling variations of a parent listing, and similar products. This strategy helps ensure your ads are highly relevant, making it easier to optimize performance, analyze data, and refine your campaigns for better results.
2. Maintain a Healthy Budget
Ensure your campaign has enough budget to stay live throughout the day. Campaigns that frequently run out of budget may miss out on impressions and potential sales. If increasing your daily budget isn’t an option, consider lowering your bids to stretch your budget further and maintain continuous ad delivery.
3. Know Your Audience
Understand your target audience before creating your ads. What are their interests, pain points, and preferences? Tailor your ad copy and visuals to resonate with them on a personal level, creating a connection that encourages engagement.
4. Use Eye-Catching Visuals
Visuals are the cornerstone of online advertising. Use high-quality images and engaging graphics to capture attention and entice clicks.
5. Create Compelling Copy
Keep your ad copy concise, clear, and action-oriented. Highlight the features and benefits of your products. Effective copy can make all the difference in turning views into clicks and conversions.
6. Optimize for Mobile
With a significant portion of online shoppers using mobile devices, ensure your ads are mobile-friendly. Ads should load quickly, display beautifully on smaller screens, and be easy to interact with. A seamless mobile experience can significantly boost your conversions.
7. Test and Iterate
Experimentation is key to finding what works. Test different combinations of ad creatives, messaging, and targeting. Analyze the results to identify which strategies resonate most with your audience and adjust accordingly.
8. Track and Learn From Results
Monitor your campaign metrics regularly to gauge effectiveness and identify areas for improvement. Key metrics to track include:
- Click-through rate (CTR)
- Conversion rate (CVR)
- New-to-brand (NTB) orders and NTB order rate
- Amazon cost of sales (ACoS)
- Return on ad spend (ROAS)Use these insights to refine your campaigns and continually improve results.
embed – https://www.youtube.com/watch?v=NvzCjyJOTBg
From Setup to Success: The Sponsored Display Journey
Sponsored Display Ads are a game-changing tool for growing your Amazon business. By leveraging Amazon’s vast first-party data and strategically targeting shoppers based on their behavior, interests, and purchase history, you can reach the right audience at the right time—both on and off Amazon.
Here’s a quick recap to help you maximize your campaigns:
- Focus your targeting strategy on either contextual or audience-based approaches based on your goals.
- Prioritize advertising high-performing products like best sellers and best-selling variations for better optimization and data clarity.
- Create visually compelling ads with clear messaging
- Continuously test, monitor, and refine your campaigns to find what resonates most with your audience.
Tips for Ongoing Success
- Seasonal Campaigns: Take advantage of seasonal shopping trends to boost visibility during peak periods.
- Bundle Products: Advertise complementary products together to increase average order value.
- Stay Current: Amazon’s tools and features are always evolving. Stay up-to-date with the latest advertising updates to keep your campaigns competitive.
With Sponsored Display Ads, you have the flexibility to target customers at every stage of their buying journey. Whether you’re retargeting past visitors, engaging new audiences, or building long-term brand awareness, these ads are an essential part of any successful Amazon advertising strategy.
Now that you’re equipped with the knowledge to create winning Sponsored Display Ads, it’s time to put your strategy into action. Want to know if your campaigns are fully optimized? Get a free account audit to uncover opportunities and improve your advertising strategy. Click here to get started!
FAQs
Yes! Sponsored Display Ads are worth it for sellers looking to diversify their advertising strategy, expand their reach, and drive more conversions. They’re particularly valuable for retargeting past customers and engaging shoppers who’ve interacted with similar products. However, their effectiveness depends on proper targeting, budgeting, and optimization.
Sponsored Display Ads operate on a cost-per-click (CPC) model, meaning you pay only when someone clicks on your ad. Costs vary depending on factors like competition, targeting options, and bid amounts. You can control your spend by setting daily budgets and bid limits to align with your advertising goals.
Sponsored Display Ads offer several benefits that make them a valuable tool for Amazon sellers. Utilizing audience based targeting, allows sellers to reach customers based on their shopping behavior, interests, and past purchases. They also provide on and off Amazon reach, extending visibility to third-party websites and apps for greater exposure beyond the Amazon marketplace. With ease of setup and no need for custom design, Sponsored Display Ads are highly flexible, making them ideal for retargeting, building brand awareness, or engaging shoppers who are actively in the market for products like yours.
Conversion rates for Sponsored Display Ads vary widely depending on the product, competition, and targeting strategy. Industry averages for Sponsored Display ads typically range between 5-10%, but well-optimized campaigns targeting the right audience can achieve even higher conversion rates. Tracking and refining your campaigns regularly is key to improving these metrics.
The type of ad you choose depends on your goals, whether it’s driving sales, building brand awareness, or retargeting customers. Sponsored Products targets keywords and products, appearing in search results or on product pages and focuses on driving immediate sales. Sponsored Brands use headline banners or videos to boost brand awareness and direct shoppers to your storefront. Sponsored Display Ads, however, prioritize audience targeting and appear both on Amazon and off-site, making them ideal for retargeting and expanding your reach.
Sponsored Display Ads are versatile and can target shoppers at every stage of the sales funnel. Whether you’re focusing on retargeting past viewers and purchasers (bottom of the funnel) or introducing your brand to new audiences through in-market and interest-based targeting (top and mid-funnel), these Amazon ads help guide customers through their buying journey.
Mina Elias, “The Egyptian Prescription,” is the CEO of Trivium Group. A chemical engineer turned Amazon seller, he mastered Amazon PPC advertising, investing personally. His insights, shared via YouTube and podcasts, led to Trivium’s global recognition. Today, Mina is a leading figure in the Amazon PPC space.