If you are an Amazon seller aiming for real visibility and measurable sales today, you can hardly avoid Amazon Ads. In recent years, Amazon has developed from a pure product search engine into one of the largest advertising platforms. More and more users are starting their product search directly on Amazon, which is intensifying the competition for top spots.
With targeted Amazon Ads, sellers can not only gain more traffic, but also position themselves ahead of the competition. Well-designed campaigns ensure that your products are displayed for suitable search queries and reach users who are really ready to buy. This increases your chances of the Buy Box, higher sales and a stronger brand presence on one of the most important eCommerce marketplaces of all.
Amazon Ads offers a wide selection of advertising formats that are specifically tailored to different marketing objectives. Sellers who want to increase the visibility of their products and strengthen their brand presence can choose from several proven ad types. Each format has clear strengths and areas of application - from classic product search to smart retargeting. Below you will find an overview of the most important formats, how they work and who they are suitable for.
Sponsored Products are at the heart of Amazon Ads. They appear directly in the search results and on the product detail pages and are marked with a small "Sponsored" tag. They are usually targeted via keywords or specific products. Sellers pay according to the pay-per-click principle, i.e. only when users actually click on the ad.
Advantages of this type of advertisement:
Sponsored products are particularly helpful when you are launching new products or want to increase sales in a targeted manner.
With Sponsored Brands, you not only present individual products, but your entire brand. These ads usually appear at the top of the search results. They consist of the brand logo, an individual headline and several product suggestions or even a link to your Amazon Brand Store.
Important facts about sponsored brands:
Sponsored brands are particularly good for drawing attention to seasonal products or making a strong first impression of your brand.
Sponsored Display ads allow you to reach customers not only on Amazon, but also outside the platform. They are displayed on product pages, reviews, as well as on external websites and apps. The targeting goes far beyond classic keywords - you can define target groups according to interest, surfing behavior or specific products.
Practical advantages:
With Sponsored Display, you bring your products to mind even when the customer is not actively searching on Amazon.
The Amazon DSP is primarily aimed at vendors, larger sellers and brands that want to advertise broadly and across multiple channels. Here you place ads not only on Amazon, but also on partner sites, external platforms and devices such as Kindle or Fire TV.
Special features of the DSP:
The use of DSP usually requires a higher budget and is often used for large-scale brand or product campaigns.
| Format | Placement | Target group | Billing | Main advantage |
|---|---|---|---|---|
| Sponsored Products | Search results, detail pages | Ready-to-buy users | Pay-per-click | Increase sales directly |
| Sponsored Brands | At the top of the search results | Brand enthusiasts | Pay-per-click | Brand Awareness |
| Sponsored Display | Amazon, external, apps/websites | Interested parties/retargeting | Pay-per-click | Reach & retargeting |
| Amazon DSP | Amazon & partner networks | Broad target group | Cost-per-mille | High visibility |
Thanks to the various Amazon Ads formats, you will find the right tool for every advertising strategy - regardless of whether you want quick sales, awareness or targeted retargeting.
Precise targeting is at the heart of successful Amazon Ads. The better you address your target group and relevant search terms, the higher the chance of clicks, conversions and ultimately more sales. Today, Amazon offers a wide range of options for managing ads in such a way that your budget is used optimally and wastage is minimized. Here you can find out how to get the most out of your campaigns with keyword and product targeting as well as data-based retargeting.
Photo by Tobias Dziuba
Keyword targeting is the classic variant with Amazon Ads: you select search terms for which your ads should appear. It is important not only to use obvious main keywords, but also to include synonyms, long-tail search terms and terms from your competitors. This diversity ensures that you reach users searching in different ways - and don't get lost in the uniformity of your competitors.
Here are a few tips for better keyword targeting:
Make sure you select negative keywords. These terms exclude irrelevant search queries for which you do not want to appear at all. This avoids unnecessary clicks and protects your advertising budget from being wasted. An example: If you only offer leather shoes, you should set terms such as "artificial leather" as negative.
Product targeting goes one step further. Here you can specifically determine on which product pages, categories or even directly with competitors your ads are displayed. ASIN targeting is particularly practical: this opens the door to appearing next to products that are in high demand or to attracting users with similar products to your offer.
In short: use both targeting approaches in a targeted manner, check your performance regularly and optimize continuously. This pays off - in terms of clicks and sales.
Amazon Ads offer much more than just keyword targeting. Audience targeting and the Amazon DSP allow you to address specific target groups individually and also capture them again outside of Amazon. This works because Amazon has access to huge amounts of shopper data - a real advantage if you want to advertise effectively.
This is how target groups are collected and addressed:
With retargeting via the Amazon DSP, you can target customers who have already shown an interest in buying but have not yet purchased. These users then see your ad again - not only on Amazon, but also on partner sites and apps on the web. This creates additional contact points, brings potential buyers back in a targeted manner and increases the likelihood of a sale.
A strategic advantage of data-based targeting: you reach users throughout the entire purchasing process, from the initial inspiration to the final click on "Buy now". Lookalike audiences also help you to find new potential customers who are very similar to your ideal target group in terms of their behavior. The combination of targeted audience targeting and smart retargeting gives you a real competitive edge and makes Amazon Ads one of the most effective advertising tools in e-commerce.
Amazon Ads only show their full effect when the offer, budget and target are clearly coordinated. A well thought-out campaign structure not only brings order to your advertising account, it also helps you to avoid wastage and get the most out of your efforts. With a firm eye on the budget and a keen eye on your figures, you can keep the reins in your hand, even when the competition is tough. Budgeting and cost control are the central control unit of your growth strategy - and this is where success is separated from the average.
Photo by Kindel Media
Whether you are a newcomer or an experienced seller, the right approach to bids and cost structures will determine how profitable your Amazon Ads really are in the end. You will come across two terms again and again in everyday life: the Advertising Cost of Sales (ACoS) and the break-even point.
What is the ACoS?
The Advertising Cost of Sales measures how much you spend on advertising in relation to the revenue it generates. The formula is very simple:
ACoS = (advertising costs / sales achieved) x 100
If the ACoS remains below your profit margin, you are operating profitably. If the value is higher, advertising is eating up your margin. The break-even ACoS is practically your pain threshold - the point at which sales and advertising costs just balance each other out.
A simple calculation example:
| Key figure | Value |
|---|---|
| Selling price | 100 € |
| Value added tax | 19 € |
| Production costs | 39 € |
| Logistics & Transportation | 3 € |
| Overheads | 5 € |
| Amazon commission | 15 € |
| Profit (without advertising) | 19 € |
| Break-even ACoS | 19 % |
An ACoS of a maximum of 19 percent is the limit in this example - if it is higher, you are no longer making a profit with your advertising. Practical: Amazon shows you your ACoS values directly in your advertising account.
This is how you set optimal bids:
By continuously optimizing bids and strictly monitoring the ACoS, you not only control your costs, but also keep the focus on sustainable growth. Use the many data points and evaluations provided by Amazon to make informed decisions and rely on smart processes instead of gut feeling.
With AI-based tools and granular analyses, budget expenditure can now be controlled and adjusted almost in real time. The goal always remains the same: every euro invested should contribute as directly as possible to sales growth. This is how you get the most out of Amazon Ads - and your cash register rings regularly.
If you want to achieve the maximum with Amazon Ads these days, you need more than good products and a bit of gut feeling. The key lies in ongoing performance measurement and consistent data-driven optimization. The days of simply "letting campaigns run" are over. Amazon itself and modern tools now provide sellers with powerful measurement and analysis options to stay on track and achieve their goals better and faster.
Let's take a look at the options for measuring the effectiveness of campaigns, what really matters when it comes to fine-tuning and how you can achieve real competitive advantages through smart analyses.
Photo by Tobias Dziuba
With the Amazon Marketing Cloud (AMC) and reporting tools, Amazon now offers possibilities that no other marketplace has provided to date. You have access to in-depth retail data that helps you track exactly how users interact with your ads - from the ad to the final purchase.
Key strengths of modern real-time analysis:
Modern sellers no longer just analyze their campaigns, but are actively guided by the data to make optimizations. Detailed evaluations such as A/B tests of different ad variants, in-depth analysis of individual keyword and ASIN performance and regular controlling of target group performance help with this.
Those who utilize these new data flows deploy resources in a targeted manner and remain competitive, even if market and customer requirements are constantly changing.
Through the consistent interplay of data analysis, clear KPI monitoring and automated optimization, Amazon Ads as an advertising channel leads to sustainable growth, better visibility and - last but not least - more sales.
Every advertising campaign stands and falls with its implementation. With Amazon Ads, it is not enough to simply place a few ads. If you want to grow consistently and remain profitable, you need a smart approach, clear structures and the ability to react quickly to changes. Here you will find tried-and-tested recommendations that will take you one step further.
A clear campaign structure lays the foundation for your success with Amazon Ads. It is best to subdivide your advertising account according to product groups, bestsellers or even individual products. This will help you keep an overview, avoid budget mix-ups and allow you to optimize in a more targeted way.
Many sellers work with a two-tier system:
Experience has shown that clearly separated campaigns ensure more control, less wastage and ultimately more profit.
Even the best ads are of little help if users then come across unattractive product pages. Make your listings "retail ready":
Only with convincing product pages can your Amazon Ads develop their full effect and turn prospective customers into buyers.
The selection and maintenance of your keywords determines visibility and costs. Use a mix of main and long-tail keywords so that you cover both broad and specific search queries. Use competitor terms - not in isolation, but in a mix.
Don't forget negative keywords: exclude terms that don't match your offer. This saves money by eliminating unnecessary clicks.
Example: Do you offer leather shoes? Then you should exclude "artificial leather".
Keep your finger on the pulse of your figures. You should check the most important key figures at least once a week (preferably daily):
Recognize trends and react quickly:
If you constantly monitor and adjust your campaigns, you will always stay one step ahead of the competition.
Amazon will only play your ads if you hold the Buy Box. Make sure that your offer is attractively priced, remains rapidly available and has enough positive reviews. Using FBA and a competitive final price will significantly increase your chances.
Think about it: Do you want reach, traffic or targeted retargeting?
Always adapt the selection and control of your Amazon Ads to your current growth targets.
Keep your stock levels up to date, regularly optimize product information and react to changes in demand or seasonality. A well-maintained product range helps to stabilize your ranking and advertising success.
These tips have been tried and tested many times in practice. If you apply them consistently, you will get the most out of your advertising budget - and will permanently boost your products on Amazon.
Nowadays, Amazon Ads offer sellers in e-commerce real opportunities to make themselves visible against the competition. The flexible control of budgets, numerous targeting options and meaningful data reports give you full control over your campaigns. If you focus on data-based optimization and suitable ad formats, you can build more visibility, stable sales and a strong brand presence with a manageable investment.
Amazon Ads have become an indispensable tool for sustainable selling. Now it's up to you to make the most of their potential and take your business to the next level.
Thanks for reading! Feel free to share your own experiences or ideas in the comments.
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