Understanding Amazon PPC Ad Types: A Beginner's Guide

Diving into the world of Amazon selling can feel like jumping into the deep end. But don't worry; we're here to help you swim. One of the most crucial tools in an Amazon seller’s toolkit is Amazon PPC (Pay-Per-Click) ads. Let's break down the different types of Amazon PPC ads to get you started on the right foot.

What is Amazon PPC?

Amazon PPC is a way to drive traffic to your product listings. You pay a fee each time someone clicks on your ad. It’s a great way to boost visibility & increase sales if you can run them profitably. There are several types of Amazon PPC ads, each serving a different purpose.

Types of Amazon PPC Ads

  1. Sponsored Products: These are the most common types of Amazon PPC ads. Sponsored Products appear in search results & on product detail pages. They look similar to organic listings but are marked as "Sponsored." Amazon says “ASINs see an average weekly 50% increase in units ordered within the first year after launching a Sponsored Products campaign.
    • Best for: Individual product promotion.
    • Key benefit: Boosts product visibility.
  2. Sponsored Brands: Sponsored Brands ads are banner ads that feature your brand logo, a custom headline & up to 3 products. These ads appear in search results, helping to increase brand awareness. Amazon says Sponsored Brands ads with branded creative can achieve click-through rates and branded searches of +50% over ads with only product images.
    • Best for: Showcasing multiple products & building brand identity.
    • Key benefit: Drives traffic to a custom landing page or Store.
  3. Sponsored Display: Sponsored Display ads are versatile. They appear on & off Amazon, targeting shoppers based on their interests & behaviors. These ads are perfect for retargeting. This is the newest ad type on Amazon & has a lot of flexibility in terms of targeting. You can really niche down the targeting using these kinds of campaigns. But they are usually not suggested for starters.
    • Best for Showing ads to a specific niche.
    • Key benefit: Broadens reach beyond Amazon's platform.



Why Use Amazon PPC?

Using Amazon PPC ads can significantly impact your sales & brand visibility. Here’s why:

  • Immediate visibility: Get your products in front of potential buyers quickly.
  • Targeted advertising: Reach shoppers who are looking for products like yours.
  • Data-driven: Access detailed analytics to refine your ad strategies.

How to Get Started

Choose Your Ad Type: Decide which ad type suits your goal.

  • Want to push a single product? Go for Sponsored Products.
  • Need to build your brand? Sponsored Brands is your friend.
  • Looking to target a niche? Sponsored Display is ideal.

    Sponsored Brands & Displays are a bit more advanced as compared to Sponsored Products. So, if you’re just starting out, go for the first one. Also, you’ll need to enroll in the Brand Registry before you get access to Sponsored Brands & Display ad types. 

    1. Set Your Budget: Determine how much you’re willing to spend daily or for the campaign duration. Start small & scale up as you see results.
    2. Create Your Ad: Use high-quality images & compelling copy. Make sure your ad stands out.
    3. Monitor & Optimize: Keep an eye on your campaign performance. Adjust your bids & targeting based on what’s working.

    Conclusion

    Understanding & utilizing Amazon PPC ads can be a game-changer for your Amazon business. Start with the basics, choose the right ad type & monitor your performance. With time & effort, you’ll see your sales soar.

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    Amit Bhaskar

    CEO

    Team | AMZ Pro

    Amit is the co-founder of AMZPro. He has been helping businesses succeed on Amazon since 2014. He also holds a lot of certifications from Amazon like ATES (Amazon Trained Ecommerce Specialist) & Amazon Ads Expert. He has worked with 100s of small & medium businesses around the world so as to make their Amazon dream come true. He is also a big believer of e-commerce & believes that soon the world will shift to mostly ecomm from mostly retail (brick & mortar stores) as of now. He also loves hiking & off-roading.

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