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Amplify your Amazon advertising strategy with DSP and AMC

Amplify your Amazon advertising strategy with DSP and AMC

Xmars team

Boasting with over 300 million active Amazon accounts and 150 million prime members, standing out on Amazon is crucial. The landscape is competitive, and advertising costs are climbing, especially for Sponsored Ads. However, the combination of Demand Side Platform (DSP) and Amazon Marketing Cloud (AMC) can be transformative for your strategy. Let's break down these tools and explore how Xmars leverages them to drive success to your business.

The Precision of DSP and AMC

Sponsored Ads are foundational in Amazon advertising, but solely relying on them might limit your potential. Amazon DSP is like a precision tool in your advertising toolkit. It facilitates programmatic ad placements, ensuring you reach the right audience both on and off Amazon. With DSP's retargeting capabilities, your advertising isn't just broad but highly targeted, leading to more effective conversions. An interesting point to note: when customers encounter both DSP and Paid Search ads, they're 5 times more likely to make a purchase compared to just seeing Paid Search.

Amazon DSP audiences allows you to tailor your marketing strategies for better results. These audience types cover every stage of the customer journey, and thanks to the latest tools integrated into Amazon's API, optimizing these strategies for maximum impact has never been simpler.

  • Demographic (upper funnel): Targets specific age, gender, etc.
  • In-market (upper funnel): Focuses on current shopping trends.
  • Lifestyle (upper funnel): Based on distinct shopping patterns.
  • Contextual (mid funnel): Appears on similar Product Detail Pages.
  • Retargeting (lower funnel): Zeroes in on specific product viewers or purchasers.

The AMC Advantage

While DSP focuses on outreach and targeting, AMC is all about insights. It provides a comprehensive view of your campaigns, helping you understand customer behavior, purchasing trends, and areas of improvement.

  1. Holistic Marketing Funnel View: Understand beyond the usual 14-day attribution. Assess first touch and multi-touch ROAS.
  2. Exclusive Sponsored Product Insights: AMC's New to Brand (NTB) data unveils channels attracting new customers.

Upper Funnel advertising is a key player in the customer journey. Despite its significant role in driving conversions, it often remains underrecognized due to the prevailing last-touch attribution model. This oversight complicates the task of accurately demonstrating the efficacy of Upper Funnel strategies using conventional metrics.

This is where AMC becomes instrumental. Think of AMC as the magnifying glass that reveals the intricacies of your customer's journey. It offers a holistic view, capturing everything from the moment that they discover a new product category to when they become loyal enthusiasts. In essence, AMC fills the gaps in understanding audience behavior and the impact of various marketing stages.

Navigating Top of Funnel and Measurement Challenges with AMC

Gauging the success of bottom-funnel sales and Return on Advertising Spend (ROAS) can be relatively straightforward. However, the waters get murkier when assessing the top and middle of the funnel. Though DSP can be a game-changer for long-term growth, it doesn't always deliver the same punchy ROAS as other Amazon advertising avenues. Navigating it alone can make this even more daunting. Plus, if your advertising budget is either too lean or spread too thinly across multiple products, there's a risk your ads could fade into the background. Luckily, AMC makes things clearer and helps optimize results by:

  1. Accurately tracking the customer's path from initial discovery to long-term loyalty.
  2. Evaluating the effectiveness of different ad formats.
  3. Clarifying the specific function and influence of each advertisement.

AMC provides the tools to construct and accurately evaluate the funnel's upper segment based on its influence on the end results. Utilizing AMC might pose challenges without profound SQL expertise, but Xmars users can bypass the need to directly access an SQL database for on-the-spot funnel analysis.

Partnering with Xmars: A Strategic Move

Leveraging the combined strengths of DSP and AMC can be intricate, and that's where Xmars comes into play. We provide specialized solutions to enhance your Amazon advertising approach. Our AMC solutions delve deeper than just last touch attribution, emphasizing the importance of connecting with consumers throughout their entire shopping journey.

To learn more about AMC and how to harness the power of data-driven strategies for your brand, please reach out to our team or visit our AMC Solutions page!  

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