What Are Amazon Display Ads and Should Sellers Use Them?

Amazon Display Adverts are a powerful marketing tool that allows sellers to promote their products both within the Amazon marketplace and across the wider internet. These self-service advertising options enable businesses to reach potential customers at various stages of their buying journey.

With Amazon commanding nearly 40% of the US e-commerce market, these adverts offer several advantages:

  • Extended reach: Target shoppers both on and off the Amazon platform
  • Customer re-engagement: Reconnect with those who viewed similar products
  • Increased visibility: Place products in front of ready-to-buy shoppers

The adverts are particularly valuable for sellers looking to:

  1. Boost product awareness
  2. Target competitors’ product pages
  3. Remarket to interested browsers

For businesses serious about expanding their presence on the Amazon advertising platform, display adverts represent a strategic opportunity to enhance visibility in an increasingly competitive e-commerce landscape.

What Are Amazon Display Advertisements?

Amazon display advertisements offer sellers a self-managed platform to showcase their products across Amazon and external websites. These display ads combine visual elements, copy, and call-to-action messaging that link directly to product landing pages.

These promotional tools use sophisticated targeting methods:

  • Product targeting: Places ads alongside similar or complementary items
  • Audience targeting: Reaches shoppers based on interests and behaviours
  • Remarketing: Re-engages visitors who viewed products without purchasing

Key advantages include:

BenefitDescription
Extended ReachAdvertisements appear both on Amazon platforms and across the internet
Precision TargetingConnect with shoppers showing genuine interest in similar products
Competitive EdgeGain visibility in crowded product categories
Customer Re-engagementBring back potential customers who showed initial interest

According to data, up to 82% of sales from Sponsored Display audiences come from new-to-brand customers, making these advertisements particularly effective for brand expansion and customer acquisition.

2. How Do Amazon Display Adverts Function?

Amazon Display Adverts work through sophisticated targeting mechanisms that connect products with potential buyers at various stages of their shopping journey. These adverts utilise Amazon’s rich data ecosystem to ensure promotions reach the most relevant audiences.

Key Targeting Approaches

Targeting MethodHow It WorksWho Can Use ItWhere Adverts Appear
Product-Based TargetingDisplays adverts to shoppers viewing similar or competing productsVendors and Brand-Registered sellersCompetitor listings, related product pages
Viewer RemarketingRe-engages shoppers who viewed your products without purchasingVendors and Brand-Registered sellersAcross Amazon and partner websites
Interest-Based TargetingReaches new customers based on browsing habits and preferencesPrimarily available to vendorsThroughout Amazon’s advertising network

These display adverts extend beyond Amazon’s marketplace to appear on third-party websites and applications, significantly expanding your product’s visibility. This broad reach helps increase both impressions and clicks.

When shoppers interact with these adverts, they’re directed to your product listings, where they can make a purchase. The system tracks various metrics, including:

  • Conversion rates
  • Impressions
  • Clicks
  • Total conversions

Unlike traditional pay per click models, you’ll only pay when shoppers click your adverts, making this an efficient option for many Amazon PPC campaigns.

The platform’s intelligent algorithms continuously optimise performance by adjusting when and where adverts appear based on shopper behaviour. This helps advertisers target relevant keywords and shopping interests that match their products.

For best results, regular monitoring of your PPC campaign performance is essential. By analysing which targeting methods generate the highest conversion rates, you can refine your approach and maximise return on advertising spend.

3. Where Can You Find Amazon Sponsored Display Adverts?

Amazon Sponsored Display adverts appear in several strategic locations designed to maximise visibility and engagement with potential customers. These placements help sellers reach shoppers at various stages of their buying journey.

On Amazon Product Pages:

  • Appear on related product detail pages
  • Often displayed in the “Products related to this item” section
  • Visible on customer review pages

In Amazon Search Results:

  • Show up alongside organic search results
  • Positioned to catch the eye of relevant shoppers
  • Help specific products stand out when customers search for similar items

Beyond Amazon:

  • Extend to third-party websites and applications
  • Follow potential customers as they browse elsewhere online
  • Keep products visible to shoppers who have previously shown interest

These adverts maintain product visibility throughout the customer’s shopping journey, whether they’re actively searching on Amazon or browsing elsewhere online. The strategic placement helps sellers reconnect with shoppers who viewed their products but didn’t purchase, as well as reach new customers who are interested in similar items.

Unlike other Amazon advertising options, Sponsored Display adverts uniquely bridge the gap between on-platform and off-platform visibility, making them particularly valuable for comprehensive marketing strategies.

4. Creating Your Sponsored Display Advertisements

Setting up effective display advertisements on Amazon requires just a few key steps. Advertisers should begin by accessing their Seller Central account and navigating to the Campaign Manager section under the Advertising menu.

When creating a new campaign, select the Sponsored Display option. Then establish campaign parameters including:

  • Daily budget allocation
  • Campaign duration dates
  • Distinctive campaign name for tracking
  • Targeting approach (product targeting, views remarketing, or audience interests)

Next, establish your CPC (cost-per-click) bid amount that represents your maximum payment per click. This is especially important for controlling advertising costs.

Select which products you wish to promote. Note that automatic targeting options are available and Brand Registry enrolment may be required for certain targeting features.

After reviewing your campaign details, simply launch your advertisements and monitor performance regularly for optimisation opportunities.

5. Are Sponsored Display Ads Worth the Investment?

When evaluating Sponsored Display Ads, sellers must consider specific business objectives before allocating their marketing budget. These advertising tools offer noteworthy advantages for expanding brand visibility and reconnecting with potential customers.

Key Benefits:

  • Expanded reach both on and off the Amazon platform
  • Ability to re-engage shoppers who viewed products without purchasing
  • Precision targeting based on customer browsing behaviour and interests

The potential for increasing brand awareness is significant, as these ads appear throughout the customer journey, not just during active searches. For businesses focused on building brand visibility, this advertising format offers valuable touchpoints.

Potential Limitations:

ConsiderationImpact
Budget managementRequires careful monitoring of cost-per-click
ROI variabilityPerformance may vary based on product category
Conversion ratesMay differ from other Amazon PPC options

Many sellers find that Sponsored Display Ads complement their broader Amazon PPC strategy rather than replacing other ad types. Monitoring performance metrics regularly helps optimise campaigns and improve return on investment over time. Utilising these ads strategically can also boost organic traffic as visibility increases.

5. The Bottom Line on Sponsored Display

Amazon Sponsored Display Ads present a valuable opportunity for sellers seeking to enhance their marketing approach. These ads effectively:

  • Boost product visibility across Amazon and beyond
  • Reconnect with potential customers who showed interest
  • Target specific audiences based on shopping behaviour

The advanced targeting capabilities make these ads particularly effective. Sellers can choose from:

Targeting TypeBest Used For
Product TargetingReaching shoppers viewing similar items
Views RemarketingRe-engaging past visitors
Interest-BasedFinding new customers with relevant interests

With proper budget allocation and regular performance reviews, these adverts can significantly improve sales from new-to-brand customers and strengthen one’s overall advertising strategy.