Amazon Ads Foundations
By AdmazonIQ – Decode. Optimize. Dominate Amazon Ads.
🛒 Introduction: Why You Can’t Ignore Amazon Advertising
If you're selling on Amazon in 2025, relying on organic visibility alone isn't enough. With competition increasing across every category, Amazon Ads has become essential—not just to grow, but to survive. Whether you're a solo seller or a global brand, advertising on Amazon gives you control over visibility, traffic, and ultimately, conversions.
This guide is your starting point into the world of Amazon Advertising—from understanding core campaign types to the metrics that matter.
📦 What is Amazon Advertising?
Amazon Advertising is Amazon’s in-house ad platform that allows brands, sellers, and vendors to promote their products and drive visibility both on and off the platform. Think of it as the Google Ads of eCommerce—but happening where people are ready to buy.
When executed well, Amazon Ads can:
Increase discoverability for your products
Drive incremental revenue
Improve organic rankings over time
📊 The Core Campaign Types You Must Know
1. Sponsored Products (SP)
Promote individual products in shopping results and detail pages
Use keyword or product targeting
Appears "natively" like organic listings
✅ Best For: Product launches, boosting sales, daily performance
2. Sponsored Brands (SB)
Showcase your brand logo, custom headline, and 3+ products
Occupies top-of-search placements
✅ Best For: Brand awareness, catalog discovery, cross-selling
3. Sponsored Display (SD)
Targets shoppers on and off Amazon
Great for remarketing, product/category interest, competitor views
✅ Best For: Retargeting, upselling, bringing back browsers
4. Amazon DSP (Demand-Side Platform)
Programmatic display & video ads outside Amazon
Targets users using Amazon's first-party audience data
✅ Best For: Full-funnel campaigns, off-Amazon awareness, AMC-based segmentation
🧠 Key Metrics To Track
| Metric | Description |
|---|---|
| ACOS | Ad Cost of Sale = Ad Spend / Ad Revenue |
| ROAS | Return on Ad Spend = Ad Revenue / Ad Spend |
| CTR | Click-Through Rate = Clicks / Impressions |
| CVR | Conversion Rate = Orders / Clicks |
| TACOS | Total ACOS = Ad Spend / Total Sales (ad + organic) |
| NTB % | New-to-Brand = % of shoppers new to your brand |
Pro Tip: Don’t just chase lower ACOS—track how ads impact total business growth through TACOS and NTB.
🚀 Starting Smart: The AdmazonIQ Way
Here’s a simple, proven approach to launch your Amazon Advertising journey:
Start with Sponsored Products for 2–3 high-potential ASINs.
Use manual targeting to control keywords and placements.
Keep campaign structure clean (1 match type per campaign).
Gradually expand into Sponsored Brands and Display.
Track performance weekly; optimize for CTR, ROAS & NTB.
🔮 Coming Up Next
In future blog posts and video tutorials, we’ll go deeper into:
Campaign setup best practices
Keyword match types and bidding strategies
Event-based ad planning (Prime Day, Q4, holidays)
Using AMC (Amazon Marketing Cloud) for advanced insights
Dayparting, audience targeting, and DSP success stories
🎬 Final Thoughts
Understanding the foundations of Amazon Ads sets you up for strategic growth. With AdmazonIQ, you’re not just running ads—you’re building performance-driven systems that scale.
👉 Subscribe for weekly insights as we decode, optimize, and dominate Amazon Advertising—together.
Good One Narasimha 👍
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