1. What are sponsored brand ads on Amazon?

Sponsored Brands Ads on Amazon, formerly known as Amazon header search ads, are banner ads that display our brand logo, custom tagline and various products, usually at the top of Amazon search results.

Once clicked, sponsored brand ads will send customers to the store or landing page, where they will see our products. You can also direct this traffic to one of our product listings.

For customers, there are many distractions on Amazon: countless product choices in search results and competitor ads scattered throughout the listing.

Why use Sponsored Brands Ads on Amazon?

Sponsored Brands Ads on Amazon give us the opportunity to create a personalized shopping experience for our customers.

Like sponsored product ads, sponsored brand ads are PPC (pay-per-click) ads that target keyword searches. The customer enters the keyword in the search bar, and our ad appears among the results. We make the payment to Amazon when someone clicks on our ad. And just like with sponsored products, we can monitor the keyword bids and daily spend to make sure it stays within our budget. Like sponsored product ads, sponsored brand ads are PPC (pay per click) ads that target keyword searches. The customer enters the keyword in the search bar, and our ad appears among the results. We make the payment to Amazon when someone clicks on our ad. And as with sponsored products, we can monitor the keyword bids and daily spend to make sure we stay within our budget.

They usually feature two or three products from one brand and appear at the top of the search results, above the sponsored product ads, although Amazon may also place our ad next to or within the search results.

Sponsored brand ads offer a unique reporting tool called the brand’s new customer metric, which indicates whether a sale comes from a new or existing customer.

These metrics allow brands to make more informed decisions about their advertising efforts.

How do Sponsored Brands Ads work on Amazon?

With Sponsored Brands Ads, we have three types of ad formats to choose from: product collection, our store ad or a video.

Collection of products

The Product Collection ad type allows us to target up to three of our branded products from a landing page. With this, Amazon wants to send traffic directly to our own branded Amazon store or to a landing page that only includes the products in our ad.

Product collection is a good option if we want to boost our brand’s products that have low organic or sponsored ad visibility. We can add a product that performs well in the mix to help increase the chances of someone clicking on the ad.

Amazon Store

This type of ad is only available if we have created our own branded storefront on Amazon, something that only brand-registered sellers can do. With the storefront storefront, we can drive traffic to what is basically our own e-commerce website, but on Amazon. There will also be no ads in our store, the customer will only see our brand.

The Amazon store is ideal for brands that sell multiple products in various categories or subcategories. Instead of promoting three specific products, we can promote three entire product categories and store pages, all with one ad.

Video

This is a fairly new type of ad for sponsored brands. It is unique and can offer a great advantage over our competitors, as the video content helps our product stand out in search results.

These videos should be short – Amazon recommends 15 to 30 seconds – but informative. A well-made video ad tells the potential customer everything they need to know about the product in the first few seconds.

Before creating our video, we need to make sure to review Amazon’s guidelines on video creation.

Best practices for product videos:

  • We show customers a video that showcases our product.
  • The video must be completely focused on the product, without any unnecessary filler content.
  • Short videos (15-30 seconds).
  • Our videos will play automatically without sound, so we must add informative text or subtitles.
  • The video will automatically play in a loop; we consider making the loop fluid to keep customers engaged.
  • We show our products immediately at the start of the video.

RoAs (Return on advertising investment)

Another advantage of using sponsored brand ads is that they offer the highest return on ad spend (RoAS) of any Amazon PPC type.

Therefore, for every penny we invest in Sponsored Brand Ads on Amazon, we will get more revenue than if we had paid for Sponsored Product or Display ads.

If we are registered with Amazon Brand Registry, we can test each of the formats, different products and creative content to see what works best with customers.

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