How to Craft a Winning Amazon Sponsored Display Ad for 2024

  • #Scale Insights Team
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How to Craft a Winning Amazon Sponsored Display Ad for 2024

Amazon Sponsored Display Ads are very different from the other types of ads you're used to running like Sponsored Products or Sponsored Brands.  

This guide delves into the nuances of creating successful Amazon Sponsored Display Ads campaigns and how they perform differently from other ad types. You'll learn how to use precise targeting and creative strategies to turn casual browsers into committed buyers, boosting your return on investment in Amazon's competitive marketplace.

What are Amazon Sponsored Display Ads?

Sponsored Display Ads enable you to target customers based on their interests, behaviors, and shopping history, reaching a broader audience by targeting those who have interacted with your products or similar items, as well as those interested in specific categories or brands.

To create an Amazon Sponsored Display Ad, select a product you want to advertise and create an ad campaign. You can choose from a variety of ad formats, including product targeting, audience targeting, and interest targeting. You can also customize your ad creative by adding a logo, headline, and product image.

One of the benefits of Amazon Sponsored Display Ads is that you only pay when a customer clicks on your ad. This means that you can control your advertising budget and target customers who are more likely to convert into a sale. You can also track your ad performance and make adjustments to optimize your campaigns.

Setting Up Your Sponsored Display Campaign

When setting up your Amazon Sponsored Display campaign, there are a few key things to keep in mind. In this section, we'll walk you through the process step-by-step.

Campaign Goals

The first thing you'll need to do is decide on your campaign goals. Are you looking to drive sales, increase brand awareness, or something else? Once you've identified your goals, you can start thinking about your targeting options.

Targeting Options

Amazon Sponsored Display offers a variety of targeting options, including audience targeting, product targeting, and interest targeting. Audience targeting allows you to target specific groups of shoppers based on their behavior and interests. Product targeting allows you to target shoppers who are browsing or have purchased similar products to yours. Interest targeting allows you to target shoppers who have shown an interest in products related to yours.

Budget and Bidding

Once you've identified your campaign goals and chosen your targeting options, it's time to set your budget and bidding strategy. You can set a daily budget for your campaign, as well as a maximum bid for each click. Amazon recommends starting with a lower bid and gradually increasing it over time as you gather more data on your campaign's performance.

Creating Engaging Ad Content

When it comes to creating effective Amazon Sponsored Display Ads, having engaging ad content is crucial. Here are some ad creative best practices and ad copywriting tips to help you create engaging ad content that resonates with your target audience.

Ad Creative Best Practices

To make your Sponsored Display Ads stand out, you should follow these ad creative best practices:

  • Use high-quality images or videos that are relevant to your product or brand.

  • Keep your ad design simple and uncluttered to avoid overwhelming viewers.

  • Use bold and contrasting colors to make your ads pop.

  • Ensure that your ad design is consistent with your brand's image and messaging.

  • Test different ad creative formats and designs to see what works best for your audience.

Ad Copywriting Tips

In addition to the visual elements of your ads, the ad copy is just as important. Here are some ad copywriting tips to help you create compelling ad content:

  • Keep your ad copy short and to the point. Use concise language that clearly communicates your message.

  • Focus on the benefits of your product or service, rather than just the features.

  • Use a clear call-to-action to encourage viewers to take action.

  • Use language that resonates with your target audience and speaks to their needs and desires.

  • Test different ad copy variations to see what resonates best with your audience.

By following these ad creative best practices and ad copywriting tips, you can create engaging and effective Amazon Sponsored Display Ads that drive results for your business.

Optimizing Sponsored Display Campaigns

As with any advertising campaign, the goal of a Sponsored Display campaign on Amazon is to maximize its performance and achieve the highest possible return on investment. Here are some strategies to optimize your Sponsored Display campaigns:

Performance Metrics

To optimize your Sponsored Display campaigns, you must first understand the key performance metrics that Amazon provides. These metrics include impressions, clicks, click-through rate (CTR), cost per click (CPC), and total spend. By monitoring these metrics, you can identify which ads are performing well and which ones need improvement.

A/B Testing Strategies

One of the most effective ways to optimize your Sponsored Display campaigns is through A/B testing. This involves creating two versions of an ad and testing them against each other to see which one performs better. You can test different elements such as ad copy, images, and targeting options. By identifying the best-performing ad, you can make adjustments to your campaign to improve its overall performance.

Adjusting Campaigns for Efficiency

Another way to optimize your Sponsored Display campaigns is by adjusting them for efficiency. This involves making changes to your campaigns to reduce costs and increase performance. For example, you can adjust your targeting options to reach a more specific audience, or you can adjust your bid strategy to focus on high-performing keywords. By continually monitoring and adjusting your campaigns, you can achieve the best possible results.

Leveraging Amazon's Audience Insights

When it comes to running successful Amazon Sponsored Display Ads, understanding your target audience is key. Fortunately, Amazon provides valuable audience insights that can help you optimize your ad campaigns and improve your ROI.

One of the most useful tools for leveraging Amazon's audience insights is the Audience Targeting feature. This feature allows you to target your ads to specific audiences based on factors such as their interests, purchase history, and browsing behavior.

To make the most of Audience Targeting, start by analyzing your existing customer data and identifying patterns in their behavior. Use this information to create custom audiences that are most likely to engage with your ads and convert into customers.

Another valuable tool for leveraging Amazon's audience insights is the Sponsored Display Audiences feature. This feature allows you to target your ads to audiences who have previously interacted with your brand on Amazon or elsewhere on the web.

By targeting these audiences, you can increase the likelihood of conversions and drive more sales for your business. To make the most of this feature, be sure to create compelling ad copy and use eye-catching visuals that will grab your audience's attention.

Advanced Strategies for Sponsored Display Ads

Competitor Analysis

One of the most effective ways to optimize your Amazon Sponsored Display Ads is to keep an eye on your competitors. By analyzing your competitors' campaigns, you can gain valuable insights into their targeting strategies, ad creative, and bidding tactics. This information can help you adjust your own campaigns to stay competitive and improve your ROI.

To conduct a competitor analysis, start by identifying your main competitors in your product category. Use Amazon's search function to find their products and analyze their Sponsored Display Ads. Look at their ad copy, images, and targeting options to see how they're positioning their products. You can also use third-party tools like SEMrush or Adbeat to get more detailed insights into your competitors' campaigns.

Based on your analysis, make adjustments to your campaigns. For example, you may want to adjust your targeting options, bid more aggressively on certain keywords, or update your ad creative to better differentiate your product from your competitors'.

Seasonal Campaign Adjustments

Another key strategy for optimizing your Amazon Sponsored Display Ads is to adjust your campaigns based on seasonal trends. Different times of the year can have a big impact on consumer behavior, and by adjusting your campaigns accordingly, you can take advantage of these trends and improve your ROI.

For example, during the holiday season, you may want to adjust your ad creative to include festive imagery and messaging. You may also want to adjust your targeting options to focus on gift buyers or shoppers looking for deals. Similarly, during the summer months, you may want to adjust your ad creative to focus on outdoor activities or travel.

By keeping track of seasonal trends and adjusting your campaigns accordingly, you can stay ahead of the competition and maximize your ROI.Amazon Ads: Display vs. Sponsored Products vs. Sponsored Brands

Understanding the differences between Amazon's main ad types

Sponsored Display Ads

  • Targeting: Reach users based on their shopping behavior and interests.
  • Placement: Ads appear on Amazon, external websites, and apps.
  • Use Case: Ideal for reengaging interested shoppers and boosting brand awareness outside Amazon.

Sponsored Products

  • Targeting: Focuses on keywords and products, targeting users searching for similar items.
  • Placement: Shows up in Amazon's search results and on product pages.
  • Use Case: Drives sales of specific products by targeting users with high purchase intent.

Sponsored Brands

  • Targeting: Uses keywords, aimed at promoting a collection of products.
  • Placement: Features above, beside, or within search results with a brand logo and custom headline.
  • Use Case: Increases brand visibility and showcases multiple products to users searching for related items.

Key Takeaways

  • Goal Alignment: Choose Sponsored Products for direct sales, Sponsored Brands for brand exposure, and Sponsored Display Ads for reengagement and external reach.
  • Customer Stage: Sponsored Products and Brands target users actively shopping on Amazon, while Sponsored Display Ads also reach users off-site, broadening your audience.
  • Visibility: Sponsored Display Ads extend beyond Amazon, offering unique opportunities to capture interest outside the shopping platform.

Selecting the right ad type hinges on your specific objectives, whether it's driving immediate sales, enhancing brand recognition, or engaging potential customers across the web.

Sponsored Display Ads: On Amazon vs. Off Amazon

On Amazon, Sponsored Display Ads target shoppers directly on the platform, appearing on product detail pages and search results. These ads leverage Amazon's shopping data to target users with high purchase intent, making them highly effective for boosting visibility and driving sales. By targeting customers who are actively browsing or have shown interest in similar products, these ads are strategically positioned to encourage immediate purchase decisions.

Off Amazon, these ads extend your reach to third-party websites, apps, and Amazon-owned sites like IMDb, allowing you to reengage customers who have previously interacted with your products on Amazon but are currently browsing elsewhere. This placement is key for increasing brand awareness beyond the shopping platform and drawing potential customers back to Amazon to complete their purchase. By utilizing Sponsored Display Ads both on and off Amazon, advertisers can achieve a balance between immediate sales conversion and long-term brand visibility.


With a thoughtful approach to targeting, creative design, and continual optimization, these campaigns offer an exceptional opportunity to put your products front and center in the eyes of the right consumers. 

Remember, success on Amazon's competitive platform requires staying informed, being adaptable, and consistently refining your methods.. We encourage you to take these learnings and put them into action—your next winning campaign is just around the corner. 

If you’re looking for more ways to optimize your Amazon advertising strategy with less effort and instant results, check out our proven effective Amazon PPC software and sign up for a free trial today!

Frequently Asked Questions

Does Amazon have sponsored ads?

Yes, Amazon offers various types of sponsored ads, including sponsored display ads.

What is an Amazon sponsored display ad?

Amazon sponsored display ads are a type of advertising that allows sellers to target their products to potential customers who are browsing or shopping on Amazon. These ads can appear on product detail pages, customer review pages, and other areas of Amazon's website.

Is Amazon sponsored display worth it?

The effectiveness of Amazon sponsored display ads can vary depending on various factors, including the product being advertised, the target audience, and the competition. However, many sellers have found success with these ads, and they can be a valuable tool for increasing visibility and sales on Amazon.

Is Amazon DSP same as sponsored display?

No, Amazon DSP (Demand-Side Platform) is a separate advertising platform that allows advertisers to reach audiences across the web, including on Amazon-owned sites and third-party sites. Amazon sponsored display ads are specifically designed for advertising on Amazon's website.

What is the difference between search ads and display ads?

Search ads appear in Amazon search results, while display ads appear on various pages throughout Amazon's website. Search ads are typically more targeted and can be more effective for reaching customers who are actively searching for a specific product, while display ads can be more effective for increasing brand awareness and reaching customers who are browsing Amazon's website.

What are the benefits of sponsored display ads on Amazon?

Some potential benefits of Amazon sponsored display ads include increased visibility and sales, improved brand awareness, and the ability to target specific audiences based on interests, behaviors, and other factors. These ads can also be relatively easy to set up and manage, making them a convenient option for many sellers on Amazon.