As a seller registered with your brand on Amazon, you get special marketing tools. One of these is Sponsored Brands ads.
Highlights
- Amazon Sponsored Brands Ads operate on a pay-per-click (PPC) model, where sellers bid on keywords to reach potential customers.
- Three ad formats are available: Product Collection, Store Spotlight, and Video, each serving different marketing objectives.
- Strategies for leveraging Sponsored brand ads include growing brand awareness, optimizing search terms, and aligning metrics with goals.
- SwiftStart "Amazon Oddit Reports" feature is recommended for campaign optimization and maintaining target ACoS.
Why We Wrote This?
We intended to educate sellers on effectively utilizing Amazon sponsored brand ads to promote their products and grow their brand on Amazon. By offering strategies for ads optimization, we want to help sellers increase brand visibility, drive traffic to their Amazon store, and ultimately boost sales and revenue.
So, in this guide, we’ve discussed how these sponsored brand ads work, 3 core strategies to make them successful, and how to set them up.
How Do Amazon Sponsored Brand Ads Work?
Like Sponsored Products and Display ads, Sponsored brand ads are pay-per-click (PPC) advertising. In this method, you bid against other sellers using different Amazon backend keywords to get your ads seen by potential customers. As the seller, you control your bids for each keyword and set a daily campaign budget.
With Sponsored Brands, you get three ad formats:
- Product Collection
The Product Collection ad type lets you highlight up to three products from your brand. You can direct traffic to your custom-branded Amazon storefront or a specific landing page featuring the products in your ad.
This option is useful to boost products with low organic or sponsored ad visibility. Including a well-performing product can improve the chances of someone clicking your ad.
- Store Spotlight
This ad type is available only if your Amazon storefront is open to brand-registered sellers. With Store Spotlight, you can drive traffic to your Amazon-based e-commerce website. Your Amazon storefront won’t have competing ads - it's all about showcasing your brand.
Store Spotlight is ideal for brands with diverse product categories. Instead of promoting specific products, you can highlight entire categories and their store pages with just one ad.
- Video
Amazon sponsored brands video ads stand out in search results and offer a competitive edge because they use video content. These ads are short—15–30 seconds—but pack in the information. They autoplay without sound, so making them visually engaging and informative is crucial.
Before making a video, review Amazon’s Amazon sponsored brand ad specs and consider hiring a professional Amazon PPC management agency. Your video should focus solely on the product, be brief, and include informative text or captions since it plays without sound.
Amazon Sponsored Brand Video Ads - 3 Core Strategies
Here's how you can leverage sponsored brand ads:
1. Grow Your Brand
Sponsored brand ads Amazon increase awareness by appearing prominently. Utilize them to introduce your brand and products to shoppers.
Why it's important
Engaging existing customers and introducing new ones is vital for your sales funnel and long-term brand visibility. Sponsored brands direct traffic to your Amazon store, a customizable platform to gain traction.
Tips to implement
- Utilize store subpages to effectively showcase your brand's catalog, directing shoppers to specific pages for a streamlined experience.
- Create ads with generic short-tail keywords for brand awareness and feature three best-selling products.
2. Optimize Search Terms
Maximizing results involves optimizing search terms with exact match PPC bidding. Analyze and refine your Amazon advertising strategy for optimal outcomes. Moreover, identify high-converting search terms and switch them to exact match types for better results.
How to execute
- Utilize the SwiftStart “Amazon Oddit Reports” to identify top-performing search terms and optimize your campaigns.
- Refine keywords by shifting high-performing search terms to exact match type, reducing bid costs and improving conversions, thus lowering Amazon ACoS and boosting sales.
Why it's crucial
Relevant keywords are essential for efficient ad targeting. Narrowing down keywords reduces campaign costs while optimizing efficiency.
3. Align Metrics with Goals
Ensure your ad spending aligns with your goals and product margins by focusing on key performance indicators (KPIs) like Amazon CPC, ACoS, and sales.
Why it's crucial
- Different ad placements may have varying CPC rates, so strategic ad spend is necessary.
- Aim for a specific ACoS for each campaign and consider customer lifetime value (CLV) for long-term revenue goals.
How to Implement
- Determine break-even ACoS and understand customer lifetime value to make strategic decisions aligning with revenue goals.
- For assistance in maintaining ACoS targets, consider utilizing SwiftStart's free Amazon oddit feature to align your ACOS and improve Amazon rankings.
How to Set Up Sponsored Brand Ads?
Setting up a Sponsored brand ad is easy! You don't need a big budget, just be a brand-registered seller. Here's how:
- Go to Seller Central and click on the "Advertising" tab.
- Then, select "Campaign Manager" and click "Create campaign."
- Choose "Sponsored Brands" as your campaign type.
- Fill in the details like campaign name, duration, daily budget, and the brand you would like to promote.
- Pick your ad format - go for a Product collection, Store spotlight, or Video ad. Let's say we pick a Product collection.
- Select at least three products from your brand for the ad.
- Now, it's time to optimize your Amazon product detail page! Add your own headline, arrange your product listings, and upload your logo and custom image.
- Lastly, choose your target audience by entering relevant keywords and setting your bid for each keyword.
- Hit "Submit for review" and wait for Amazon to approve your ad. It usually takes around 72 hours.
Summary
Understanding the workings of Amazon sponsored brands ads is crucial for sellers looking to enhance their visibility and drive sales on the platform. By leveraging the various ad formats and implementing strategic approaches such as optimizing search terms and aligning metrics with goals, sellers can effectively promote their products and grow their brand presence.
Become A Part of The SwiftStart Community
SwiftStart can help optimize your Amazon listings and supercharge your sales in a jiffy. Swift offers FREE 1 ASIN report (Amazon PPC audit), affordable Image stacking, A+ recharge, SEO Listing, and PPC services to enhance your product listing, visibility, and sales. Moreover, our Amazon Catalogue Course will help you become an experienced Amazon seller.
Also, if you want to streamline your brand's operations without hiring an agency, our 450+ Amazon SOP Library is your solution. So, don't miss out on the opportunity. Contact our Amazon agency experts today and take the first step toward elevating your Amazon brand.
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