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Comprehensive Guide to Amazon OTT Advertising in 2023: How to Take Advantage of It

Because of its distinct goals, Amazon OTT advertising began to gain enormous popularity. These particular goals include expanding the targ...

Amazon OTT Advertising


Because of its distinct goals, Amazon OTT advertising began to gain enormous popularity. These particular goals include expanding the target audience and improving brand performance activities. And Amazon advertising was the beginning of it all. Amazon advertising is very important if you are an Amazon product seller.

 

The platform's advertising features, such as Sponsored goods campaigns, greatly benefit the sellers by raising the visibility of your goods, which in turn drives more customers to your product listing and enhances sales. In 2018, Amazon relaunched all of its advertising services under the "Amazon Advertising" banner.

 

Amazon Ad Console is the new home for Sponsored Product Ads, Sponsored Brand Ads, and Product Display Ads. However, sellers also need to be aware of the "Demand-Side Platform," which is another branch. Previously referred to as the Amazon Advertising Platform, it enables marketers to purchase display and video ad spaces and interact with customers both inside and outside of Amazon.

 

Early in2019, they introduced Over-The-Top advertising in the middle of the growing trend of video streaming services. Let's examine Amazon's over-the-top (OTT) advertising and its significance in the current new media era.

 

OTT advertising on Amazon: what is it?

The internet streaming services that we are accustomed to today, without the need for a cable or service provider, are known as over-the-top, or OTT, video services. Streaming services over-the-top (OTT) are one of the most widely used ways to consume media these days. Therefore, it makes perfect sense for advertisers to take advantage of this platform's growing popularity, particularly when aiming to reach a younger demographic.


OTT advertisements appear in locations such as:


·       Popular video streaming apps

·       Streaming devices

·       Smart TVs

·       Gaming consoles


Platforms for streaming videos online are very popular right now, especially with young people. It is believed that the primary source of content consumption for 60% of young adults is video streaming services. Consider the Amazon Fire Stick, which has over 40 million active monthly users and is currently one of the most popular streaming gadgets. More than fifty ad-supported third-party apps are compatible with the Amazon Fire Stick. The potential for advertising in these streaming apps is easily imaginable.

 

How do the ads on Amazon OTT work?

Amazon DSP platform supports Amazon OTT advertisements. Every day, millions of Amazon Fire Stick users will see these advertisements. The advertisements run in full screen mode and cannot be skipped. One major benefit over regular TV ad spots is that advertisers can target their audience. Please take note that since they aren't clickable advertising, you can't measure the advertisement stats by looking at click-through rates or direct conversions. Instead, it is quantified in terms of ad impressions. Therefore, unlike sponsored advertisements, these ads are compensated for per thousand impressions rather than each click.


Advertisers can purchase video placements in Fire TV apps that support advertisements using the Demand-Side Platform. You can utilize Amazon DSP's automatic advertising for OTT adverts and audience targeting features.

 

What benefits does over-the-top advertising offer?

Having seen what Amazon OTT advertising is and how it operates, let's now examine the benefits of employing OTT ads.

 

Improved targeting: You can target your audience more precisely with Amazon OTT ads than with traditional television ads. With the help of Amazon DSP, you may better understand your target market and increase the number of product sales by targeting the right audience with your ads.

 

Amazon DSP provides audience insights based on:

 

·       Product interests and shopping behaviors.

·       Demographics such as age, income, gender, and more.

 

You can use Amazon OTT to combine the targeting capabilities of Amazon's Demand-Side Platform with the efficacy of the visual format.

 

Ad conquesting: With Amazon OTT advertising, you can target customers who have previously seen the products of your rivals with your product adverts. This capability is exclusive to Amazon OTT advertising at the moment. This will assist you in attracting some prospective clients from the audience who are considering the goods of your rivals.

Less expensive than television commercials: Amazon Over-the-top (OTT) advertisements are less expensive than traditional television advertisements. The cost of advertising slots has increased dramatically while conventional media, such as television, has seen a fall in audience. Because of this, OTT advertisements are a far more affordable kind of visual advertising because the ad budget is much more manageable.

 

Access to hard-to-reach audiences — Amazon OTT ads will allow you to reach audiences that are otherwise tough to contact. Users who have enabled ad-blockers and those who have canceled their previous TV subscription or do not now have an active TV subscription, for instance, are very challenging to contact. You can reach these audiences by using Amazon OTT.

 

Newest additions and modifications to Amazon OTT

In November of last year, Amazon made a few adjustments to improve their OTT advertising. This includes new programs that could lead to greater commercial opportunities and new resources that could help marketers establish their brands. Let's examine these modifications:

 

1. New content: In order to give advertisers even more chances to reach a wider range of consumers, Amazon has added new movies and extra content for NFL Thursday night football to IMDb TV and Amazon Prime Video.

 

2. Genre blocking: In September of last year, Amazon unveiled a tool that would allow marketers greater control over the locations of their advertisements. You can use this tool to block up to five different content genres, ensuring that only relevant genres will display your ads and earn impressions from the people you want to reach.

 

3. Audience guarantees: You can purchase adverts for the audience you wish to reach with Amazon's audience guarantee. In essence, you would only have to pay for the impressions that get through to the people who are interested in your brand and product.

4. Video creative builder beta: Even without their own video assets, advertisers will be able to produce video ads using the video creative builder beta. Its library of films and templates allows you to try out various ad concepts without having to waste time or money.

 

*Note that genre blocking and audience guarantees are currently only available for advertisers who make use of Amazon managed-service advertising in the US.

 

Final Thoughts

Online video streaming services are the way that visual material is created and consumed in the present and the future. This shift is demonstrated by the fall of traditional television and the rise in the number of users of streaming services. 

The good news for marketers is that there are still plenty of untapped advertising opportunities in these streaming services because we are just in the early stages of this paradigm shift. Because of this, every brand owner who wants to increase the visibility of his items and brand should consider using Amazon OTT advertising. 

Being one of the first users of an as-yet-untapped advertising platform is ideal now, before other people start to take notice of its potential and pour money into it. 


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