Mindshare’s Post

Deals, deals, deals + precision, precision, precision + efficiency, efficiency, efficiency:

Interesting announcement by Amazon Ads at CES: other retailers can now use Amazon tools to stand up their own retail media business. Certainly a shot across the bow of the new Criteo / Microsoft Advertising partnership.

Amazon may be raking in large swathes of ad dollars these days — $14.3 billion in the last quarter alone — but it could be even more if its ad tech were better positioned. Amazon’s ads business has flourished in spite of its ad tech over the years — not because of it.  However, that could soon change. Marketers are now pouring money into the ad tech (also known as the Amazon Demand-Side Platform) — why? Because Amazon has spent the last two years making it increasingly difficult for them not to. #adtech #dsp

Amazon in 2022 began breaking out ad revenue in its quarterly earnings reports, showing that the business had become a significant contributor to the company’s top and bottom lines. Ad revenue in the latest quarter came in at $14.3 billion, third to Alphabet and Meta in digital advertising. That’s still much less than the sales Amazon generates from online stores and cloud computing, which came to $61.4 billion and $27.4 billion, respectively, in the quarter that ended in October. The bulk of Amazon’s ad revenue comes from sponsored product advertisements, which are keyword-targeted ads that let brands promote certain items. Amazon has stuffed more of these sponsored items into search results and product pages over time. It also generates some ad revenue through streaming. With Amazon Retail Ad Service, users will be able to customize the design, placement and number of ads shown across their sites, as well as use Amazon’s ad measurement and reporting tools. #amazon #digitaladvertising #paidads

Please check out this great article from Localogy about Tiger Pistol's latest advertising advancement: Amazon Sponsored Display https://lnkd.in/gV_udq2k #TigerPistol #AmazonAds #Localogy

Advertise 3 color variants of a product group in a single campaign.  And you cannot control the ad spend. Say, color1 is the best seller followed by color2 and color3 in monthly units sold. Amazon campaign may spend more on color3 than color2. Solution? Separate all 3 colors into individual campaigns. To control the ad spend. I experimented the same for the past 2 months and here's what I found out: Despite setting up an aggressive bid (15 to 20% higher) for color2 than color3, there still were instances where individual campaigns for color3 spent more money than color2. The situation was pretty much the same with all 3 colors combined in a single campaign. Also, note that the keyword base will almost be the same (except for color-based keywords). Creating many campaigns targeting the same keywords for the same product group (or parent) has another negative. It might affect ad delivery too.  Thereby affecting the performance of color1 as well. In Amazon Advertising at times we overcomplicate things in the name of structure, in pursuit of control. What I have realized lately is that the more you try to control the algorithm the harder it becomes to scale. Scale color1 via generic search. If color2 and color3, with whatever spending pattern within the campaign, are NOT affecting the desired outcome, let them be active. Else pause. Promote color2 and color3 specifically - via brand search and self-targeting (brand ASINs). Do not advertise colour1 in such campaigns. - via color specific keyword campaigns The combination of the above should scale things without affecting the ad delivery. I am back to this model in Aug'24. Will share the learnings as well as the delta in performance for the same product group in upcoming posts. #amazonadvertising #amazonads #performancemarketing #ecommerceadvertising #ecommercemarketing #amazonppc #amazonppctips #amazonfba #amazonseller #amazonmarketing #amazonusa

Calling all Amazon Sellers! Your Ad Game Just Got Upgraded! Amazon just dropped 3 awesome features to boost your PPC efforts: 1. Mobile Ad Management The Seller App now lets you create, adjust, and track ads straight from your phone. Manage campaigns on the go, wherever business takes you! 2. Global Selling Simplified Bulk sheets now support natural languages and locations! Manage PPC for multiple countries from one place. Say goodbye to account hopping! 3. Target Subscribe & Save Fans Reach customers with similar buying habits to your existing Subscribe & Save shoppers. Find new potential subscribers who'll love your product! Level up your Amazon advertising with these game-changing updates! #AmazonSeller #SellerCentral #AmazonAdvertising #PPC

Amazon Ads announced at CES a new ad product called Amazon Retail Ad Service, allowing retailers to use Amazon’s tools to sell product ads appearing on their ecommerce sites. The idea is to pitch retailers the same performance-heavy ad technology and machine learning models that Amazon offers advertisers. Amazon Retail Ad Service is built on Amazon Web Services. Amazon’s ads can appear on retailers’ websites’ search, browsing, and product pages. https://adweek.it/3W6KCof

🔍 How has Amazon's ad revenue as a percentage of their GMV increased over the years, and what can we learn from it? Amazon's ad monetization as a percentage of GMV has risen from 1% to 8.16% over a decade. This increase is the result of well-planned actions taken by Amazon over the years. These actions can be categorized into three key pillars: 𝐃𝐞𝐦𝐚𝐧𝐝 𝐄𝐱𝐩𝐚𝐧𝐬𝐢𝐨𝐧, 𝐒𝐮𝐩𝐩𝐥𝐲 𝐄𝐱𝐩𝐚𝐧𝐬𝐢𝐨𝐧, 𝐚𝐧𝐝 𝐀𝐝 𝐅𝐨𝐫𝐦𝐚𝐭 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧. Let’s explore each of these chronologically. 📈 𝐃𝐄𝐌𝐀𝐍𝐃 𝐄𝐗𝐏𝐀𝐍𝐒𝐈𝐎𝐍 • First-Party Sellers: Amazon initially focused only on bigger brands. • Third-Party Sellers: Then they increased demand by opening up advertising to 3P sellers- still on a managed-serve model, though. • Self-Serve Options: Amazon introduced self-serve tools in 2014, starting with Sponsored Products (Their most popular ad format) to achieve a multi-fold scale. 🛒 𝐒𝐔𝐏𝐏𝐋𝐘 𝐅𝐎𝐂𝐔𝐒 • Onsite Ads: Amazon initially began by offering ads on its website and app. • Offsite Ads: In 2013, Amazon expanded by offering offsite ads, reaching audiences beyond their platforms. • Amazon DSP: Amazon enabled programmatic buying across its own properties, 1P publisher network and other SSPs. • New Age Ad Spaces: They later introduced ads in new spaces, including Sponsored TV (Prime Video and Twitch) and Amazon Audio (via Amazon Music, Alexa, etc.). 📺 𝐀𝐃 𝐅𝐎𝐑𝐌𝐀𝐓 𝐈𝐍𝐍𝐎𝐕𝐀𝐓𝐈𝐎𝐍 • Basic Ad Formats: Amazon began with simple formats like product and banner ads. • Advanced Formats: Over time, they introduced richer formats such as video ads, Amazon Live, interactive ads, audio ads, and Sponsored TV ads. Amazon started by prioritizing demand creation, expanded supply to accommodate advertisers, and invested in innovative ad formats. 💡 Here's what's interesting- Google had a very similar trajectory. Managed Serve → Self-serve, Search Ads → Display Network. 𝐀𝐥𝐦𝐨𝐬𝐭 𝐬𝐞𝐞𝐦𝐬 𝐥𝐢𝐤𝐞 𝐚 𝐛𝐥𝐮𝐞𝐩𝐫𝐢𝐧𝐭 𝐟𝐨𝐫 𝐛𝐮𝐢𝐥𝐝𝐢𝐧𝐠 𝐚 𝐬𝐮𝐜𝐜𝐞𝐬𝐬𝐟𝐮𝐥 𝐚𝐝𝐬 𝐩𝐥𝐚𝐭𝐟𝐨𝐫𝐦, 𝐝𝐨𝐞𝐬𝐧'𝐭 𝐢𝐭? Retailers, what has your journey been like? Does it follow a similar trajectory, or is it entirely different? Let me know in the comments. #RetailMedia #EcommerceGrowth #AdTech #DigitalAdvertising #AmazonAds

Is Amazon Advertising the future of digital marketing? In Q3, Amazon’s ad revenue surged 19% year-over-year to $14.33 billion, showcasing the platform’s growing influence in the advertising space. While growth slowed slightly compared to last year, Amazon is doubling down on innovation, expanding its full-funnel marketing with initiatives like ads on Prime Video, now in its first “broadcast season”. Amazon has also introduced AI-powered campaign creation, management, and optimisation tools. Read on: https://heyor.ca/bQznLR #AmazonAdvertising #DigitalMarketing #AIMarketing #AdTech