Amazon Ads in 2020: Amazon Advertising Management Service

The rebranding of Amazon Marketing Services into Amazon Advertising introduced a lot of changes for advertisers and sellers. On account of COVID, Amazon revamped its ad policy. Due to this, sellers cannot rely on their old strategies anymore to sustain their Amazon business.  

Amazon Advertising Management Service in 2020

Amazon made $10 billion in ad revenue in 2019. To ensure its advertising expansion in compliance with the current health regulations, Amazon introduced the following changes-  

For Sponsored Product ads

Unified Ad groups

Earlier, vendors (product supplier) couldn’t segment their sponsored ads with ad groups. It was exclusive for amazon sellers (retailers) on the platform. Amazon unified vendors and sellers by this huge step. Now, vendors have overall control for segmentation across different product categories.

Negative keywords

Negative keywords were active only within manual campaigns. Now, they are available with Auto-Targeted Campaigns (ATC). These keywords prevent an ad from being displayed by an irrelevant text or phrase. This enables brands to narrow down their search and target their customers better. 

For Sponsored Brand Ads

Suggested Bidding system

Suggested bids suggest and include keywords with higher click rates and greater performance. This provides a better way of optimizing ad campaigns. This system gives insight into what keywords people use for searching and buying a product. 

Mobile Carousel

Mobile ads changed in a big way. The mobile ad is now twice its former size. It features a carousel format. This format shows three products with their headlines and logos. 

For Display ads

Sponsored Display Ads

Sponsored display ads provide the ability to promote products both on and off Amazon. They are currently available for sellers under the Amazon Brand Registry, vendors, and amazon marketing agencies. Sponsored display ads will improve re-targeting capabilities.  Amazon also introduced video ads for better Amazon listing optimization. Amazon garnered a lot of attention since its inception. Conversely, the quarantine only expanded its market share. Hence, Amazon will try to exploit this demand surge. So, brands can expect more ad-spend due to higher cost-per-click (CPC). Businesses can consult an online marketing agency to evict the possibility of blowing cash.

Strategies to Optimize Amazon Ads

Amazon Advertising Management Service underwent many modifications. A business can reckon its current strategy and optimize in the following ways-  

Optimizing Campaign Structure and Bids

Sellers can optimize their ad strategy by using both manual and automated campaigns. While automated campaigns will provide insight into the working of the ad system. Manual campaigns will define the target keywords and adjust bids accordingly. This way sellers can gain better control over different product types to improve their ACoS (Advertising Cost of Sales).  

Match Type Testing

Amazon displays product results based on target keywords and matching them with search text. A seller can choose a specific keyword by testing it to match across different text types. It includes three types of matching-  

  • Broad match: Search term has all components of a keyword irrespective of its order.
  • Phrase match: Search term has all the components in the same order.
  • Exact match: Both order and components of a keyword are identical.

Exact match keywords lower ACoS but limits an ad’s visibility to a specific audience. Although it generates higher conversions, excluding broad match blocks higher click-through rates that can generate leads. It is pertinent for a seller to have a versatile approach.  

Optimizing Product Listings

For an effective amazon listing optimization, a seller needs to have a profound understanding of Amazon’s A9 search algorithm. A seller must consider the following factors while placing a product –

  • Mentioning target keywords in a product’s name and description
  • Using high-quality images 
  • Using focus points in a description

  The Amazon search algorithm is very dynamic and keeps changing according to competitiveness, demand and saleability of a product. It doesn’t just depend on the keyword bids. This makes the amazon seo ser

Amazon Advertising Management Service in 2020

vice one of a kind. Other key aspects may include encouraging positive reviews and considering other performance metrics such as conversion rate, RoAS, budget, sales and so on.  

Conclusion

Effective handling of so many factors can be overwhelming. An online marketing agency can ease this process. In such uncertain times, businesses must expect further changes in the Amazon market. According to some Amazon Consulting Experts, Amazon Advertising Management Service might overcome Facebook and Google ads. Although it’s not happening anytime soon, prior measures will ensure business continuity

Amazon Advertising Management Service in 2020

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