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From search engine to advertising platform
Amazon is constantly evolving. And it's doing so at an enormous, almost intangible pace. When it comes to finding content and important information, Google is your first port of call. And when it comes to products? Here, Amazon is in first place for the majority of consumers. Once the process of gathering information and making decisions is complete, consumers head for the platform and begin to find the right item for them in Amazon's seemingly endless product selection. For this purpose, Amazon provides interested parties with important information such as availability, shipping information and prices. In addition, detailed product information and customer reviews help to create a holistically positive customer experience. The customer is picked up at the end of the conversion funnel, so to speak, and simply led to the purchase.
For Amazon, this results in enormous advantages: increasing sales figures due to the best price-performance ratio, rising customer loyalty and the expansion of its monopoly position in the area of product search.
So far, no new, groundbreaking findings. But: As indicated, the Amazon cosmos is in a constant state of flux. Amazon is the number one in product search and is also becoming increasingly important for advertisers. Amazon is evolving from a search engine to an enormously important advertising platform. In the future, the value of advertising space for product ads will continue to increase and, in addition, advertisers and brand owners must be aware that Amazon will grow into a profitable alternative to Google.
Amazon has launched Amazon Marketing Services. This is the equivalent of Google AdWords. Keyword-based product ads are placed above, within or below organic search results. Advertisers pay for this according to the CPC principle. This means that costs are only incurred when a potential customer clicks on the ad in question.
By setting a fixed budget, auctions can be started for profitable keywords and keywords with a high search volume, and advertising space can be auctioned off.
What is the advantage over AdWords? As described above, AMS allows ads for products to be placed when customers are about to make a purchase decision. The audience of the ads already has a very high propensity to buy, an account and possibly positive buying experiences on Amazon. In summary, this means that the customer is picked up directly before his purchase decision and thus the profitability of the ads increases significantly compared to ad placement on Google AdWords.
This gives retailers and manufacturers the opportunity to increase their own sales and improve their ranking in the Amazon search algorithm at currently still low prices. AMS can be used to draw comprehensive lessons in e-commerce performance marketing.
By using AMS, you will learn how to increase the visibility of your products, which keywords work particularly well (and should therefore not be missing in the listing) and how you can increase your sales within a very short time. Here's the rule: If you get on the bandwagon early, you'll be ahead of the game and one step ahead of the competition.
If you would like more information about AMS or/and would like to place ads about AMS yourself, please feel free to contact us.
Send us an email with your questions and concerns to info@iconic-sales.com and a colleague will get back to you promptly.
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