How to use Amazon’s Sponsored Display ads for retargeting

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How to Use Amazon’s Sponsored Display Ads for Retargeting

Amazon’s Sponsored Display ads are a powerful tool for retargeting shoppers who have previously interacted with a brand’s products but have not yet made a purchase. Unlike Sponsored Products and Sponsored Brands ads, which primarily target shoppers within Amazon’s search results, Sponsored Display ads extend beyond Amazon to appear on third-party websites, mobile apps, and other placements across the internet. This makes them essential for re-engaging potential customers, increasing brand recall, and boosting conversions.

Understanding Sponsored Display Ads for Retargeting

Sponsored Display ads allow advertisers to target shoppers based on their browsing behavior and shopping history. The two key retargeting options available are:

1.Views Remarketing: Targets shoppers who have viewed a product detail page but did not purchase. This helps re-engage potential customers who showed interest but may need a reminder or incentive to complete the purchase.

2.Purchases Remarketing: Targets shoppers who have previously purchased a product, encouraging them to buy again or try complementary products. This is particularly useful for replenishable items like supplements, skincare products, or consumables.

Setting Up a Sponsored Display Retargeting Campaign

1. Choose the Right Products to Retarget

Selecting the right products is crucial for a successful retargeting strategy. Ideal products for Sponsored Display ads include:

•Best-selling items with strong customer demand.

•High-margin products that justify the additional ad spend.

•Complementary products that encourage repeat purchases.

•Newly launched products that need more exposure.

2. Select the Right Targeting Strategy

Amazon provides two main audience-based targeting options for Sponsored Display retargeting:

•Views Remarketing: Best for engaging shoppers who visited a product detail page but didn’t buy. This helps recover lost sales by reminding shoppers of the product they were interested in.

•Purchases Remarketing: Encourages repeat purchases or cross-selling by targeting customers who have already bought from the brand.

3. Customize Ad Creatives for Maximum Impact

Sponsored Display ads allow customization with lifestyle images, brand logos, and engaging headlines. To make retargeting ads more effective:

•Use compelling headlines that reinforce value (e.g., “Still thinking about this? Limited-time discount inside!”).

•Include high-quality images showcasing the product in use.

•Highlight any special offers, such as discounts or bundle deals.

4. Optimize Bids and Budget for Retargeting

Unlike search-based ads, Sponsored Display ads rely on audience data, so bid strategies should be adjusted accordingly:

•Increase bids for high-value customers (e.g., shoppers who viewed a product multiple times).

•Lower bids for broader audiences to control ad spend.

•Use Amazon’s dynamic bidding options, which automatically adjust bids based on likelihood of conversion.

5. Monitor Performance and Optimize Continuously

Track key metrics such as:

•Impressions: Measures ad reach across Amazon and third-party sites.

•Click-Through Rate (CTR): Indicates engagement levels.

•Conversion Rate: Helps assess whether retargeted shoppers are converting.

•Return on Ad Spend (ROAS): Ensures profitability of the campaign.

By regularly analyzing performance reports, sellers can refine targeting, adjust bids, and update creatives to maximize effectiveness.

Final Thoughts

Amazon’s Sponsored Display ads are a powerful tool for retargeting, allowing sellers to reconnect with shoppers who have already expressed interest in their products. By leveraging views and purchases remarketing, optimizing ad creatives, and adjusting bid strategies based on performance, brands can effectively increase conversions, improve brand recall, and maximize advertising ROI.