ICYMI – As part of Amazon’s push in the last year to bolster its self-service ad management platform, which has historically been less than desirable, the company introduced a new ad type called Sponsored Brands Video earlier this year.

Similar to other ad types available through Amazon, Sponsored Brands Video allows advertisers to target ad delivery based on user searches or competitors’ products, placing ads in the search results or directly on competitors’ listings.

For those not familiar with Amazon advertising, marketers utilize the Amazon advertising platform not unlike Google Ads search advertising. Advertisers bid against one another for ad placement on their target competitor products or search keywords.

This bidding and placement mechanic is what makes the new(er) ad type so powerful.

Traditionally, advertisers who wanted to run video advertising were charged based on CPM — an impression-based cost. They paid for every instance in which the target audience viewed their ad.

In the case of Sponsored Brands Videos, however, Amazon’s algorithm pulls data from the product listing, customer, and advertiser to optimize delivery. This allows Amazon to charge differently for video ads than most other platforms. Instead of CPM, it uses the PPC (pay per click) framework. This allows advertisers to earn thousands of impressions for free, as only clicks result in a cost.

Key Takeaway:

Use the Amazon Sponsored Brands Video ad type to present your brand to new customers looking for your products, or viewing products that are similar to yours. You’ll only pay when shoppers click your ad, and you’ll earn NTB (new to brand) impressions completely free.

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