{"id":28429,"date":"2024-04-08T05:39:43","date_gmt":"2024-04-08T13:39:43","guid":{"rendered":"https:\/\/www.intentwise.com\/blog\/?p=28429"},"modified":"2025-08-26T07:02:16","modified_gmt":"2025-08-26T15:02:16","slug":"explained-why-invest-in-sponsored-display","status":"publish","type":"post","link":"https:\/\/www.intentwise.com\/blog\/amazon-advertising\/explained-why-invest-in-sponsored-display\/","title":{"rendered":"Explained: Why invest in Sponsored Display?","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"\n<p>Sponsored Display is getting some big upgrades.&nbsp;<\/p>\n\n\n\n<p>For a long time, <a href=\"https:\/\/www.intentwise.com\/blog\/retail-media\/sponsored-display-targeting\/\">Sponsored Display<\/a> ads\u2014which surface both on- and off-Amazon\u2014have been a bit of an afterthought among the sponsored ads stack. SD is not nearly as popular as Sponsored Products or Sponsored Brands ads. It\u2019s easy for busy marketers to forget to experiment with them.\u00a0<\/p>\n\n\n\n<p>But at Intentwise, we\u2019re seeing a growing number of clients embrace Sponsored Display ads. According to Intentwise\u2019s own data, Sponsored Display ads make up 3.7% of non-DSP Amazon ad spend, but they are<strong> 6.9% <\/strong>of non-DSP ad revenue.&nbsp;<\/p>\n\n\n\n<p>That\u2019s because they are cost effective: Our customers have lower costs per click on SD ads ($.87) than on SP ads ($.94).&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img fetchpriority=\"high\" decoding=\"async\" width=\"1020\" height=\"638\" src=\"https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image.png\" alt=\"How Sponsored Display spend and revenue stocks up\" class=\"wp-image-28433\" srcset=\"https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image.png 1020w, https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-300x188.png 300w, https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-768x480.png 768w, https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-560x350.png 560w\" sizes=\"(max-width: 1020px) 100vw, 1020px\" \/><\/figure>\n\n\n\n<p>And Amazon is rolling out the features to bolster that popularity. Most recently, Amazon added forecasting for SD campaigns. Now, you can predict the estimated number of clicks, impressions, and orders that your campaigns will get based on the budgets you set.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter size-full\"><img decoding=\"async\" width=\"490\" height=\"412\" data-src=\"https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-13.png\" alt=\"Sponsored Display budget forecasting\" class=\"wp-image-28430 lazyload\" data-srcset=\"https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-13.png 490w, https:\/\/www.intentwise.com\/blog\/wp-content\/uploads\/2024\/04\/image-13-300x252.png 300w\" data-sizes=\"(max-width: 490px) 100vw, 490px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 490px; --smush-placeholder-aspect-ratio: 490\/412;\" \/><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>This is a powerful tool that helps a lot with planning. Want to be sure your targeting is set properly to reach a certain number of shoppers? Now you can figure out in advance exactly how much budget you\u2019ll need to hit your goals.&nbsp;<\/p>\n\n\n\n<p>This is the latest in a number of big upgrades that Amazon has recently made to Sponsored Display ads. Over the last few years, SD ads have gotten features like:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Video creatives<\/strong>: Sponsored Display now <a href=\"https:\/\/advertising.amazon.com\/resources\/whats-new\/sponsored-display-video-creative\">supports<\/a> video ads, so you can tell your brand story through demos, unboxings, and more.&nbsp;<\/li>\n\n\n\n<li><strong>Custom image support<\/strong>: Create your own custom images for SD ads, or generate new ones with the assistance of AI.<\/li>\n\n\n\n<li><strong>Contextual audiences<\/strong>: Contextual targeting is <a href=\"https:\/\/advertising.amazon.com\/resources\/whats-new\/sponsored-display-contextual-targeting\">getting easier<\/a> with Sponsored Display. You can now target your Sponsored Display ads to shoppers who have browsed specific product categories or ASINs. Whereas contextual targeting was once limited to onsite ads, now it includes offsite ads as well.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>In other words, Sponsored Display ads have quietly become quite powerful. Here\u2019s how to use them, if you haven\u2019t already.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-why-use-sponsored-display-ads-nbsp\"><strong>Why use Sponsored Display ads?&nbsp;<\/strong><\/h3>\n\n\n\n<p>Sponsored Display ads sit at a unique middle ground in the Amazon ad stack.&nbsp;<\/p>\n\n\n\n<p>On one hand, they share a few important targeting features with <a href=\"https:\/\/www.intentwise.com\/blog\/amazon-advertising\/amazon-dsp-explained-demand-side-platform\/\">DSP ads<\/a>. On the other, whereas DSP runs on a cost-per-impressions model, advertisers can choose between a cost-per-click <em>or<\/em> a cost-per-impressions model for SD.&nbsp;<\/p>\n\n\n\n<p>That essentially means that you can choose the most cost-effective model for your business.<\/p>\n\n\n\n<p>Here\u2019s a quick rundown:&nbsp;<\/p>\n\n\n\n<p><strong>Targeting options<\/strong>: SD ads aren\u2019t targeted to specific keywords the way Sponsored Products and Sponsored Brands ads are. They reach shoppers based on interests and in-market interests. You can therefore use them for re-targeting <em>or<\/em> for higher-funnel awareness plays.&nbsp;<\/p>\n\n\n\n<p><strong>Placement<\/strong>: Like DSP, SD ads also show up both on and off of the Amazon platform. The problem is, you have no control over <em>where<\/em> those ads are showing up, and you can\u2019t adjust your bids accordingly.&nbsp;<\/p>\n\n\n\n<p>You\u2019ll be bidding the same amount on offsite audiences as you will for onsite audiences.&nbsp;<\/p>\n\n\n\n<p><strong>So where does that leave SD ads?<\/strong> SD ads are easy to overlook. But actually, for brands who don\u2019t want to go through the complexity of getting access to DSP, SD ads are an increasingly valuable alternative. SD ads don\u2019t have a minimum budget requirement, and you can launch them in your regular Ad Console, without extra setup.&nbsp;<\/p>\n\n\n\n<p>Even once you start using DSP, you shouldn\u2019t simply abandon the SD ad format. SD ads are also a great, low-commitment way to test which ASINs might be most effective for your DSP campaigns.&nbsp;<\/p>\n\n\n\n<p>Run SD ads for a bunch of different ASINs, and if you notice one or two performing especially well, it might be time to graduate those ASINs to DSP campaigns, where you can fine tune them with even more control. SD essentially lets you play around with awareness advertising without needing to commit a bunch of money upfront.&nbsp;<\/p>\n\n\n\n<p>Layer on the new budget forecasting feature, and you can get a pretty good sense ahead of time how much you\u2019ll have to spend to convert your goal number of shoppers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-audiences-are-available-in-sponsored-display\"><strong>What audiences are available in Sponsored Display?<\/strong><\/h3>\n\n\n\n<p>We mentioned that SD has a number of the same <a href=\"https:\/\/advertising.amazon.com\/library\/guides\/sponsored-display-audiences\">audience capabilities<\/a> as Amazon DSP. For instance, with your SD ads, you can specifically push your campaigns to:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>In-market audiences<\/strong>: Go after people who have recently browsed similar products to yours, including competitor products, but haven\u2019t yet purchased.&nbsp;<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Lifestyle<\/strong>: You can also select audiences based on lifestyle, like \u201coutdoor enthusiasts\u201d or \u201cenvironmentally conscious shoppers.\u201d<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Interests<\/strong>: Like with Lifestyle audiences, find shoppers who have recently bought products that fall into certain categories, like \u201cInterested in American history.&#8221;&nbsp;<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Life events<\/strong>: Reach audiences who have big upcoming life events, like having a baby or moving to a new house.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>You can filter all of these audiences based on specific brands, whether that\u2019s your own brand or specific competitor brands. So you can be sure you are reaching people who browsed but didn\u2019t purchase from your biggest rival, for instance.&nbsp;<\/p>\n\n\n\n<p>These are powerful audiences that you can\u2019t access with other types of sponsored ads\u2014but they have limitations.&nbsp;<\/p>\n\n\n\n<p><strong>What about the limitations?<\/strong> One big downside of SD audiences is that you can\u2019t create negative audiences for your SD campaigns. While in DSP, you can specifically exclude certain groups of shoppers from your campaigns, you can\u2019t do this with SD.&nbsp;<\/p>\n\n\n\n<p>Another key difference between DSP and SD audiences is around custom audience creation. There\u2019s no way, as of yet, to build a custom audience for SD. While in DSP, you can create lookalike audiences based on your first-party data, you can\u2019t do this in SD.&nbsp;<\/p>\n\n\n\n<p>You also can\u2019t push the highly granular audiences you might make in Amazon Marketing Cloud to your SD campaigns\u2026 yet.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-s-next-for-sponsored-display-nbsp\"><strong>What\u2019s next for Sponsored Display?&nbsp;<\/strong><\/h3>\n\n\n\n<p>A big reason we\u2019re so excited for Sponsored Display ads is that we are expecting a lot more on the horizon. After budget projections, we have a feeling we\u2019re going to see more sophisticated features roll out for SD soon.&nbsp;<\/p>\n\n\n\n<p>Our own Kenton Snyder has <a href=\"https:\/\/www.linkedin.com\/feed\/update\/urn:li:activity:7181324809480421376?updateEntityUrn=urn%3Ali%3Afs_feedUpdate%3A%28V2%2Curn%3Ali%3Aactivity%3A7181324809480421376%29\">predicted<\/a> that Sponsored Display ads might soon become integrated with AMC audiences.&nbsp;<\/p>\n\n\n\n<p>If he\u2019s right, you might soon be able to create your own highly specific audiences in Amazon Marketing Cloud, then push them to your Sponsored Display campaigns. If that were to happen, you would have access to extremely powerful, flexible audiences without needing to leave the sponsored ad stack.<\/p>\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"excerpt":{"rendered":"<p>Sponsored Display is getting some big upgrades.&nbsp; For a long time, Sponsored Display ads\u2014which surface both on- and off-Amazon\u2014have been a bit of an afterthought among the sponsored ads stack. SD is not nearly as popular as Sponsored Products or Sponsored Brands ads. It\u2019s easy for busy marketers to forget to experiment with them.\u00a0 But [&hellip;]<\/p>\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"author":22,"featured_media":28431,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","cybocfi_hide_featured_image":"","footnotes":""},"categories":[20],"tags":[96,155,211],"class_list":["post-28429","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-amazon-advertising","tag-mobile","tag-newsletter","tag-sponsored-day"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Explained: Why invest in Sponsored Display?<\/title>\n<meta name=\"description\" content=\"Sponsored Display should no longer be an afterthought. 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