In the ever-evolving landscape of e-commerce, Amazon Retargeting Ads have emerged as a game-changer for sellers looking to maximize their reach and boost sales. Understanding the intricacies of this powerful advertising tool is crucial for staying competitive in the Amazon marketplace.

What are Amazon Retargeting Ads?

Amazon Retargeting Ads are a form of display advertising that allows sellers to reconnect with potential customers who have visited their product pages but didn't make a purchase. These ads appear across the web, giving sellers a second chance to capture the attention of interested shoppers and encourage them to complete the purchase.

Currently, Amazon is in the testing phase of expanding retargeting beyond its borders. Sponsored Products, in automatic campaigns, can now target customers on off-Amazon websites and apps, potentially turning them into shoppers.Previously, retargeting options were limited to Amazon's Demand-Side Platform (DSP), confining advertisers to retargeting on Amazon-affiliated third-party sites like Netflix, Instagram, Facebook, and the Washington Post.Sellers now have the ability to extend their reach beyond the Amazon ecosystem, retargeting potential customers on any third-party website, opening up new avenues for conversion.

Why is retargeting important for Sellers?

Opportunity for Growth:

• Retargeted ads offer a fantastic opportunity for business growth.
• Recognizes that online shoppers may not convert immediately.

Behavioral Influence:

• Retargeted ads serve as a reminder, encouraging the audience to reconsider purchasing.
• Positioned as the final nudge needed to convert hesitant shoppers.

Conversions Boost:

• Emphasizes that retargeted ads can secure conversions that might have been lost otherwise.
• Highlights the effectiveness of keeping products in the audience's mind.

Cost-Effective Marketing:

• Stresses that retargeted ads are cost-effective.
• Points out the positive impact on Advertising Cost of Sale (ACoS).

Profit Optimization:

• The cost-effectiveness of retargeted ads contributes to a lower ACoS.
• Implicitly suggests that this leads to better profitability for the business.

What are the different Amazon Retargeting Ad Platforms?

There are multiple options available for sellers to choose from.

Sponsored Display:

• Amazon’s Sponsored Display is available to Vendors, Agencies, and professional Sellers enrolled as a brand.
• This enables retargeting for on- and off-Amazon audiences within a 30-day period.
• The data from tracking users’ shopping behavior is then used to display highly relevant ads to those users as they browse Amazon's site.
• Off-Amazon retargeting keeps products and brands top of mind even when users are not actively browsing.

Amazon Advertising Platform (AAP):

• Amazon Advertising Platform offers various ad formats, including Sponsored Products, Sponsored Brands, Sponsored Display, and Sponsored Brands Video.
• Amazon Advertising Platform monitors customer shopping patterns for effective audience segmentation.
• It provides device and browser targeting, along with detailed predictive analytics.
• Advertisers have the option to aim their campaigns at custom audiences based on their shopping behavior, resulting in highly customized and effective advertising.
• It has an option for an impressions-based payment model, but may be expensive for some budgets.

Demand-Side Platform (DSP):

• Demand-Side Platform (DSP) enables programmatic buying for digital advertising inventory.
• It covers websites, social media platforms, mobile apps, and online video channels.
• DSP uses Amazon's purchasing data for targeting campaigns.
• Advertisers can target specific audiences based on their shopping behavior for personalized campaigns, and the platform provides real-time bidding and optimization tools for efficient advertising.

Sponsored Products:

• On Amazon's Sponsored Products, Sellers can target specific audiences based on their shopping behavior, creating personalized campaigns that reach the right people at the right time.
• The Sponsored Products platform provides a cost-effective advertising solution for driving sales and increasing visibility on Amazon.
• Retargeting with Sponsored Products was introduced in Beta, indicating Amazon's serious approach to retargeting.

How Amazon Retargeting Ads Work

Pixel Implementation:

• The foundation of Amazon Retargeting Ads lies in the implementation of a tracking pixel on your product pages.
• This pixel tracks user behavior, enabling you to create custom audiences based on their interactions.

Custom Audiences:

• Sellers can create custom audiences by segmenting users based on their actions, such as viewing a product, adding it to the cart, or abandoning the cart.
• This segmentation allows for highly targeted ad campaigns.

Ad Placement:

• Retargeting Ads can appear on various platforms outside of Amazon, including social media sites, blogs, and other websites within the Amazon advertising network.
• This widespread exposure helps reinforce your brand and products.

Setting Up Amazon Retargeting Ads Campaigns

Campaign Objectives:

• Sellers can set specific objectives for their retargeting campaigns, such as driving sales, increasing brand awareness, or promoting new products.
• Defining clear goals is crucial for measuring the success of your campaigns.

Ad Creatives:

• Crafting compelling ad creatives is essential to capture the attention of potential customers. Use high-quality images, engaging copy, and a clear call-to-action to entice users to revisit your product pages.

Budgeting and Bidding:

• Amazon offers various bidding strategies, including cost-per-click (CPC) and cost-per-thousand-impressions (CPM).
• Sellers should set a realistic budget and bid strategically to maximize the effectiveness of their campaigns.

How to Set up your own Amazon Retargeting Ads?

To get started, you have to create a generic Sponsored ad campaign.

Step 1: Click on the Sponsored Products option in Amazon Seller Central.

Step 2: Select “Create campaign” and add your campaign name, budget, and duration.

Step 3: Since you can only access Ad Retargeting through automatic campaigns, choose Manual Campaign as the campaign type.

Step 4: If you are selling in the US marketplace, your account will be eligible for Retargeting Ads. So, tick the box that says “Remarketing” under the “Automatic Targeting” radio button.

Measuring and Optimizing Campaign Performance

Key Metrics:

• Monitoring key metrics such as click-through rate (CTR), conversion rate, and return on ad spend (ROAS) is crucial for evaluating the success of your campaigns.
• Amazon provides detailed analytics to help sellers make informed decisions.

A/B Testing:

• Experiment with different ad creatives, copy, and targeting options through A/B testing.
• This iterative approach allows you to identify the most effective elements and optimize your campaigns for better performance.

Best Practices and Tips for Success

Segment Your Audiences:

• Create specific audience segments based on user behavior to deliver personalized and relevant ads.
• Tailoring your messaging to different segments increases the likelihood of conversion.

Utilize Dynamic Ads:

• Amazon's dynamic ads automatically generate personalized content based on users' previous interactions with your products.
• This dynamic approach enhances the relevance of your ads and drives engagement.

Regularly Update Campaigns:

• Keep your campaigns fresh by updating ad creatives, testing new strategies, and adapting to changing market trends.
• Regular optimization ensures that your retargeting efforts remain effective over time.

Conclusion:

Amazon Retargeting Ads have become an indispensable tool for sellers aiming to maximize their advertising efforts on the platform. By understanding how to set up, optimize, and measure the performance of these campaigns, sellers can create a dynamic and effective strategy for reaching potential customers and driving sales. Embrace the power of retargeting and elevate your Amazon business to new heights in the competitive e-commerce landscape.