Importance Of Building Brand Awareness Through Amazon Advertising

Importance Of Building Brand Awareness Through Amazon Advertising

Brand Building Potential For Marketers

Amazon is not about direct response anymore. Marketers should focus on the brand-building potential across both display and search ads. In the early goings of Amazon’s advertising platform, most advertisers looked to it as another source of ad inventory that should focus on direct response. This is due to products typically being the first format brands go into. Amazon ads are certainly a strong avenue for driving orders and sales. 

However, that isn’t the case anymore for Amazon advertisers to focus entirely on direct response goals. Marketers should be looking at the brand-building potential across both display and search ads. 

Increased Focus On Awareness and Consideration

The Amazon Demand-side Platform (DSP) allows marketers to target display inventory on and off of Amazon. It was found that the share of spend allocated to campaigns that were focused on building awareness and consideration grew from 26% in Q1 2019 to 60% in Q4. Investing in brand awareness campaigns also has the trickle down effect of producing more customers that have not purchased before from the brand. When looking at the new-to-brand metrics, who have not purchased from a brand on Amazon in the last year, the share of total DSP purchases attributed as new went from 71% in Q3 to 78% in Q4, according to MarketingLand. 

Some of these purchases may be tied to seasonal shifts but it is logical that investing in campaigns aimed at building brand awareness would turn into more customers purchasing from the brand. Advertisers have the ability to choose different ad formats to create different experiences. Static banners give marketers the ability to add lifestyle images into the creative use for those campaigns that are more focused on building the brand. 

In conclusion, what was a huge opportunity that most advertisers used for direct response and purchase focused goals has quickly evolved over the last year. Marketers that are able to take advantage of the potential of brand building from Amazon search and display formats will be able maximize their output from Amazon advertising.

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