As we welcome in 2022, we reflect on the successes and failures of 2021.
However, it is also essential to look ahead at what may come in the next 12 months.
While it would be ideal to have a fortune teller’s crystal ball to see what will come for Amazon in the next year, this is unfortunately not possible yet, or at least not that I know of…
Hence we have tapped into our best wizardly minds in order to bring you our best Sponsored Ads trends for the upcoming year.
1: Customizable creatives on Sponsored brands and Sponsored Display
With Amazon becoming more saturated every day, it’s even harder to make your product stand out from the crowd. With customizable pictures, we can avoid this to some extent.
Custom product images allow you to upload your own graphics to ads, to help convey your brand and product story using bespoke background colours and art direction. In addition, you can point out your unique features within these creatives to draw attention to what differentiates you with competitors in order to drive more consideration for your products.
When using a custom image, your ad can still serve up to 12,000 different size variations on and off Amazon with one creative image. You only need to upload one rectangular image, which you can also crop into a second square image.
With these creatives tending to be more engaging and displaying the essence of brands better, we can foresee many sellers beginning to use these on ads. To get ahead of the trend and capitalize on there being many sellers who don’t know about the opportunity to do this, we would recommend implementing them now to help stand out.
In addition, having a design team has never been more important. Having high quality, engaging pictures that display your brand’s aesthetics is a key factor in gaining a conversion.
To create a customizable creative, you must tick the ‘customize your creative’ box and add a logo and headline or add a custom image.
2: Day Parting
For those that aren’t aware of day parting, it is a simple feature which is widely underrated in the Amazon advertising space. Day parting allows you to set your ads to only run at specific times of the day, these are often times where the product sees most traffic, or where the target customer is most active on Amazon.
Day parting helps to prevent wasted spend as it stops spend from being used at times where conversion is unlikely. With this feature, you can take advantage of busy shopping hours, eg break, lunch etc. Furthermore, you can be more specific with your targeting: if you have products that are only available to specific audiences, day parting can get around this by featuring ads only when these audiences tend to be awake.
Day parting can be utilized on DSP via the line item settings or you can use software for PPC day parting. To gain the best insights into the times to day part, you should analyze purchase data and timing insight and discover the best-performing days of the week and hours of the day. If you are struggling with having a high ACoS, or if you find your products are sold more at specific times, day parting can transform your Amazon ads. Therefore, we can imagine this feature playing a much bigger role in Amazon ads in 2022.
3: CPM charge model for Sponsored Display
Up until now, Sponsored Display is widely known as being the ugly duckling of Amazon Advertising, a title earned through its generally ugly ACoS. However, it seems Amazon may have realised everyone’s distrust for the ad type and have attempted to improve their performance.
We have already seen Sponsored Display campaigns employing some DSP like features, such as their customizable creatives, with the CPM model being a new addition.
Since introducing cost per viewable impressions (VCPM), Sponsored Display campaigns have actually overtaken Sponsored Product campaigns in performance, judging by ACoS only. Due to this, we suspect using the VCPM model will become very popular in 2022.
VCPM can be utilized by selecting ‘optimize for viewable impressions’, as seen below, when building your sponsored brand campaign and it means you are paying for one thousand impressions that shoppers viewed instead of for an individual click.
With our top 3 suspected Amazon Sponsored Ad trends for 2022 being listed above, what will you implement and how will you get ahead of the rest? However you like to run your ads, we would love to hear about you and your Amazon business.
Feel free to book a call with our head of sales George who can see how we can help with scaling your advertising and Amazon brand.