Why Amazon Sponsored Brands Should Be Part of Your Advertising Strategy

Why Sponsored Brands Should Be Part of Your Amazon Advertising Strategy Reading Time: 7 minutes

What are Amazon Sponsored Brand Ads?

Sponsored Brands are customizable cost-per-click (CPC) ads that appear above relevant Amazon shopper search results that have high visibility due to their placement on the webpage. They help drive awareness of your brand through exposure to consumers searching for products such as yours. A Sponsored Brands ad features your brand logo, a custom headline, and/or a Call-to-Action (CTA), and multiple products on display.  Sponsored Brands ads are extremely effective components of Amazon search advertising  due to cost-effectiveness, measurable results, and increased brand awareness, especially for new companies looking to build their brand’s awareness through today’s increasingly digital markets.

Sponsored Brands – Increase brand awareness | Amazon Ads

Image source: Amazon Ads

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Get Your Business in Front of Buyers with Sponsored Product Ads

You can quickly build brand awareness using Sponsored Brands ads by simply increasing the visibility of your company and its products over the competitor’s brands during consumer searches. This is especially effective since there are projected to be over 230.5 million online shoppers in the US alone by 2021, and the trend is sharply increasing every year. Amazon alone has 300+ million online accounts worldwide, further increasing your brand’s awareness on a global scale. Creating a custom headline and strategizing how you want your brand to be presented will further expand your visibility to potential consumers.

Amazon Sponsored Product Ads Stats

Image source: Amazon Ads

Amazon Sponsored Brands connects Amazon shoppers to your products in three ways:

  1. Your brand logo and products will appear above Amazon search results for products relevant to yours.
  2. When Amazon shoppers click your brand logo, it brings them to your store or custom landing page.
  3. When Amazon shoppers click on a product, it brings them directly to the product’s page.

More ways to connect Amazon shoppers to your brand and products means an increase in brand and product awareness. And, by creating an immersive shopping experience centered solely around your brand on Amazon, your customers are more likely to remember your brand rather than your competitor’s brand.

Graphic of a Sponsored Brands ad placement on Amazon retail site.

Image source: Amazon Ads

Leverage Amazon Sponsored Brands Ads for More Brand Awareness

Sponsored Brands ads typically enjoy the highest Click-Through-Rates (CTRs) of all Amazon search products. This means more shoppers are clicking the links displayed in banner ads rather than ignoring them. This is yet another way that Sponsored Brands ads help raise brand and product awareness. The best part of this ad format is that your Sponsored Brands ad is Click-Per-Cost (CPC), so you only pay when a potential customer clicks on your ad. You can even fully control how much you spend by determining the duration of your ad campaign and how much to bid per click. Even if a potential customer doesn’t purchase anything on their visit, they will still consider your brand and possibly even share the knowledge gained from their visit with others, thereby spreading word of your brand the old-fashioned way as well.

Keyword relevancy during an Amazon shoppers search is much less restrictive than with Sponsored Products ads, due to the broader nature of Sponsored Brands ads. Your company may sell multiple types of products or services, initiating your brand to appear after a casual search. If you merely use a Sponsored Products ad, then only a search for that particular product will result in your brand appearing.

Sponsored Brands ads also offer analytical reporting of new-to-brand metrics to better help you understand and measure the number of first-time customers or total first-time sales your brand gained in the past year.

Graphic of a Sponsored Brands ad placement on Amazon retail site.

Image source: Amazon Ads

How to Create Effective Sponsored Brand Ads

To create effective Sponsored Brands ads, you need to:

Choose the right Amazon sponsored keywords:

The keywords that you choose will determine who sees your ads. Make sure to choose keywords that are relevant to your products and that are likely to be searched for by potential customers.

Write a compelling sponsored product ad headline:

Your ad headline is the first thing that potential new customers’ will see, so make sure it is clear, concise, and attention-grabbing.

Include a clear sponsored product ad call to action:

Tell potential customers what you want them to do, such as “Click here to learn more” or “Add to cart.”

Use high-quality images for your amazon sponsored ads:

Images are a great way to capture attention and make your ads more visually appealing. Use high-quality images that accurately represent your products.

Track your results:

Track the performance of your Sponsored Brands ads to see how well they are performing. This information can help you to optimize your ads and get the most out of your advertising budget.

Tracking the Performance of Your Sponsored Brand Ads

You can track the performance of your Sponsored Brands ads using Amazon’s reporting tools. These tools provide you with information about how many people saw your ads, how many people clicked on your ads, and how many sales your sponsored display ads generated. This information can help you to optimize your ads and get the most out of your advertising budget.

Best Practices for Using Sponsored Brand Ads

Here are some best practices for using a Sponsored Brand ad:

Use relevant keywords:

Using relevant keywords is essential when creating Sponsored Brand ads. By selecting keywords that are directly related to your products, you increase the chances of your ad appearing in relevant searches conducted by potential customers. Conduct thorough keyword research to identify the most popular and relevant terms used by your target audience. Additionally, consider using long-tail keywords, which are more specific and can help you reach a more targeted audience.

Write clear and concise ad headlines:

When it comes to writing ad headlines, clarity, conciseness, and attention-grabbing content are key. Craft compelling headlines that clearly communicate the value proposition of your products and captivate the reader’s attention. Avoid using vague or overly technical language that may confuse or deter potential customers. Instead, focus on highlighting the unique benefits of your products and what sets them apart from competitors.

Include a clear call to action:

Including a clear call to action (CTA) in your Sponsored Brand ad is crucial for guiding potential customers towards the desired action. Whether it’s encouraging them to click to learn more, add products to their cart, or make a purchase, a strong and explicit CTA helps drive engagement and conversions. Use action-oriented language that motivates users to take the desired action. Experiment with different CTAs to determine which ones resonate most effectively with your target audience.

Use high-quality images:

Incorporating high-quality images into your Sponsored Brand ads can significantly enhance their visual appeal and attract the attention of potential customers. Invest in professional product photography that accurately represents your offerings and showcases their key features. Clear, vibrant, and visually appealing images not only make your ads more eye-catching but also instill confidence in potential customers by showcasing the quality of your products. Regularly update your images to keep your ads fresh and engaging.

Track your results:

To ensure the effectiveness of your Sponsored Brand ads, it’s crucial to track their performance. Regularly monitor metrics such as click-through rates, conversions, and return on investment (ROI) to gain insights into the success of your various sponsored brand campaigns. Analyzing these results enables you to identify any areas for improvement and make data-driven decisions to optimize your ads. Experiment with different strategies and variations to find the winning formula that delivers the best results for your business.

Set a budget:

Setting a budget is a fundamental step in running Sponsored Brand ads. Determine a realistic and manageable budget that aligns with your advertising goals and overall marketing strategy. Consider factors such as the competitiveness of your industry and the potential return on investment. A well-defined budget helps you allocate resources effectively, prevent overspending, and maintain control over your advertising expenses. Regularly review your budget to ensure it remains aligned with your business objectives and adjust it as needed based on your campaign performance and overall marketing goals.

Optimize your ads:

Optimizing your Sponsored Brand ads is an ongoing process that requires continuous monitoring and adjustment. Regularly review and fine-tune your keywords, ad headlines, and bidding strategy to maximize their effectiveness. Experiment with different variations and test new approaches to identify what works best for your products and target audience. Use the performance data you gather to make informed decisions and optimize your ads for better reach, engagement, and conversions. Continuously analyze and refine your ad campaigns to stay ahead of the competition and drive optimal results.

Experiment:

Don’t be afraid to embrace experimentation when using Sponsored Brand ads. The advertising landscape is constantly evolving, and what works today may not work tomorrow. Test different ad settings, targeting options, and campaign strategies to discover new opportunities and unlock untapped potential. Experimentation allows you to gain valuable insights into your audience’s preferences, behavior, and response to different ad elements. Embrace a growth mindset and be open to trying new ideas and approaches. Learn from both successes and failures to refine your advertising strategy and continuously improve your Sponsored Brand campaigns and ads.

Keep Your Established Brand Visible

If your brand and product collection is already well-established, Amazon Sponsored Brands ads will help you stay on top of customers shopping, by prompting shoppers to give you a chance first. Staying in the hearts and minds of shoppers significantly encourages brand loyalty while providing your customers with an opportunity to browse new products they may be interested in.

Whatever your branding needs, Amazon Sponsored Brands ads can help you achieve the full potential of your company’s brand while reducing costs and placing more financial and creative control over your campaign ads, as well as ensuring your brand surfacing in place of competitor’s brands during Amazon shoppers’ web searches is much more likely.

At Vizion Interactive, we have the expertise, experience, and enthusiasm to get results and keep clients happy! Learn more about how our status as a Google Partner, along with our PPC Management, Google Shopping Ads, Social Media Advertising, Amazon Advertising, and other Paid Media services can increase sales and boost your ROI. But don’t just take our word for it, check out what our clients have to say, along with our case studies.

Are Sponsored Brands suitable for all types of products on Amazon?

Sponsored Brands can be beneficial for a wide range of products on Amazon. However, their effectiveness may vary depending on factors such as product category, competition, and target audience. It's recommended to assess your specific product and marketing goals to determine if Sponsored Brands align with your advertising strategy.

How much do Amazon Sponsored Brands ads cost?

The cost of Amazon Sponsored Brand Ads varies depending on factors such as bid amounts, competition, and ad performance. Amazon operates on a pay-per-click (PPC) model, meaning you're charged when a shopper clicks on your ad. It's important to set a budget and bid strategically to ensure a balance between visibility and cost-effectiveness.

Can I run Amazon Sponsored Brands campaigns if I'm a third-party seller on Amazon?

Yes, Sponsored Brands campaigns are available for both first-party (vendors) and third-party (sellers) on Amazon. Whether you're a vendor or a seller, you can leverage Sponsored Brands to promote your products and enhance your advertising strategy.

How long does it take to see results from Amazon Sponsored Brands campaigns?

The time it takes to see results from Sponsored Brands campaigns can vary depending on various factors such as campaign optimization, competition, and product demand. While some advertisers may start seeing results relatively quickly, it's important to monitor and optimize your campaigns consistently for long-term success.

Can I run Amazon Sponsored Brands campaigns alongside other advertising options on Amazon?

Absolutely! Sponsored Brands can be used in conjunction with other advertising options on Amazon, such as Sponsored Products and Display Ads. In fact, combining different ad formats can help maximize your brand's visibility and reach on the platform, allowing you to target different segments of your audience and achieve broader marketing objectives.

What categories are not eligible for Sponsored Brands?

There are certain categories that are not eligible for Sponsored Brands. These categories are typically restricted due to various reasons such as policy guidelines, content restrictions, or limitations set by the advertising platform. While the eligibility criteria may vary depending on the specific platform or marketplace you are using, some common categories that are often restricted for Sponsored Brands include:

Restricted Content: Categories that involve restricted or prohibited content such as adult products, illegal substances, weapons, or items that infringe upon intellectual property rights are generally not eligible for Sponsored Brands. This is to ensure compliance with advertising policies and to maintain a safe and appropriate advertising environment.

Offensive or Controversial Content: Categories that contain offensive, controversial, or sensitive content, such as hate speech, discriminatory material, or content that promotes violence, are typically not eligible for Sponsored Brands. Ad platforms prioritize maintaining a positive user experience and avoiding association with harmful or offensive content.

Healthcare and Medicinal Products: Some advertising platforms have specific regulations and restrictions around healthcare and medicinal products. Categories such as prescription drugs, over-the-counter medications, or health supplements may have additional requirements or limitations for advertising. These restrictions are in place to ensure the safety, accuracy, and compliance of health-related advertising.

Adult Products and Services: Sponsored Brands generally do not allow advertisements for adult products or services, including adult entertainment, adult toys, or explicit content. Such content is usually restricted to maintain a family-friendly advertising environment and comply with platform policies.

Gambling and Betting: Categories related to gambling, online casinos, betting, or any form of gambling services are often restricted or heavily regulated. Ad platforms may have specific guidelines and requirements for these categories, which may limit their eligibility for Sponsored Brands.