The consumer landscape and the advertising industry are constantly changing. Today consumers can interact with brands across more than 20 different channels per day including YouTube, TikTok, Twitch, emails and online marketplaces, the opportunities to lose critical consumer attention are multiplying.[1] This means a large amount of content is competing for very short attention spans that are overloaded with content options.
This growing number of channels and devices that consumers are interacting with, combined with the deprecation of third-party cookies has created a challenging environment for advertisers to understand customer preferences. Similarly, it is more difficult to reach audiences with the right content, at the right time. In fact, only 14% of companies say they have a 360-degree view of their customers and only 47% trust in their ability to effectively use emerging technology to try to close the gap.[2]
In Australia, there has been a shift in how companies approach reaching their audiences. According to 2023 IAB Australia research, 71% of advertising decision-makers indicated their company is increasing the emphasis on first-party insights, and more than 70% indicated that they are changing their approach to campaign and audience measurement.[3] Amazon Ads can help brands build efficiency, trust, and reach the right audiences.
Reaching the right audiences with Amazon Ads
To reach consumers effectively, brands and advertisers need to connect on the channels these audiences prefer. Channels including Twitch (Amazon’s interactive live streaming service) attract switched-on audiences that brands can use to deliver relevant messages to consumers. From 2024 in Australia, brands will also be able to leverage limited advertisements on Amazon Prime Video – home to a massive library of content including blockbuster movies, great shows, award-winning Amazon Originals, and live sports.
Another approach is deploying ad tech solutions, like Amazon’s DSP (Demand Side Platform). Amazon’s DSP helps brands and advertisers reach the right audience by utilising consumer insights (such as past purchases) and keep testing to better connect with consumers who are ready to buy now.
How Amazon Ads helps to build efficiency
Customers are served an increasing number of ads daily which is pushing brands to build, manage and measure integrated campaigns more effectively. Amazon’s Ads ad tech solutions provide a toolbox that enables advertisers to achieve these three things. AMC (Amazon Marketing Cloud) is a secure, privacy-safe and cloud-based clean room solution designed to help uncover new insights, maximize marketing performance and discover the impact of cross-media investments for Amazon Ads customers. AMC helps advertisers tap into rich, pseudonymized signals from Amazon, as well as combine their Amazon event signals with their own first-party insights, to help create a holistic view of their marketing impact anywhere customers spend their time.
AMC can provide a more holistic view of the customer journey, whilst focusing on media attribution, audience segmentation and more. For example, brands can run a cross-channel attribution analysis to understand which channel investments show up most often on a customer’s path to conversion and which are the most cost-efficient in driving sales. Brands can use AMC to evaluate their media mix and discover the optimal mix of channels for achieving objectives, rather than just measuring the impact of each individual channel.
AMC’s attribution analysis capabilities can enable brands to optimize marketing spend allocation and tailor copy and creatives to new and previous customers distinctly. Brands can enhance the consumer-facing advertising experience, aligning content with what resonates best with each specific audience. This tailored advertising approach helps brands to better understand their audiences, improving the return on ad spend and helping advertisers connect brands with valuable, high-intent consumers.
A privacy-safe environment with AMC
Brand trust is an increasing challenge for marketers to overcome in Australia [4] with the retail industry facing the biggest challenge. AMC prioritizes privacy and security by design. All information in an advertiser’s AMC instance is handled in strict accordance with Amazon’s privacy policies, and your own signals cannot be exported or accessed by Amazon. Advertisers can only access aggregated, anonymous outputs from AMC.
Amazon Ads operates at the intersection of content, and advertising, offering full-funnel solutions including brand-building, digital display, and search advertising solutions. Amazon Ads is uniquely placed to help brands build efficiency, trust, and reach the right audiences, helping brands to remain relevant in an increasingly competitive marketplace.
To learn more about Amazon Ads' offerings, click here.
[1] Digi Day & Amazon Ads 2023
[2] Gartner, 2022
[4] Roy Morgan, 2023
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