Amazon Advertising Network Platform

Since its launch Amazon Advertising has grown rapidly. It generated a massive $31.2 billion in revenue last year and experienced 33% growth in Q4 alone.

The platform's huge success is rooted in its ability to capture the right audience at the right time. But by continuously expanding its ad types and technology its rise is certain to continue for the foreseeable future.

If you haven't started using Amazon advertising yet here's what you should know.

What is Amazon Advertising?

Amazon Advertising is an ad platform similar to Google Ads. Like Google the Amazon advertising model offers PPC bidding and a selection of ad types.

Amazon Advertising also uses an algorithm to ensure relevant products are presented to shoppers. This means products with high sales positive feedback and related keywords are most likely to win ad auctions.

However Amazon advertising holds one big advantage over Google. Its users have greater purchase intent. This means Amazon ads are more likely to generate sales.

Amazon is best known for its retail media advertising and this accounts for around three quarters of retailers' ad spend. However its demand-side platform also allows brands to programmatically purchase display audio and over-the-top video ads across Amazon's network - even if they don't sell products on the Amazon marketplace.

Benefits of using Amazon Ads Network

Like any advertising platform Amazon can help brands reach more customers increase Amazon sales and build their brand. But it comes with its own unique perks too.

Access to a huge audience

In the US alone Amazon receives two billion visits every month. Countless consumers also engage with its apps and devices. So no matter how niche your target audience is you're sure to reach them with Amazon Advertising.

Plus because the Amazon Advertising model only presents highly relevant ads to users your ad spend won't be wasted.

Highly engaged shoppers

Like we said browsers on Amazon have high purchase intent. That's because they aren't looking for how-to videos or interesting blog posts; Amazon is the go-to platform for finding products. In fact 74% of all US product searches start on Amazon.

Trackable results

Whatever type of Amazon ads you run you'll gain access to tons of insightful data. Sponsored product ads come with sales metrics and keyword performance while display ad reports include ACOS insights and view metrics.

These reports can highlight changing habits consumer journey data and customer acquisition trends which can help marketers make data-driven decisions across their business.


6 Ways Brands Can Maximize eCommerce Conversions in 2023

Final thoughts

Amazon Advertising features so many ad types and tools that getting started can seem overwhelming. But marketers should take the time to become familiar with it because the average conversion rate of Amazon ads lies just under 10%. This is considerably higher than most other platforms.


6 Ways Brands Can Maximize eCommerce Conversions in 2023

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