This move aims to provide customers with more convenient and seamless shopping experiences, allowing them to discover and purchase relevant products beyond the Amazon platform, the company said in a Wednesday (Aug. 16) press release.
Sponsored Products ads have been a part of Amazon’s advertising strategy for over a decade in its own store, allowing customers to “transition easily from inspiration to browsing or purchasing,” Amazon said in the release. The company has continuously improved this feature by investing in machine learning (ML) algorithms, broadening campaign targeting parameters and providing advertisers with more bidding controls.
Previously, Sponsored Products were limited to Amazon shopping results and product pages, the release said. However, Amazon recognizes that customers discover products in various ways and places. Therefore, the company has decided to extend these ads to other websites and apps where customers seek inspiration or comparison options.
Other apps and websites like Pinterest, BuzzFeed, Hearst Newspapers, Raptive and Ziff Davis brands like Lifehacker and Mashable will now feature Sponsored Products ads, per the release. Amazon plans to start small, learn from the initial phase and expand further based on opportunities to enhance discovery and shopping experiences.
Advertisers do not need to take any action to appear on these external sites or apps, according to the press release. The Sponsored Products ads will automatically be displayed when Amazon identifies a customer’s potential interest in a product. All ads will link directly to the Amazon product page, allowing customers to move from inspiration to browsing or purchasing in just one or two clicks.
Colleen Aubrey, senior vice president of Amazon Ads Products and Technology, said in the release that Sponsored Products ads have always been about assisting customers in discovering products they may love. After refining and evolving this advertising feature for more than a decade, Amazon now aims to expand its reach.
“We are excited to now apply what we’ve learned about connecting customers and products in meaningful ways to a range of great websites and apps,” Aubrey said in the release.
During an earnings call held in April, Amazon Chief Financial Officer Brian Olsavsky identified sponsored products and brands as a significant driver of growth in the company’s advertising business. He also highlighted the focus on delivering performance through flexible measurement capabilities and providing insights that allow advertisers to measure their return on advertising spend.