The Future of Amazon PPC Transitions in the age of automation
Amazon PPC
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How does it work?
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What are the benefits?
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When do I stop using it?
How it works? â—?
Amazon pay per click feature put your products in front of millions of amazon.com customers
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Your ads are displayed in highly targeted placements on amazon.com so customers can click through your ads and buy the products
Benefits ●
Drive Traffic from Amazon.com to your page
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Customers purchase product directly from you
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CPC: pay only when customers click on your product ads
When do I stop using it?
Because ‌ investing in Growth-Based Advertising to drives more than fair share of trafďŹ c to your product listings
Understanding Opportunity
Customers â—?
Amazon > Google: In term of product searches
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Amazon has become the #1 product search engine vs. Google (meaning you must be on Amazon)
Opportunity Amazon has 54% share of all product searches as compared to Google
Opportunity 66% of Amazon shoppers starts new searches on amazon.com
66%
Opportunity 74% of Amazon shoppers start speciďŹ c searches on amazon.com
74%
Clicks BOFP (be on ďŹ rst page) or DROWN
Opportunity Top 3 product search results capture 64% of all clicks on amazon.com
Opportunity The ďŹ rst page of product searches results capture 81% of all clicks on Amazon.com
Amazon’s Advertising Growth
Amazon's advertising businesses grew around 36% year over year in Q2 2019 Amazon’s advertising business had it’s second $3 billion quarter in the second quarter of 2019. While $3 billion in an off-holiday, non-Prime Day quarter is a milestone. Recent acquisition in advertisement space Sizmek’s for its ads servers and creative optimization platform shows amazon is looking long-term at these investments.
Recent PPC Observations Bulk Operations Advanced Match Types â—?
Auto: loose, compliments
Product attribute targeting Search term reports
Future of PPC
Personalization ●
Bundle products automatically depending on user profile, sales trend, etc.
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Variant of product auto selected depending on the user profile (e.g. color)
Acquisition of Sizmek Personalized creative that reaches the right person at the right time Benefits: ● ●
Bundle products automatically depending on user profile, sales trend, etc. Understanding alternative purchase buyer behaviour and targeting accordingly.
DiversiďŹ cation of Reach Are you using the new Sponsored Display ads to boost your sales? Amazon recently rolled out the beta version of Sponsored Display ads to all sellers. Up to this point, control has been very limited and the only type of targeting control was called "View" which is essentially offsite retargeting. We'll also be able to start targeting "Interests, Products and Categories" with our display ads.
Build more Effective Audience Strategies Providing Control to define audience segments so your message stays relevant across your customer’s entire purchase funnel. ●
Added product in cart and not bought - strategy and campaign different
Video Advertising Amazon continues to focus on video content. In fact, Amazon’s marketing expenses rose 48% year-over-year in the second quarter. Amazon’s video and display offerings across its owned properties and networks, can be targeted using Amazon data, and open up advertiser demand beyond Amazon vendors and sellers. Benefits: ●
You are in a highly saturated category with anyone and everyone running regular Sponsored ads and you want a competitive advantage
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If you have completely maxed out your Sponsored Products AND Sponsored Brands
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You are looking for a Top of the Funnel to increase brand exposure.
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You are willing to INVEST in your brand in order to achieve long term goals
Scoring and KPI Automatically serve the best-performing creative version to each audience according to the KPIs you designate.
Benefits: ● ●
This will help provide real time recommendations to improve overall account performance. Both at the account level & campaign level- scores will be available across ads platform.
Recommendation System Recommendations include how adding seller ratings, smart shopping campaigns & others will boost the campaigns. What need to do to improve your listing or ads.
Custom Templates for creative ads Enjoy the speed and simplicity of easy-to-use custom templates for conveying right brand message.
2 image templates to show ads - suggestive image
Voice Search ●
User adoption of Alexa growing, soon shall support shopping online too
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Challenges would be different from keywords, so would be opportunities
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Later in 2020 we could see some interesting possibilities for the advertisers
Traffic, test, and report with ease Easy-to-configure reporting options including viewability specific attributes, like the impact of search, social, email, display, and video media channels based on how consumers discover, research, and buy your products on Amazon.
Possible rollouts
Social Targeting ●
Products bought could be shared directly on one’s social network
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Helps nurture sales by performing influence marketing by Amazon
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Would help build extended networks for cross-selling products
Chatbot ●
This would help to give an instant understanding of the products
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Products with these extensions could be advertised at a premium
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Amazon could develop tools to help automate responses for this process
Mobile ●
Location-based advertising of products to the user (notifications)
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Device type/activities would become one of the targeting attributes
Storefronts â—?
Automated templates to generate personalized product recommendations
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Enhanced shopping experiences would bring automated copywriting to foray
Story The Best Violins Three violin makers have all done business for years on the same block in a small town in Italy. After years of a peaceful co-existence, a new salesperson decided to put a sign in their shop window proclaiming: “We make the best violins in Italy.” A salesperson at the second shop soon followed suit. They put a sign in their window proclaiming: “We make the best violins in the world.” After thoughtful consideration, the salesperson at the third shop put a sign out simply saying: “We make the best violins on the block.”
Which of these pitch is more focussed to targeted customers?
https://www.businessinsider.in/Amazon-is-rolling-out-a-tool-that-shows-just-how-much-Google-and-Facebook-ads-drive-people-to-do-th eir-shopping-on-the-e-commerce-site/articleshow/70981756.cms
Amazon is rolling out a tool that shows just how much Google and Facebook ads drive people to do their shopping on the e-commerce site
Shrix !
Intent-driven Targeting â—?
A deeper understanding of the user context, and their buy intent
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Match types include attributes like location, demographics, etc.
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Better segmentation help target effectively, w/ tailored messaging
Media Formats ●
Animated GIFs shall be exploited for richer experience
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Interactive 360 deg product views with description, zoom, VR, ...
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Automated tools to generate these new formats shall be supported
Video Ads ●
Short video shall be an exciting format
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But I’d be surprised if it wasn’t present on Amazon yet
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Amazon’s video and display offerings across its owned properties and networks, can be targeted using Amazon data, and open up advertiser demand beyond Amazon vendors and sellers.
Attribution â—? â—?
More accurate attribution for a holistic view of customer journey
Data ●
Market 2020 $?B
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Profitability
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Features
Bidding ●
Shall support extended strategies, simplified in terms of user goals
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"Pause" low-performing ads based on specific conditionalities (auto/manual)
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More real-time notifications added E.g. max ACoS that one can tolerate, etc.
đ?—Źđ?—˘đ?—¨đ?—Ľ đ?—”đ?— đ?—”đ?—đ?—˘đ?—Ą đ?—Łđ?——đ?—Łđ?—Ś đ?—”đ?—Ľđ?—˜ đ?—˘đ?—™đ?—™đ?—œđ?—–đ?—œđ?—”đ?—&#x;đ?—&#x;đ?—Ź đ?—Źđ?—˘đ?—¨đ?—Ľ đ?—•đ?—Ľđ?—”đ?—Ąđ?—— đ?—Şđ?—˜đ?—•đ?—Śđ?—œđ?—§đ?—˜đ?—Ś: We know that Amazon has become the #1 product search engine vs. Google (meaning you must be on Amazon) and we know that winning the top search results may make or break your business (I’ve heard it said you can hide a dead body on Page 2 of Amazon search results...). However, while quite believable, we now can conďŹ rm another important fact. With the help of Edge by Ascential insights and SimilarWeb data, we were able to conďŹ rm that across 50 top US hashtag #CPG brands, their Amazon product detail pages (PDPs) captured more pageviews in a month than their entire Brand.com websites. While this doesn’t mean brands should delete their websites, but it does mean that brand teams should be investing as much time, money, headcount and marketing communications and brand strategy behind their overall brand presence and product detail pages on Amazon and other key retailers like Walmart and Target as they do behind their websites and annual brand marketing campaigns. Because that’s where their shoppers are going when they’re shopping no matter where they ultimately buy.