Amazon Ads have significantly changed over the years. On analyzing the current pace, it seems like 2022 won’t be an exception. Advertisement placements on amazon undergo a crazy competition. To tackle the increasing demand and competition, Amazon releases more and more features to ensure that new placements are available for advertisers. Based on Amazon’s previous trends, we have listed 4 significant trends for 2022, which will give you an enhanced Amazon PPC Management experience with more sales and conversions.
First Trend: Converged Focus on Unique Brand Assets and Creative.
Since the launch of the customizable image within the “Customize your creative” section for Sponsored Display Ads(late august 2021), two out of three types of campaigns available on Amazon can now be customized with creative. The only way to stand out in a noisy market is by making your mark in the crowd!
What can you do to enhance your Sponsored Display advertisement and make it more user-friendly, and increase CTR?
Custom-designed creative has unlimited possibilities. It is possible to customize your creative strategies to highlight the distinct competitive advantages over a specific competitor. In addition, you can tailor your creatives based on the different seasons of the year as well! Another option would be to tailor the creatives according to your potential customers’ funnel level.
The addition of “Creative Assets” further emphasized the importance of customizing. This feature includes all previously uploaded assets that were used to create campaigns. This feature makes it simple to manage, store and reuse assets once used in Sponsored ads.
What is this Implying for Brands?
It’s time to collaborate with your design team with the performance and marketing department. An annual calendar of creativity will help teams agree with the forthcoming campaigns and the design assets required to help with these efforts.
Also, Amazon PPC Management professionals will need to resist the temptation to optimize bids when an advertisement fails to deliver.
Now, let’s look at some other trends of sponsored ads!
Second Trend: The Significance of Dayparting will Heavily Increase
Only those advertisers that support third-party tools currently employ dayparting, and it is anticipated to be added to Amazon directly. Dayparting is an option that will help advertisers determine the duration of their campaigns during specific daytime periods (for example, 9:00 am to at 05:00 pm). This is sure to be a welcomed change as it will help avoid wasted money. There are times during the day or week when your customers aren’t engaging with your advertisements because they’re not on Amazon during those times.
What is this Implying for Brands?
Brands are free to specify specific times in which they would like their advertisements to be displayed. Brands with smaller budgets for advertising must look at information and identify the most effective times to serve as an additional lever to help keep the ACoS lower.
Third Trend: Brand Metrics will Allow Performance Marketers to Go Beyond “Bottom of The Funnel” Targeting
Brand metrics are another new feature required for Amazon PPC management and will increase in importance throughout 2022. It lets advertisers study the behavior of retail shoppers and tailor the brand’s advertising accordingly.
Brand metrics are accessible at an individual level depending on which industry a brand is listed in and comprise the following KPIs that are essential to know:
- Total Brand Shoppers
- Engaged Shopper Rate
- Rate of Customer Conversion
- Percentage of sales that are new to the brand
In each segment, advertisers can view their performance compared to their competitors in the same area. The brands’ percentile indexes for each customer journey stage are represented through Amazon’s funnel.
What does this Mean for Brands?
Brands need to recognize that marketing on Amazon is becoming more and more complicated, and the metrics that go beyond the ACoS or TACoS are now required. Brands must identify which phase of the funnel is essential for the overall goals, for sales on their account, and use the marketing tools appropriate to the stage at hand.
The numbers for peer comparisons will allow advertisers to see how their brand is positioned in the broader category. Strive for the median figures at the very least.
Read on to determine the final prediction of advertising trends for sponsored ads in 2022.
Fourth and Final Trend: Measuring of Advertising Effectiveness will Be Redefined by Sponsored Display CPM
Sponsored Display advertising is a disaster for ACoS. In the last month, this statement did not hold. Amazon has been consistently working hard to enhance Sponsored display advertising, which they hope to utilize and gain access to more DSP options available through the Advertising Console. Since introducing cost-per-viewable impressions, the sponsored display campaigns have proven to be more successful than sponsored product campaigns as measured by ACoS alone.
Optimize for viewable images uses the cost per thousand visible impressions (vCPM) system, in which you pay per 1000 impressions that shoppers view instead of per click.
The attribution of “Optimize for viewable impressions” is based on the number of clicks and estimates of views. Similar to Amazon DSP.
What is this Implying for Brands?
If charged per 1000 viewable impressions, ACoS can appear impressive for popular products. The brands will have to figure out ways to budget for these campaigns to help with their retargeting, product-targeting, and audience targeting sponsored display campaigns. Measuring the effectiveness of the campaigns against their optimization for page views and their “optimize” for conversions shall also be carried out.
Brands must rethink how they assess the effectiveness of advertising campaigns and determine whether the data proves that sponsored display campaigns have influenced the Amazon customer further into the funnel.
Yet, in the midst of “optimize for viewable impressions” as an awareness-driven tool, particularly if ACoS can be accepted, it’s hard to question the value of this new bidding technique.
The trends in sponsored ads for 2022 demonstrate how Amazon Ads is growing in detail and complexity. The complete buyer’s journey from awareness to consideration to purchase is conducted via Amazon and Amazon’s owned platforms for media. Teams working on development at Amazon have been smart enough to add additional tools to assist advertisers in influencing consumers with their ads at every stage.
It’s up to Amazon advertising professionals to meet the task and gain the most value for their money in this multi-faceted environment.
Furthermore, if you need any assistance with Amazon PPC management or PPC Outsourcing, feel free to book a consultation with us today. We at Sellryt, an Amazon Advertising Partner, would be more than happy to help.