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How Agencies Should Leverage Amazon DSP

Looking to increase the ad placement opportunities you can deliver and provide more tailored, targeted campaigns for your clients? Amazon DSP campaigns can help achieve a number of advertising goals and work great with the existing integrated search and Sponsored Ads strategies you’re most likely already using.

Amazon’s Demand-sidePlatform (DSP) enables advertisers to buy and sell digital ad placements on Amazon.com and other third-party websites, mobile apps, and online video channels. With a dynamic, CPM pricing model, advertisers can adjust bid prices and promote highly efficient spending.

Most importantly, Amazon DSP is proven to drive increased engagement and conversion. Customers who are exposed to both DSP and Paid Search ads are 5 times more likely to purchase than customers who are only exposed to Paid Search.

Pacvue recently ran a webinar on “How Agencies Should Leverage Amazon DSP.” In case you missed the broadcast, here are the key takeaways from the presentation.

Benefits of Amazon DSP for Agencies

Amazon DSP offers many new opportunities to grow visibility on and off Amazon while benefiting from Amazon’s robust audience data. While traditional Amazon advertising is reserved only for clients with specific brands and products, Amazon’s link-in and link-out capabilities – and endless targeting options – make virtually every brand and product category a good fit for Amazon DSP advertising.

  • Better Conversion Rates: Retargeting through DSP puts ads as close to the purchase phase as possible. Compared to contextual, in-market, lifestyle, and lookalike audiences, retargeting through Amazon DSP provides better relevance and improved conversion rates.
  • Creative Freedom: Agencies looking to add additional design and creative services to their eCommerce ad management will benefit from the complete creative freedom Amazon DSP offers. Unlike Sponsored Display ads, Amazon DSP advertisers can fully customize headlines, branding, images, and copy.
  • Advanced Reporting: Proving your value to your clients requires being able to clearly show growth in the metrics they care most about. This advanced reporting and audience data will also help you tailor much more targeted campaigns.
  • Data Privacy: Since Amazon relies more heavily on first-party targeting and audiences, Amazon DSP will not be as affected by the recent changes to third-party cookie tracking policies. This is vital for clients that are concerned about customer data and privacy.

Amazon DSP Tips for Agencies

If you’ve decided that Amazon DSP can add value to your ad offerings, what are the best practices for running successful DSP campaigns? Here are five tips for your agency:

  • Test Early and Often: The advanced reporting features make DSP ideal for a Test & Learn strategy to continue to optimize and keep ahead of your client’s competition.
  • Run Full-funnel Strategy: Make DSP part of your overall ad strategy by using ads to drive awareness and incrementality on and off Amazon.
  • Leverage Video: Offering video ads can provide great conversion rates for your clients and Amazon DSP’s ad placements on partners such as IMDb, Freedive, and Kindle are ideal for this.
  • Create Custom Reporting: Provide transparent reporting to allow clients to dig into the performance of their Amazon ads.
  • Educate Your Clients: In order for your clients to understand the value of DSP and fully buy in to the strategy, constantly educate them about the best practices and opportunities of DSP ads.

How to Organize Agency Operations to Succeed with Amazon DSP

In order to drive efficiency with this new ad strategy, your agency must be prepared to carefully manage ad campaigns, client expectations, and performance. Working with agencies as they offer Amazon DSP, we have identified a few operational best practices for seeing success.

  • Assign clients to Account Managers who can manage both Search and DSP ads. This will help facilitate a more integrated, full-funnel approach.
  • Manage campaigns out of a client-owned account. This allows you to create custom reports and practice full transparency with your client while preventing your agency from being billed directly for client’s advertising.
  • Create a standardized onboarding process to begin educating your clients and setting expectations for both what you need from the client and what your goals for Amazon DSP are. Include a list of required information from the client, timelines, SLAs, and launch milestones.
  • Ask Amazon to perform an audit of your DSP ad performance. Amazon will usually offer this for free and it can be a great way to tune your performance and provide your clients with third-party verification of your DSP expertise.

As Amazon becomes more competitive, it’s more important than ever to offer your clients a full-funnel ad strategy that keeps them ahead of the competition. With endless targeting options, robust data and insights, and the opportunity to reach a larger audience, Amazon DSP is a powerful addition to your ad offerings.  

If you’d like to learn more about Amazon DSP for agencies, you can check out the full recording of our recent webinar, “How Agencies Should Leverage Amazon DSP.”


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