Unlock the untapped potential of ecommerce advertising with Amazon Ads.

27 Jun 2022 | Sales & Marketing

About the author

Hooshang Bakht

Brego Business was started with a mission to make entrepreneurship easy. Our goal is to help business owners grow and scale without having to deal with the day-to-day stress of running a business. We specialize in providing services that help business owners grow their businesses, including search engine marketing (SEM), social media marketing (SMM), LinkedIn marketing, video production, accounts receivable (AR), accounts payable (AP), internal audit, VCFO, and recruitment. We have helped more than 500 brands grow their businesses. We work closely with the clients to understand their unique needs and develop customized strategies that deliver measurable results.

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Amazon Ads

Most of the marketers today are familiar with the names of Facebook and Google when it comes to digital ads. While most companies are still leveraging these two towards their paid social media efforts, there is yet another surprise entrant in the domain of advertising. 

It’s Amazon!

Renowned for venturing into multiple verticals like eCommerce, cloud services and garnering a large customer base, Jeff Bezos’s Amazon is turning from an online store into a powerhouse of advertisement. Statistics suggest that Amazon made roughly $21.5 billion from advertising in the past year. Since more than 50 percent of the product searches originate from Amazon customers have started looking for products directly on the platform making Google worried. With more than 10 percent of the ad market just in the US, Amazon has turned into the third largest advertising giant after Google’s 29 percent and Facebook’s 25 percent market share.

While marketers cut their ad spending due to the pandemic, eCommerce advertising boomed, helping Amazon pick up the lead. With unprecedented growth in the domain mostly due to the immense data, the eCommerce giant is already competing with Facebook’s 25 percent market share and Google’s 29 percent market share for ad budgets. Facebook ads for eCommerce have also become increasingly popular, but Amazon’s success in the advertising industry has put it in direct competition with Facebook and Google. With more than 10 percent of the ad market just in the US, Amazon has turned into the third largest advertising giant, making it a powerhouse in the eCommerce advertising space. Statistics suggest that Amazon made roughly $21.5 billion from advertising in the past year, and with more than 50 percent of the product searches originating from Amazon customers, the platform has become a go-to destination for advertising products.

Why is Amazon Advertising on the Rise?

Whether merchants are looking forward to increasing their brand awareness, driving sales, or making their products, services, etc., more prominent in the customer’s eyes, Amazon advertisement is already growing and leveraging upon the data of its 2.14 billion users.

While the benefits for ecommerce advertising merchants across all domains are immense, here are 3 reasons that bring about the rise of Amazon advertisements.

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More Users Searching Queries on Homepage

There have seen several behavioral changes observed in the buyers in the past few years. Online purchasers who are definite to make a purchase, search products directly on the homepage now. Half of these are users residing in urban regions of India.

Amazon’s ecommerce advertising is exceedingly growing, eating into the profits of Facebook and Google with 23 percent of the online shoppers heading first to Amazon for product inspirations when they don’t have anything in mind.

Deep Understanding of Customers

Amazon has more than 300 million active customers on its platform who shop products from multiple sellers using several modes of payments. This gives Amazon a lot of data about how buyers discover, browse and purchase products online. With Amazon advertising, merchants have this tremendous opportunity to reach out to buyers at every stage of their journey. Be it through sponsored ads, brands, or sponsored displays. The platform has a plethora of options for everyone’s needs.

Amazon Insists on Conversions

Amazon’s ecommerce advertising model is unique. On the one hand, it is primarily attached to the position where the sale occurs, while on the other, the platform wants the buyer to make the sales. That’s why there is a rise in the number of advertisers on the platform, realizing its potential and interest in hyper-segmented personalized advertising. Moreover, with its purchase-specific intent, it is leading the way in advertising. Amazon doesn’t want to know about your friends or your memorable events or anything non-commercial. It wants to know what you purchase and when and uses this targeted information to provide you with what you’re looking for in the market.

Growing Ad Revenue and Future

Amazon’s success story in the world of advertising is particularly remarkable in the domain of ecommerce advertising. Its ad revenue, which hit an impressive $10 billion in 2020, is expected to quadruple by 2023, making it a major force to be reckoned with in the advertising industry globally. Amazon’s dominance in ecommerce advertising is a significant disruptor for incumbents such as Google and Facebook, as it begins to eat into their market shares. Notably, Amazon’s advertising business leverages the power of Amazon Web Services, which is one of its most valuable assets. The most remarkable aspect of Amazon’s advertising success is that it has been achieved by utilizing Google’s tried-and-tested pay-per-click strategy.

Holding an upper hand over its rivals in many ways, Amazon is all set to create more outstanding experiences for its eCommerce users through the means of advertising. If you’re headed to the eCommerce platform lately and searched for deals, more specifically ‘Prime Day,’ since nearing India, you must have seen a ton of ads appear on your results page. That’s because Amazon knows a lot more about you than you probably remember.

Be it your search history, last-bought products, your cart of monthly supplies, or the frequency of your orders, Amazon’s intelligent algorithms are familiar with the customer’s behavior like nothing you’ve ever seen. If it were any other advertiser, they would’ve used this information to target the audience and offer them valuable products. However, when it comes to Facebook ads for ecommerce, advertisers have been missing out on the opportunity to utilize this customer data for targeted ads. Instead, they have only been targeting Amazon for ads, even if it means selling products that buyers cannot purchase directly on Amazon.

With Amazon’s dominance in eCommerce advertising, advertisers on the platform can leverage the vast amount of data available to forecast demand, position their products, and reach a wider audience. This data can be used not only on Amazon but also across a network of third-party websites, ensuring that relevant advertisements are displayed to potential customers. As a social media advertising company, Amazon’s growing interest in eCommerce advertising is posing a challenge to established players like Facebook and Google.

The company’s large customer base and extensive information on customer behaviors, demand forecasting, and payment information make it a gold mine for advertisers. With Amazon’s superior conversion rates compared to platforms like Google and Facebook, it offers another massive benefit to advertisers. The idea that people come to Amazon to make a purchase is convincing enough and the driving factor behind conversions. Compared to other social media advertising companies, Amazon’s advertisements are more trustworthy and less intrusive to the user experience.

In conclusion, Amazon’s dominance in eCommerce advertising, combined with its vast customer base and extensive data, makes it an attractive platform for advertisers. As the company continues to invest in its advertising platform and streamline its usability, it is likely to become a dominant player in the social media advertising space as well. Advertisers who want to maximize their reach and conversions should consider leveraging Amazon’s advertising capabilities to reach their target audience effectively.

Amazon is also integrating Sizmek’s ad servers and dynamic creative units, meaning a greater degree of personalization for its users. Using this tool, the customers on the platform will see more tailored ads specific to their needs and behavior rather than that of the entire shopping community. Moreover, these will be enhanced with regular monitoring of their placement and effectiveness. Overall, buyers will find the products they’re looking for more quickly and find a heightened shopping experience.

Start you Amazon Ads with the help of Brego Business‘s Digital Marketing Service.

If you are an e-commerce business owner looking to expand your reach and increase your sales, then Amazon Ads might just be the perfect solution for you. Despite being one of the largest online marketplaces, many e-commerce businesses overlook Amazon Ads as an advertising platform, leaving it an unexplored goldmine for e-commerce advertising.

Brego Business Performance Marketing Services are helping their clients to tap into this goldmine by offering expert advertising solutions for Amazon Ads. With a deep understanding of the e-commerce space, the company offers customized advertising strategies that help businesses increase their visibility, reach, and ultimately, their sales.

While Facebook Ads for Ecommerce are popular in the e-commerce advertising space, they are not the only option available. Amazon Ads offer unique advantages that Facebook Ads cannot match. For example, with over 300 million active users, Amazon provides a large pool of potential customers that are actively searching for products and services. Furthermore, Amazon’s purchasing platform makes it easier for customers to make purchases compared to other social media platforms.

Brego Business are an experienced social media advertising company and their team of experts have a deep understanding of the Amazon Ads platform and know how to create campaigns that deliver results. They work closely with their clients to understand their business goals and develop advertising strategies that align with those goals. The company’s focus on data-driven decision-making and continuous optimization helps ensure that their clients’ campaigns are always delivering maximum return on investment.

If you are looking for a reliable and effective advertising partner, look no further than Brego Business Performance Marketing Services. With their expertise in Amazon Ads and the e-commerce advertising space, they are the perfect partner to help you grow your business and achieve your goals. So why wait? Get in touch with Brego Business today to start exploring the untapped potential of Amazon Ads and take your e-commerce business to the next level!

You can acquire a competitive advantage by using the performance marketing services provided by Brego Business. Find out more about our assistance options here.

Conclusion

With the increasing opportunities and exhaustive database, Amazon has the potential to become the next big thing in the digital advertising industry and pose a challenge to established social media advertising companies like Facebook and Google. Buyers are already finding several functionalities of Amazon’s advertising platform better than traditional social media advertising channels. As a social media advertising company, Amazon’s vast reach, combined with its advanced targeting options, enables advertisers to reach their target audience effectively.

Like other social media advertising companies, Amazon is slowly catching up to its competitors. The platform’s advertising functionalities, including sponsored product listings and display ads, are gaining popularity among advertisers looking to reach their target audience on Amazon. However, to become the dominant force in the digital advertising space, Amazon needs to streamline its usability further. By providing advertisers with a more user-friendly interface and better integration with third-party tools, Amazon can attract more advertisers and increase its market share.

Amazon’s advertising platform offers a range of tools and metrics to help advertisers optimize their campaigns and maximize their return on investment. As a social media advertising company, Amazon’s continued investment in its advertising platform is likely to give it an edge over its competitors. With its vast customer base and extensive data, Amazon is well-positioned to become a dominant player in the industry. Advertisers who want to reach a wider audience and maximize their conversions should consider leveraging Amazon’s advertising capabilities.

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Frequently asked questions

What is performance marketing?

Performance marketing is a type of digital advertising where advertisers pay only for specific actions, such as clicks, leads, or sales, instead of paying for ad impressions or clicks that don't lead to conversions.

How can Facebook ads help my ecommerce business?

Facebook ads can be highly effective for ecommerce businesses, as they allow you to target specific audiences based on interests, demographics, and behaviors. This can lead to higher click-through rates, increased conversions, and ultimately more sales.

What is ecommerce advertising?

Ecommerce advertising is a type of digital advertising specifically designed for online retailers and businesses that sell products or services online. It typically involves using ads to drive traffic to ecommerce websites, increase product visibility, and boost sales.

How can Brego Business help with Facebook ads for ecommerce?

Brego Business has extensive experience in creating and managing Facebook ad campaigns specifically for ecommerce businesses. We can help with everything from ad targeting and creative development to ad tracking and optimization.

What should I look for in a social media advertising company for my ecommerce business?

When choosing a social media advertising company, look for one with experience in ecommerce advertising, a proven track record of success, and a thorough understanding of your target audience and brand values. Also, consider their pricing structure and level of communication and support.

What are the benefits of using a social media advertising company?

A social media advertising company can help businesses save time and resources while also achieving better ad performance and ROI. They have the expertise and tools needed to create and manage effective social media ad campaigns that drive results.

What social media platforms does Brego Business specialize in for advertising?

Brego Business specializes in advertising on several social media platforms, including Facebook, Instagram, LinkedIn, Twitter, Snapchat, TikTok, and more.

What types of businesses can benefit from performance marketing services?

Any business that wants to drive specific actions, such as clicks, leads, or sales, can benefit from performance marketing services. It's particularly effective for ecommerce businesses, subscription-based services, and businesses with long sales cycles.

How does Brego Business measure the success of performance marketing campaigns?

Brego Business uses various metrics and tools to measure the success of performance marketing campaigns, such as conversion rates, click-through rates, cost per acquisition, return on ad spend, and more.

How can I get started with Brego Business's performance marketing services?

You can get started with Brego Business's performance marketing services by reaching out to us through our website or contacting our team directly. We'll work with you to understand your business goals and develop a customized performance marketing strategy that fits your needs and budget.

Ecommerce advertising is a vital aspect of any online business. One effective way to reach potential customers is through Amazon Ads. Amazon Ads are a cost-effective way to advertise your products to millions of Amazon shoppers. However, many businesses have yet to explore this unexplored goldmine of ecommerce advertising.

At Brego Business Digital Marketing Services, we help our clients leverage Amazon Ads to increase their online visibility and reach their target audience. Our team of experienced marketers uses data-driven strategies to optimize Amazon Ads campaigns, helping our clients to achieve a high return on investment.

In addition to Amazon Ads, we also provide other ecommerce advertising services, including Facebook Ads for ecommerce. Facebook Ads for ecommerce are an effective way to reach potential customers on one of the world's most popular social media platforms. Our team of social media advertising experts creates customized Facebook Ads for ecommerce campaigns that target your ideal audience, generating more leads and increasing conversions.

As a leading social media advertising company, we help our clients leverage the power of social media to grow their online presence and reach their target audience. We use the latest advertising techniques to create customized campaigns that maximize engagement and drive sales.

If you're looking to increase your ecommerce advertising efforts, Brego Business Digital Marketing Services is here to help. Contact us today to learn more about our Facebook Ads for ecommerce and other ecommerce advertising services, and how we can help you reach your online business goals.

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