Amazon keeps coming up with innovative ways to generate business for them and for their clients. Just take a look at the offerings on the Amazon Advertising platform: AMG, AMS, AAP.
Advertising Products on Amazon
Amazon Media Group
Amazon Media Group or AMG is the internal business team that puts up for sale Amazon’s advertising merchandise.
This is managed service thus, AMG takes care of all the planning and execution of advertising projects on Amazon. Display banners, video ads and custom ad units are displayed across the Amazon site and other Amazon-owned sites like IMDb and Kindle.
Advertisers in the person of vendors, sellers, or third parties can mostly avail of these services offered by AMG (including AMS & AAP management), however, It may not be the foremost solution for all advertisers due to the costly fees.
On the other hand, AMS and AAP can be accessible as self-service, however, AMS is only for vendors and third-party sellers with Brand Registry. AMS projects can also be started with minimal budget requirements, whereas utilizing AAP will need significantly higher advertising costs.
Amazon Marketing Service
AMS (Amazon Marketing Service) is Amazon’s pay per click (PPC) paid search marketing program, and offers clients three advertising strategies; Sponsored Products, Headline Search ads, and Product Display ads.
The goal of advertising is based on the keywords used, and Sponsored Products and Headline Search ads are the most favored ad formats used by vendors and sellers, with Sponsored Products presenting the most detailed control over ad targeting precision.
Amazon Advertising Platform
The Amazon Advertising Platform (AAP) is a demand side platform (DSP). It allows promoters to programmatically reach Amazon and potential customers (using machines to buy digital advertising rather than using RFPs, human negotiations, and manual insertion orders) on Amazon sites and apps, across the web, and on devices.
Amazon’s search ads use a pay-per-click (PPC) model, but AAP campaigns use the cost-per-impression (CPM) model. Cost Per Impression (CPM) means that you pay for how many times your ad is shown even if it doesn’t get clicked.
When clients choose AAP, they have the option to collaborate with the in-house Amazon team to strategize and carry out their programmatic ads, or select the self-service AAP platform Amazon made available for advertisers in 2014.
Amazon Advertiser Audiences
Resembling Facebook and Google in one way or the other, Advertiser Audiences is also a self-serve program that gives brands a way to access audience matching. With the establishment of Advertiser Audiences in the Amazon Advertising platform, brands can now build custom audience segments based on first-party data from Amazon.
The increase of self-serve platforms is a clear move to empower and boost marketers and their agencies Self-serve encourages more ads, and more ads lead to more profit. It’s appealing to agencies because it lets them control their own margins or markups. Surely, that lessens friction and also means more ad choices and, therefore, more revenue.
In-market segments – (Behavioral) purchasing intent displayed within a specific category; segments based on historical search, browsing and purchase history
Lifestyle segments – (Behavioral) habitual buyers of the product category
Contextual segments – reach audiences browsing Amazon in real-time; segments based on the detail page a consumer is actually viewing
Lookalike audiences – extend campaign reach using Amazon first-party data, Pixel-based, anonymous customer match
Remarketing – reach “lost customers” that have interacted with a brand’s website or product detail page
Demographic and Geographic – segments to reach a specific audience type: age/gender, location, income level, time of day, browser
Where Do AMS and AAP fit in the Marketing Funnel?
AMS and AAP are distinct advertising solutions presented by Amazon, and each has its own specific edge over others that is determined by the buyer phase you are targeting in the marketing funnel.
- AMS campaigns are best for lower funnel sales conversion, where the customer is almost ready to buy while browsing Amazon search results or on Amazon product pages.
- AAP provides ad products available for the entire marketing funnel,and is specifically applicable for top of funnel targeting, where awareness for products/brands must first be created. AAP’s expanded ad coverage across the entire funnel makes it specifically engaging for merchandise that have a longer purchasing journey, usually seen with more expensive products.
Desktop and mobile web display ads. For more vivid images on devices with high-resolution screens, Amazon mobile web display ads are made at 2X resolution or higher. Also, AAP provides standard sizes that can be seen on Amazon and other sites around the web.
Mobile banner ads. AAP Mobile uses mobile applications on Android, Kindle Fire, and iOS platforms to help display advertisers reach and target prospective customers who are mobile users.
Mobile interstitial ads. Instead of or in addition to banner ads, AAP Mobile publishers can opt to present full-screen interstitial ads in their app.
Video Ads. Using the Amazon Ad Platform, promoters can play 5+ second video ads in MP4, WebM, or FLV format that exists within and outside of the online video content.
Features of AAP
Combine Amazon audiences with yours
Using compilations of billions of observed shopping behaviors, Amazon audiences assists you in reaching potential customers with particular interests and behaviors. Widen your target by adding existing customers from your website, email, or segments from demand side platforms to your marketing strategy.
Connect with customers throughout their journey
You can be helped with how to fit your approach in reaching clients at various stages of engagement with your brand – whether they’re actively looking for your brand or not yet in market for your products, the Amazon Advertising platform provides appropriate and creative messaging at the perfect time over devices, the web, and mobile apps and sites to achieve your campaign goals.
Unique, high-quality inventory
The Amazon Advertising Platform programmatically delivers ads across Amazon owned-and-operated sites and apps, such as Amazon.com and IMDb, as well as across leading publishers’ sites through direct inventory from Amazon Publisher Services and the largest third-party exchanges.
You could measure your success from written accounts showing how the audience and performance reports impact your advertising throughout the customer journey – from ad exposure to action. Included here are unique insights such as brand halo conversions, which help you see how your ad campaigns caused results across your entire brand portfolio.