Amazon has formally launched its
Product Ads service and it's got many wondering if it's such a good idea.
You might remember that several years ago, Amazon actually launched a PPC advertising service they dubbed ClickRiver without much success. My experience in the past with Amazon programs has been that it may not be
the best option for merchants, advertisers or consumers today, but the future
will be a completely different story - as is the case I believe here.
Product Ads is a PPC (pay-per-click) advertising program designed to provide
Amazon.com customers with access to products available on external or
third-party websites. As you might imagine, some merchants are none too pleased
that Amazon is providing consumers with a way to leave the listing they are
currently on and directing them to another site entirely.
As a seller, advertisers simply upload their catalog and set the
cost-per-click bids and daily budget. Amazon will then display ads to Amazon.com
customers when they shop for your product or related products. Customers who are
interested in buying your product can click through to your website and purchase
the product directly from the advertiser.
There are no monthly fees and no minimum spend. Advertisers are charged only
when an Amazon customer clicks on your ad and is taken to your website. You
control not only the maximum price you are willing to pay for that click, but
also your daily budget. This allows you to measure the return on your
advertising investment and optimize your budget accordingly.
Product Ads by Amazon provides a new, highly targeted advertising channel.
Amazon's world-class shopping experience and product pages ensure you only pay
for qualified customers. You don't pay for customers to read about and view your
products on Amazon. You only pay when they click on your ad to go to your
If you have products that are not currently available on Amazon, they use the
product details you provide to create a new product page. These products will be
available in search, browse and on related product pages. If your products are
the same or similar to existing products on Amazon, they display your ads on
existing product pages targeting customers who are looking for products like
In an effort to drive the best results for their customers and sellers, Amazon is
continually testing and optimizing Product Ads placements. As such, these
placements will vary and evolve over time with the objective of getting your
products in front of customers "in the most customer-centric way," says Amazon.
In what categories can I advertise my products?
Advertisers can sign up immediately for the program to list products in the
Baby, Computer, Electronics, Health and Personal Care, Home and Garden, Office
Products, Sports and Outdoors, Tools and Home Improvement and Toys categories.
According to Amazon, advertising in Apparel, Shoes, Jewelry, Beauty and Watches
categories is available but is restricted.
The information you need to provide to create Product Ads includes the category,
the product title, the SKU, the URL, the product price and shipping price, the
UPC and the product description.
If you're wondering how Amazon could manage to squeeze in one more
section into its site's product pages,
you're not alone.
See the image below for how it looks currently, but expect over time for the
placement to move about in order to secure the greatest number of end-user
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