• James Northcott

Amazon Advertising Trends: 2021

Updated: Mar 1, 2021

We closed out 2020 with no real clarity on the current global lockdown restrictions, but what we do know is that Amazon is one of Covid-19’s biggest winners. With this, we expect Amazon Advertising to continue to develop their offering and solidify themselves as an integral part of a brands' success.

Amazon Advertising is fast catching up with the media giants such as Google and Facebook but one key differentiator sets Amazon apart and consequently makes them incredibly appealing to ecommerce brands; customer purchase intent.

We know that Amazon shoppers are actively looking to purchase, and with the added presence of loyal and high spending Prime members, you won’t find a more engaged and ready-to-buy consumer than on Amazon.

As more brands flock to amazon to take advantage of the surge in online, we are seeing an increase in competition for ad space.

So how do you stay ahead in this new and constantly evolving digital landscape? We are here to help you stay one step ahead of the competition by looking for breakthrough opportunities and adopting these emerging trends we foresee emerging in 2021:

  1. Brand Videos

  2. Programmatic Display

  3. Advanced Reporting

1. An Increasing Availability of Branded Video Across Amazon

If 2019/20 saw the rise of the image-led journey on Amazon, 2021 is most definitely the year of the video. From listing videos and Brand Store video to Sponsored Brand video ads, it is clear Amazon is starting to push more visual and engaging content than ever before. Similarly, other ecommerce platforms are also starting to recognise the value of product videos. Etsy recently trialled a video experiment with sellers on their platform and found that the presence of a video on a product listing increased purchase intent amongst consumers.

Sponsored Brand Video ads are currently serving below the fold for keyword search terms but we expect to see more of these placements appear all across the Amazon platform, increasing opportunities for brands to breakthrough. Amazon have also announced that Sponsored Brand video ads are now available in additional markets which is a sure sign they are here to stay!

2. The Rise of Sponsored Display

Amazon’s redevelopment of Product Display Ads, now known as Sponsored Display, provide brands with a chance to dip their toes in the water of programmatic advertising through their existing marketing platform.

Brand’s now have the ability to trial the image-focused advertising strategy on a CPC basis and with as little as £1 per day to target consumers based on their viewing or shopping behaviour. As a consumer, if you are browsing products on Amazon, expect to see some of these items follow you around as you browse both on and off Amazon.

As a brand, this capability speaks for itself as you attempt to capture consumers who were shopping in category or browsing a competitor’s product pages, and bring them back to your product. The visual format allows you to show more of your brand personality and showcase a singular hero product in each ad.

If large-scale DSP activity was previously out of your budget range, Sponsored Display is your solution to finding valuable audience insights and in a way that focuses on lower-funnel metrics.

3. Advanced Reporting Analytics & Insights

Amazon's primary focus has been on rolling out of additional and more complex advertising tools, meaning their reporting system has always been playing catch up. However, we are already seeing more readily available metrics for all ad types appearing on the platform and expect Amazon to arm their advertisers with the tools they need to make more informed decisions about the performance of their ad campaigns. with the hope of increasing ad spend and driving increased revenue.

Send us a message at hello@toucanecommerce.com for a discussion on how we can help elevate your advertising strategy for 2021 and beyond. It’s not too late to take advantage of the growing number of online shoppers reaching for Amazon as lockdown continues.

#2021Trends #JamesBlogs #AdvertisingTrends #AmazonAdvertising #SponsoredDisplay #SponsoredBrandVideo #Reporting

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