Why Sponsored Brands Remain Valuable on Amazon

Sponsored Brands
Sponsored Brands

In 2018, Amazon rebranded its advertising offering. Since then, Amazon Advertising has been committed to developing its benefits and capabilities. With this transition, Headline Search Ads (HSA) became Sponsored Brands (SB). This ad type is continually updated and remains an integral part of brands’ Amazon Advertising strategies. Continue reading for what’s new with Sponsored Brands and for strategic recommendations.

Reach Shoppers Through the Buying Journey 

One reason Sponsored Brands are popular is the ability to reach shoppers during critical phases of the buyer’s journey. Once a shopper moves beyond the awareness phase, these ads are still effective. They can target those in consideration, purchase, and loyalty phases.

  • Consideration Phase 

Creative and personal ad copy is effective for shoppers in the consideration phase. MPS focuses on building a connection through storytelling to keep our client’s brand and products top-of-mind.

  • Purchase Phase 

Sponsored Brands strengthen awareness and bridge the gap between research and purchasing phases. Through category and ASIN targeting, they deliver on product detail pages and within the search results. This coverage influences shoppers performing research-related searches and those closer to making a purchase.

  • Loyalty Phase 

It’s important to remain at the forefront of a shopper’s experience on Amazon even after they buy from your brand. Besides retargeting through DSP, Sponsored Brands are often used to encourage repeat business. They can also showcase the breadth of a catalog and either cross-sell or upsell shoppers in the loyalty phase.

A brand’s bidding process, language, and creative strategy will vary by the audience of focus. Regardless, Sponsored Brands are a go-to ad type for mid-to-bottom funnel shoppers. 

Recent Updates to Sponsored Brands 

In early May, Amazon Advertising announced a number of updates to Sponsored Brands. Some were anticipated and others were a welcome surprise. First, the ad type can now be served on product detail pages (PDP). These placements are either at the top of the PDP serving as a banner or leaderboard unit. Or, as a shoveler placement below product images. This is crucial for brands that want to have a stronger influence on purchases and increase conversions. 

Another addition to this ad type is the translation feature. Within the Campaign Manager, brands can approve translations to serve international marketplaces. Translations allow advertisers to improve the experience for all shoppers by communicating in their preferred language. 

Also within the Campaign Manager, a creative editing feature was added. With this, it’s possible to edit creative for existing Sponsored Brand campaigns. Before, advertisers needed to create a brand new campaign to update logos or messaging. 

Lastly, brands may notice a difference in the appearance of both mobile and desktop placements. According to Amazon, the new creative drives a more-than 20% increase in click-through-rate on desktop and more than a 13% increase on mobile. The ad units are taller, take up more space on a shopper’s screen, and blend in with organic placements.

Strategic Recommendations from MPS 

Before the latest round of updates, MPS strived to replicate the look of organic placements for our client’s Sponsored Brands. With the enhanced creative this will be done automatically. Now advertisers can focus on attracting shoppers through an engaging custom headline. 

As mentioned, Sponsored Brands can now serve on product detail pages (PDPs). To earn these placements, MPS leverages category and ASIN targeting. Before, keyword-targeted Sponsored Brands could only deliver within the search results. This option is best for PDPs with high-volume traffic or for brands that want to increase awareness for shoppers in the research phase. 

One of the many reasons MPS encourages clients to prioritize building an Amazon store is for advertising purposes. According to Amazon, using Sponsored Brands to drive traffic to a Store offers a 22% better return than using a landing page.

Finally, MPS strategists use Sponsored Brands Video whenever possible. This tactic requires no minimum budget and has proven successful on both mobile and desktop. 

There are many options to consider for a successful Amazon Advertising strategy. This ad type has proven to be successful and continues to evolve with the platform. If you could use the support of a strategic partner, schedule a free consultation. As always, we’re here to answer any questions about Sponsored Brands or your brand’s Amazon presence.

Sponsored Brands

Hannah West

Hannah West