Sponsored Display Ads Launch on Twitch

Recently, Amazon announced the latest major update to their increased emphasis on advertising. Sponsored Display ads are now being shown on Twitch, adding yet another avenue to expand advertising reach.

Effective immediately, all Sponsored Display audiences campaigns are eligible to serve on the Twitch Browse and Discovery pages. Twitch supply is automatically enabled for all US, CA, FR, IT, DE, ES, and UK based Sponsored Display audiences campaigns.

Amazon-owned Twitch is a live streaming service with a global community from content spanning gaming, entertainment, music, sports, and more. In April 2021, Twitch boasted approximately 9.36 million active streamers. In 2020, there were around 41.5 million Twitch users in the United States alone, with that number estimated to rise by 10 million by 2024.

An example of how Sponsored Display ads appear on Twitch.

Twitch users tend to skew towards a younger crowd. The opportunity to put your product in front of the highly-valued young demographic. As Gen Z builds buying power, the ability to put your product in their hands and build brand loyalty with them presents a phenomenal opportunity.

Amazon Advertising states the Display ads may appear in three unique spaces, each with varying levels of visibility.

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Getting In The Game

With this announcement, Amazon advances its relationship between the marketplace and Twitch. Amazon’s Prime Gaming community works as a link for Amazon Prime subscribers to connect their account with Twitch. With deals and “loot” such as in-game currency serving as an incentive for customers to attach the two.

As the PlayStation 5 and XBOX Series X become more accessible after the production and delivery, one would reasonably expect further advancements in Twitch. To promote user count and usage.

In addition to the millions of engaged customers who can now be targeted being newsworthy. This also highlights the growing emphasis on advertising from Amazon. Since Twitch is a subsidiary of Amazon, its addition makes perfect sense.

Impact on Advertising

While Apple’s highly-publicized changes to advertising and protecting user data threaten to shake up industries, Amazon and its far-reaching subsidiaries present an opportunity to target customers in a way that may not be as easy to do elsewhere.

As Amazon continues to grow on its own and through purchasing companies such as Twitch, Whole Foods, and Goodreads, so does the potential for extra advertising avenues.

If you’re an Amazon seller with little experience in Advertising, there’s no better time than now to get involved. Over the past year, the Amazon Advertising Console has evolved at a rapid rate.

In previous years, advertising knowledge was a luxury. Soon enough, it’ll likely be a prerequisite towards customer acquisition.

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Amazon Advertising: Boost Sales On and Off Amazon with Sponsored Display Audiences

Through a recent update in Sponsored Display campaigns, sellers gain an even greater opportunity to skyrocket sales and expand advertising beyond Amazon.com.

For the past year, advancements in Amazon PPC advertising have been an integral part of creating a more sophisticated selling process. One of the latest of those advancements, Sponsored Display Audiences, makes it easier than ever to target customers with high buying intent inside and outside of Amazon.

While Sponsored Display ads are nothing new (they were launched in 2019, replacing Product Display Ads), the addition of audience groups and remarketing enables sellers to break down the digital walls of Amazon for highly targeted, far-reaching ad campaigns.

Studies show 64% of shoppers use multiple channels to make a single purchase. As customers shop around, it’s critical to keep your product in front of the customer in hopes of landing in their cart.

With Sponsored Display ads, you can bolster your brand presence across channels to stay in the minds of customers. And with Amazon Audiences, you can zero in on customers more likely to complete a purchase for a more efficient ad spend.

What audiences are available?

For this section, we’ll let Amazon tell the story with excerpts from the official overview.

Sponsored Display audiences is a display targeting strategy that uses Amazon shopping signals to help advertisers of all sizes grow their businesses and engage shoppers across the purchase journey—both on and off Amazon.

Amazon Advertising
  • In-market: In-market audiences allow you to engage audiences who are “in the aisle” and have been recently shopping for products in a given category. To capture share-of-mind, you can reach audiences in the same category as your advertised products to drive consideration, as well as try out entirely new segments to help drive product awareness.
  • Lifestyle: Positioned for awareness campaigns, these audiences reflect a variety of aggregated shopping and viewing behaviors, including shopping on Amazon, browsing on IMDb, streaming on Prime Video, or streaming on Twitch. These behaviors reflect shared preferences and map to lifestyle segments such as “foodies,” “sports enthusiasts,” “tech enthusiasts,” and more.
  • Interests: Interest-based audiences allow you to help raise awareness with prospective customers based on what they frequently browse and buy. Examples of these audiences include “interested in Canadian history” and “interested in interior design.”
  • Life events: Life events audiences give you the opportunity to drive awareness and consideration for relevant products based around life moments, such as “traveling soon” for shoppers going on vacation

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What are the benefits?

First, ensuring your products are seen by customers who are more inclined to make a purchase is always a tremendous benefit. By implementing Sponsored Display ads, you can increase brand awareness, drive traffic to a specific product, earn visibility on competitor listings, and kickstart exposure for new product lines.

By adding audiences to your Sponsored Display ads, you can prioritize customers more likely to add your product to their cart.

With the remarketing option, sellers can reengage customers who have looked at your product, but not made a purchase. At a very basic level, you can safely infer the customer is interested in your product and is still looking, ultimately increasing the likelihood of a purchase.

For the more analytically-minded sellers, you’ll love the refined reporting that comes with these campaigns. Relevant performance metrics include sales, click-through rate (CTR), and new-to-brand (NTB) statistics for each selected audience in your campaigns.

On top of boosting exposure and sales through these campaigns, the data mined could be even more valuable in the long run as you comb through the data on your customers.

Do Sponsored Display audiences actually work?

According to Amazon, absolutely.

Citing internal data, the e-commerce giant noted advertisers who integrated this display advertising strategy with Sponsored Products advertising saw a 4% higher month-over-month sales growth compared to if they only utilized Sponsored Products.

Furthermore, Amazon states the average customer journey on its platform is 6-to-7 days.

“The greatest ability is availability” is often said to describe the value of athletes who can stay healthy. But it could also be said about Amazon products regarding making your products available and exposed to shoppers.

With Sponsored Display audience ads, sellers gain control over how often their products are made available and prioritize who they’re exposed to. Frequently, business owners are tasked with deciding to either branch out to new customers or zero in on the existing target market. Sponsored Display audiences grant the option to pursue both simultaneously.

Of course, success will vary as sellers invoke their own strategies for audiences. Still, the data from Amazon’s case study is encouraging for sellers, and the fundamentals of selling certainly back up their claims.

Who has access to Sponsored Display Audiences?

Presently, Sponsored Display Audiences are exclusive to vendors, and Brand Registry enrolled sellers in the United States.

It should come as no surprise that sellers enrolled in the Brand Registry Program receive yet another perk for those paying close attention. As Amazon continues to add new seller features, those in the Brand Registry program have been receiving more and more tools to fuel their Amazon business lately.

[A Seller’s Guide to Amazon Brand Registry]

What else should sellers know before kicking off their first campaign?

In its introduction, Amazon notes that this ad type is “retail aware.” This means the ads work in congruence with your inventory. For example, if you run out of stock and can no longer fulfill purchases, the ads will shut off automatically. As a result, sellers avoid wasteful spending and aren’t punished if their ads are incredibly effective.

Sellers will be happy to hear that creatives are automatically generated from your product page, so much of the ad creation process is already completed for you.

Additionally, applicable badges such as Prime-eligible, Deal of the Day, Best Seller, and more are made visible in these ads, giving customers even more reason to make a purchase.

Wrapping It Up

Sponsored Display audiences and remarketing opens up even more possibilities for Amazon sellers to build their brand.

As the Amazon Advertising Console seemingly grows more sophisticated each day, savvy sellers should certainly keep a watchful eye on the latest advertising features, trends, and tactics.

Lastly, the steady stream of new features to the Amazon Advertising Console should signal to sellers that PPC advertising will only continue to pick up steam. In the near future, it’s increasingly likely that advertising knowledge, strategy, and execution becomes more of a prerequisite for longstanding success in the marketplace.

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