Amazon Sponsored Brands vs. Sponsored Display vs. Sponsored Products: A Strategic Framework for Full-Funnel Dominance

1. Amazon Sponsored Products

Amazon Sponsored Products are keyword-targeted ads that appear in search results and on product detail pages. They promote individual products and are ideal for driving direct sales.

Key Features

• Appear in search results (e.g., “yoga mats”) and on product pages as “Sponsored” listings.
• Targeted by keywords (manual or automatic targeting) or product categories.
• Cost-per-click (CPC) pricing model—you pay only when a shopper clicks your ad.
• Best for products with optimized listings and competitive pricing.

Use Case

Perfect for sellers looking to drive immediate sales, especially for high-intent shoppers searching for specific products. For example, a seller of “organic dog treats” can target keywords like “grain-free dog chews” to capture buyers ready to purchase.

2. Amazon Sponsored Brands

Amazon Sponsored Brands (formerly Headline Search Ads) are designed to increase brand visibility. These ads showcase your brand logo, a custom headline, and multiple products, appearing in search results.

Key Features

• Appear at the top, middle, or bottom of search results as a banner ad.
• Can link to an Amazon Store, a custom landing page, or a product list page.
• Keyword-targeted with options for video ads (Sponsored Brands Video).
• Requires enrollment in Amazon Brand Registry.

Use Case

Ideal for building brand awareness and showcasing a product portfolio. For example, a fitness brand can use a headline like “Discover Premium Yoga Gear” to highlight their yoga mats, blocks, and straps, directing traffic to their Amazon Store.

3. Amazon Sponsored Display

Amazon Sponsored Display ads are display ads that target audiences based on interests, behaviors, or products viewed, both on and off Amazon (e.g., third-party websites via Amazon DSP).

Key Features

• Appear on product detail pages, customer review pages, and off-Amazon sites.
• Target audiences based on interests (e.g., “pet owners”), product views, or retargeting (e.g., shoppers who viewed your product but didn’t buy).
• Available to sellers enrolled in Amazon Brand Registry, as well as non-brand registered sellers for on-Amazon targeting.
• CPC pricing with options for contextual targeting (e.g., competitor product pages).

Use Case

Great for retargeting and reaching new audiences. For example, a pet product seller can retarget shoppers who viewed their “organic dog treats” but didn’t purchase, displaying ads on related product pages or external sites.

Step 1: Start with Sponsored Products to Drive Conversions

Begin at the bottom of the funnel to generate sales and build momentum.

• Target High-Intent Keywords: Use exact match keywords like “organic dog treats grain-free” to capture ready-to-buy shoppers.
• Optimize Listings: Ensure your product listings have high-quality images, keyword-rich titles, and detailed descriptions to improve conversion rates.
• Monitor ACoS: Aim for an Advertising Cost of Sales (ACoS) that aligns with your profit margins (e.g., 20-30%). Adjust bids to balance cost and conversions.

Case Study: SellerVine helped a pet product seller increase conversions by 40% within 60 days by focusing on Sponsored Products with exact match keywords and optimizing their listings, reducing ACoS from 35% to 25%.

Step 2: Use Sponsored Brands to Build Awareness

Once you have a foundation of sales, move up the funnel to increase brand visibility.

• Create Compelling Headlines: Use action-oriented headlines like “Discover the Best Yoga Mats for Every Practice” to attract clicks.
• Link to an Amazon Store: Direct traffic to a branded Amazon Store to showcase your full product range and build brand loyalty.
• Test Video Ads: Sponsored Brands Video can increase engagement by up to 20%. Show your product in action, like a yoga mat being used in a workout.

Case Study: A fitness brand working with SellerVine saw a 50% increase in brand impressions after launching Sponsored Brands ads linked to their Amazon Store, driving a 30% uptick in overall sales.

Step 3: Leverage Sponsored Display for Retargeting and Expansion

Use Sponsored Display to re-engage interested shoppers and reach new audiences.

• Retarget Past Visitors: Target shoppers who viewed your product but didn’t buy, displaying ads on related product pages or off-Amazon sites.
• Target Competitor Pages: Show ads on competitor product pages to capture shoppers comparing options. For example, advertise your yoga mat on a competitor’s product page.
• Expand Audience Reach: Use interest-based targeting to reach new customers, such as “pet owners” for your dog treats.

Case Study: SellerVine implemented Sponsored Display retargeting for a home decor brand, resulting in a 25% increase in conversions from shoppers who had previously viewed their products but didn’t purchase.

Step 4: Integrate and Optimize Across All Ad Types

Combine all three ad types to create a cohesive full-funnel strategy, continuously optimizing for performance.

• Cross-Promote: Use Sponsored Brands to drive traffic to your Store, Sponsored Products to convert high-intent clicks, and Sponsored Display to retarget and expand reach.
• Analyze Performance: Use Amazon Seller Central’s Campaign Manager to monitor key metrics like impressions, clicks, ACoS, and conversion rates across all ad types.
• Adjust Budgets: Allocate more budget to the ad type performing best at each funnel stage, while testing new keywords and targeting options to improve overall ROI.

By strategically using Amazon Sponsored Products, Sponsored Brands, and Sponsored Display ads, you can dominate the full marketing funnel—from awareness to purchase. SellerVine, a trusted Amazon marketing agency, provides the expertise and tools to implement this framework effectively, helping you optimize your campaigns and achieve measurable results. Ready to take your Amazon advertising to the next level? Let’s get started!