In the competitive world of digital marketing, brands are constantly seeking the best strategies to reach their target audience. Although Amazon is primarily known as an e-commerce platform, its advertising capabilities, specifically through Amazon DSP (Demand Side Platform), offer significant opportunities even for brands that don’t sell directly on Amazon. Here’s why these brands should seriously consider investing in Amazon DSP campaigns:
Access to High-Quality Audiences Amazon has a vast amount of data on its users, including purchase habits, preferences, and browsing behaviors. Through Amazon DSP, brands can access these highly segmented audiences, allowing for the creation of more precise and effective campaigns. Knowing what potential consumers buy and aligning our services to those behaviors greatly enhances the potential effectiveness of our impact.
Advertising on a Broad Network Amazon DSP is not limited to advertising within Amazon.com or its marketplace. It allows brands to display their ads across a wide network of partner sites and apps, as well as on Amazon devices and platforms like Twitch. This significantly expands the potential reach of campaigns, reaching users in various contexts and times of the day, catering to diverse target audiences with different leisure consumption habits.
Data-Driven Optimization The Amazon DSP platform offers advanced optimization and measurement tools. Brands can benefit from detailed reports and real-time analytics capabilities, allowing for on-the-fly adjustments to improve performance. Defining the right KPIs and trusting the platform’s data, even if it seems unusual, is crucial for this optimization.
Brand Building Even if a brand doesn’t sell its products on Amazon, it can use Amazon DSP to strengthen its brand presence and increase recognition. Advertising on high-traffic sites and apps associated with Amazon can enhance brand perception and recall among consumers, preparing them for future purchase decisions.
Competitive Costs Compared to other programmatic advertising platforms, Amazon DSP can offer competitive costs and high efficiency in terms of cost per thousand impressions (CPM) and return on advertising spend (ROAS). For brands looking to maximize their advertising budget, this can be a significant advantage.
Uploading 1st Party Data Brands considering investing in Amazon might wonder how many of their customers are also Amazon customers. Amazon allows the upload of customer data lists into Amazon Marketing Cloud, checking if buyers are also Amazon customers to exclude them from campaigns or create Look Alikes for higher success probability. These actions are performed securely and privately, allowing for high or low priority audience segmentation as needed, using this information for analysis, audience segmentation, or exclusion.
Granular Audiences for Non-Endemic Brands Amazon’s audience creation capabilities are becoming increasingly sophisticated, which is especially relevant for non-endemic brands. For instance, geographic exclusions allow brands to segment their audiences by specific postal codes, useful for businesses that don’t operate in all areas. This is particularly important for local businesses like banks, insurance companies, or restaurants that only operate in certain zones.
We could list more and more reasons to continuously use Amazon DSP even without selling on Amazon. However, the key is proper use of the platform and a complete understanding of it to truly achieve objectives. Moreover, the platform continuously innovates, adding new functionalities and formats, making it advisable to run campaigns through an Amazon advanced Partner agency with a thorough knowledge of all options and experience in the client’s vertical.
Amazing has great examples and successes in categories like Education, Banking, Tourism, and many more, offering clients significant knowledge advantages and possibilities that best fit their needs.
Additional Tips
We don’t want to conclude without providing some additional tips to consider when launching a DSP campaign for a non-endemic client to maximize its potential:
- Know Your Audience: Leverage Amazon’s audience insights to better understand your target audience.
- Test and Iterate: Experiment with different ad formats, creatives, and segmentation strategies.
- Focus on Quality: Invest in high-quality ad creatives that reflect your brand values.
- Monitor and Correctly Define Key Metrics (KPIs): Measure campaigns accurately and don’t deceive yourself. Each campaign targets a specific KPI, and Amazon’s algorithm is designed to achieve the best result for that KPI. Don’t expect a positive ROAS from a branding or awareness campaign, for example, as that’s not its purpose.
Conclusion
In summary, even if a brand doesn’t sell directly on Amazon, Amazon DSP campaigns represent a powerful tool for reaching and attracting high-quality audiences and strengthening brand presence in the digital market. By leveraging the unique capabilities of Amazon DSP, brands can gain a competitive edge in their marketing efforts and achieve their business objectives more effectively.
