From home page banner placements to HTML offerings, Amazon Media Group (AMG) is a premium advertising offer available within Amazon Vendor Services.

AMG Display Advertising gives vendors the capability to create relevant campaigns that drive results and access full-funnel campaign metrics.

But, one of the most effective features of AMG is the ability to leverage Amazon customer data to target shoppers off Amazon (on any Amazon Ad Network site). 

Before we jump into how AMG targets past purchasers using customer data – let’s review the different ad options available within Amazon Media Group including:

1) Amazon Display Ads

Amazon Display Ads reach shoppers on desktop and mobile devices to showcase brands at every stage of the customer journey.

Amazon Product Display Ads:

  • Advertise individual products
  • Drive traffic to product’s detail page
  • Create targeted ad campaigns
  • Control spend with bid and budget
  • Pay only when shoppers click
  • Track campaign performance

 

2) Amazon Advertising Platform (AAP)

The Amazon Advertising Platform allows advertisers to efficiently reach Amazon shoppers on Amazon sites, across the web, and in mobile apps using:

  • Desktop Display Ads
  • Mobile Banners Ads
  • Mobile Interstitial Ads
  • Image & Text Ads
  • In-stream Video Ads

 

3) Kindle & Fire Experiences

The third element of AMG allows vendors to advertise visual campaigns for Amazon customers on Kindle, Fire tablet and Fire TV.

Amazon offers ads that appear on Kindle and Fire tablet lock screens as well as placement at the top of the Fire TV home screen. These ads are integrated into the product design and enable vendors to speak directly to their targeted consumers.

For more information on AMG’s ad units, check out our recent post: What is Amazon Media Group?

How Does AMG Display Advertising Leverage Amazon Customer Data To Target Shoppers?

As we mentioned, one of the major perks of AMG advertising is the ability to leverage Amazon customer data to serve ads to past purchases and other shoppers likely to purchase your product(s) on Amazon owned network sites.

nick-sandbergAccording to Nick Sandberg, Marketplace Program Development Manager at CPC Strategy, AMG allows vendors to target customers or potential customers also referred to as “in-market” or “lifestyle”.

In-market means they are currently browsing for your product or products similar to yours but they have not made a purchase,” he said.

“On the other hand, Lifestyle is when they show a pattern of purchasing your product(s). They might not be actively searching for it at the moment, but Amazon keeps track of this behavior and knows this shopper has a tendency to buy your product(s) on Amazon.”

“Once Amazon has collected consumer data on your customer (whether they be in-market or lifestyle), they can use this information to target the shopper whenever they are on any site that serves AMG ads and drive them back to your ecommerce site.”

AMG placements are located on a variety of ad networks – meaning they could show up on Facebook, or any other Amazon-owned websites including:

But since AMG operates via an ad network, your ads could also show up on almost any other website including ESPN or the New York Times.

amazon media group

 

Introducing Dynamic Ecommerce Ads

Another unique capability of AMG customer data – is the use of Dynamic Ecommerce Ads.

Dynamic Ecommerce Ads take consumer targeting a step further and pick what type of ad to show your potential or returning customer – based off of their purchasing behavior.

For example, Brett is an Amazon shopper who focuses mainly on reading reviews before making a purchase vs. Jeremy, who is really price conscious.

According to Sandberg, “The same campaign could target both of those people but show Jeremy an ad that highlights the strike-through price, vs. Brett who is more likely to click on a stellar customer review.”

The takeaway is every customer interacts with your ad and values product content differently, which is why Dynamic Ecommerce Ads can be extremely valuable to advertisers.

“An internal study by Amazon in August 2016, showed Dynamic eComm Ads (DEA) drive a 23% lift in Purchase Rate when compared to standard image ads.” –Lucas Nurmi, Amazon Ad Platform Sales said.

According to Amazon, Dynamic eCommerce Ads combine all eCommerce creative formats with machine learning and Dynamic Optimization to automatically serve the highest performing creative to Amazon audiences and improve campaign performance.

Amazon also adds – no matter how granular the targeting is at the campaign or ad level, there is still a lot of variation in the segments with respect to what motivates customers to take action.

Below is an example that illustrates how DEAs work. In this campaign, the advertiser is targeting ads to “Healthy Lifestyle” customers:

In the 3 examples above, within this segment, Amazon might advertise to:

  1. “Head of the Household” – Aka a shopper responsible for running the household
  2. “Product Researches” – A shopper with lots of purchasing power, yet routinely scrutinize even the smallest online items before committing to purchase.
  3. “Impulse Buyer” – A college student on a strict budget

In this example, Amazon’s DEA model might determine that the “Head of Household” is more likely to act on a coupon offer, but the “Product Researcher” is more likely to respond to a Customer Review ad, and the “Impulse Buyer” is more likely to add items to her cart.

For more on AMG Display Advertising or the DEA model, email tara@cpcstrategy.com

 

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About the AuthorTara graduated from the University of New Hampshire with a B.S. in Journalism / Business. Her passion for creative publishing and quality reporting landed her work opportunities at several companies in Massachusetts, New York and California. She is a leading voice behind CPC Strategy’s Blog. See all posts by this author here.