ChannelAdvisor explains how sellers can build a holistic advertising strategy with sponsored ads
November 14, 2022 | By Gabriella Kursman, Senior Marketing Manager
“Each ad format plays a specific yet complementary role in building the full picture” of a successful advertising strategy in the Amazon store, says Greg Ives, the Director of Product Marketing at ChannelAdvisor. For example, ads products like Sponsored Products, Sponsored Brands, and Sponsored Display can work together to create a holistic strategy for Amazon sellers to help maximize profitability. However, figuring out the right approach is unique to each advertiser’s business goals.
Amazon Ads sat down with Ives to discuss how leveraging Amazon Ads products with a strategic approach can help clients maximize their business potential.
Greg Ives, Director of Product Marketing at ChannelAdvisor
Tell us about your approach to sponsored ads. How do you use Sponsored Products, Sponsored Brands, and Sponsored Display to help your clients grow their business?
We approach Amazon Ads like a puzzle where each ad format plays a specific yet complementary role in building the full picture or, in this case, a successful advertising strategy.
We leverage Sponsored Products to help increase product visibility and help try and generate higher sales without compromising on profitability, all through our proprietary service. Our automation capabilities allow our users to achieve predetermined goals through audience segmentation based on chosen metrics and intent.
Then, we add Sponsored Brands to make the strategy more comprehensive from a coverage perspective. We perform content and product A/B testing to help increase relevancy. We assign and reallocate media budget according to the testing results. We then utilize our bidding automation to consistently try and maintain performance at an optimal level, which allows us to save time and focus on the strategy.
Lastly, we leverage Sponsored Display campaigns to encourage cross-selling through complementary product targeting. We employ these campaigns in an effort to reach new audiences who could be interested in the brand.
With all of these tactics at our disposal, we’re able to help our sellers find the right mix and balance that best aligns with their unique goals while growing their business in the long run.
What are some tips for optimizing a brand’s performance with Sponsored Products and Sponsored Brands?
When thinking about optimizing for profitability across your campaigns, you may want to consider some of these helpful tips for each format.
For Sponsored Products, we recommend:
- Organizing your campaigns according to your goals with portfolios. This allows for clear budget allocation, provides separate performance views for each group, and simplifies reporting for long-term strategies.
- Setting up a “catchall” campaign using Sponsored Products’ automatic targeting feature and optimizing regularly according to performance. This campaign can give you a glance at how your products perform in the Amazon store, provides a hint on product seasonality, and helps you identify top sellers and low performers.
- Creating a specific campaign for high-performing ASINs. Assign a dedicated budget and select a bidding strategy that makes the products more visible, and optimize regularly to protect profitability.
For Sponsored Brands, we recommend:
- Ensuring your brand logo and videos are high-quality. Also, choosing headlines relevant to your product selection and campaign goals. This is crucial to connect with new audiences and help increase ad engagement.
- Filtering your traffic based on performance. Keep only terms that are working toward your goals, and then integrate negative terms to help maximize relevance.
What are some best practices you recommend for brands that want to set up a “better together” approach with Sponsored Products, Sponsored Brands, and Sponsored Display?
When working with our sellers, here are a few strategic scenarios we always keep in mind:
- Sponsored Products can help to drive high volume sales at a good ROAS, but when you combine your ads with Sponsored Display, specifically product targeting, you are also able to cross-sell, and encourage customers shopping in your product category to purchase your brand with goal of ultimately trying to increase total purchases.
- If your goal is to drive brand awareness, Sponsored Brands can be the perfect fit for this activity. However, consider adding Sponsored Products to your strategy to help increase conversion rate.
- If you’re looking to drive repeat purchases across your existing audience, consider reaching shoppers who have bought a specific product in the past with Sponsored Display promoting a complementary or newer model of the product.
Is there anything else you’d like to share with other brands?
Success starts with a holistic approach—from content and listing management to pricing and advertising strategy, all the way through drop-ship fulfillment and actionable reporting. ChannelAdvisor can provide what a brand needs to connect with more consumers and help increase sales in the Amazon store—all from a single platform.
ChannelAdvisor is a multichannel commerce service that helps brands and retailers streamline their selling operations and connect with more consumers across the entire buying journey.
Visit our partner directory to learn more about how ChannelAdvisor can help you achieve your business goals.