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    In the ever-evolving world of advertising, staying ahead of the curve is crucial. With Amazon exploring launching a free ad-supported tier of Amazon Prime, advertisers have a unique opportunity to reach a massive audience. From E-commerce to Kindle to now a potential ad supported stream service, Amazon hosts a wealthy product portfolio of advertising real estate.

    By harnessing the power of Amazon’s Demand-Side Platform (DSP), advertisers can elevate their campaigns, optimise targeting, and maximise their return on investment (ROI) – you can even launch a campaign in as little as 5 minutes.

    So, let’s explore how advertisers can utilise Amazon DSP to leverage a possible ad-supported tier of Amazon Prime and unlock its full potential.

    Leveraging the world of ad-supported streaming

    Following suit of other market leaders like Disney+ and Netflix who recently released ad-supported tiers, Amazon is arguably one of the biggest and most accessible  in the game to jump on the hype with over 83% of consumers willing to watch ads to gain access to free streaming content.

    Compared to Netflix’s Basic tier charging companies $65 (roughly £55) CPM for every 1,000 people served ads, Amazon Streaming TV Ads could be a much more cost effective alternative to high CPM’s.

    With an introduction of a free ad-supported tier of Amazon Prime, advertisers could gain access to a wider audience base that can be segmented based on their interests, preferences, and shopping habits. 90% of UK consumers have access to a connected TV device and by aligning your advertising strategies with this new offering, you can tap into Amazon Prime’s extensive user base and effectively promote your brand, products, or services.

    Amazon states they currently have over 200 million Amazon Prime subscribers around the world. That’s a whopping set of potential eyes on your campaigns, so how do you narrow it down to your target audience? Contextual targeting helps to drive ad completion with 54% of consumers willing to view an ad to completion if it’s relevant to the content that they are watching.

    Amazon DSP offers robust targeting capabilities, allowing advertisers to refine their audience segments and display ads to the most relevant users. Leveraging first-party Amazon data, advertisers can target consumers based on their purchase history, browsing behavior, demographics, and interests. In 2022, our benchmark cost-per-click (CPC) of ads sold via the Amazon demand-side platform (DSP) stood at £1.08, making it a great platform to add to your budget.

    Taking your advertising further with a cross channel approach

    Cross channel marketing is a holy grail in increasing both brand awareness and sales. In 2022,  81% of UK consumers voted Amazon the most popular online channel for their shopping needs.

    One of the significant advantages of Amazon DSP ads is the ability to follow highly engaged leads wherever they may go. By employing sophisticated targeting capabilities, you can track and target users across different channels, ensuring that your brand message reaches them consistently. Whether they’re browsing their favorite social media platforms, reading articles on news websites, or engaging with mobile apps, your ads will accompany them, reinforcing your brand and product offerings at every touchpoint.

    With the DSP platform, you gain access to Amazon’s extensive user data, including crucial information that could lead to the recommendation of new products, if you have accounts on any of the following Amazon platforms.

    1. Watched streamers on Twitch

    2. Listened to Amazon Music

    3. Shopped at an Amazon Fresh

    4. Shopped on Amazon.com

    5. Streamed on Amazon Prime

    6. Watched content on an Amazon Firestick

    7. Owned an Amazon Alexa/Echo

    8. Read books on Kindle

    Is it cost effective?

    The self-serve option on Amazon DSP proves to be a cost-effective choice for many advertisers. Unlike managed services, there are no additional management fees involved. Businesses can determine a budget that aligns with their financial resources, granting them greater flexibility and cost control. This makes it an attractive option for advertisers looking to optimise their ad spend – and in even better news, advertising with Arke means you don’t need a minimum spend to put your campaigns on the platform.

    In conclusion, the Amazon DSP self-serve option opens up a world of possibilities for advertisers seeking complete control over their campaigns. With the ability to manage keywords, ads, budgets, and strategies, businesses can navigate the advertising landscape with confidence and precision.

    And with the possibility of adding streaming to the mix, we definitely think it’s one to watch!

    If you want to experiment with Amazon DSP, get in touch today.


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