Influencer Marketing

Examining the Rise of Amazon Advertising

By Angelica Rojas · · 5 min read

What Is Amazon Advertising and How Does It Work?

Amazon advertising is a pay-per-click ad platform that places sponsored product listings within Amazon search results, operating similarly to Google AdWords. Advertisers bid on keywords to secure prime positions in search results, giving their products greater visibility. Amazon also offers a self-serve platform that lets brands access audience matching, making it easier than ever to manage campaigns at scale.

Amazon advertising is a keyword-driven system where paid results appear alongside organic listings when a user searches for a product. Amazon advertising is not limited to text ads — it supports sponsored products, headline banners, and display placements across the platform.

Ad Type Targeting Method Placement Pricing Model
Sponsored Product Ads Keyword-targeted Within search results Cost-per-click
Headline Banner Search Ads Keyword-targeted Top of search listing Cost-per-click
Product Display Ads Product-targeted Bottom or right of search results Cost-per-click

How Do You Get Started With Amazon Advertising?

Amazon advertising requires a seller or vendor account before you can build any campaigns. Once your account is set up and you are logged in, you can begin creating ads across the three main formats available on the platform.

  1. Create a seller or vendor account on Amazon.
  2. Log in and navigate to the Amazon Advertising console.
  3. Choose your ad type: Sponsored Products, Headline Search, or Product Display.
  4. Set your keyword targeting or product targeting, depending on the ad format.
  5. Define your budget and bids, then launch your campaign.

Each ad type serves a distinct purpose:

  • Sponsored Product Ads direct shoppers to a specific product detail page when clicked and are keyword-targeted.
  • Headline Banner Search Ads appear at the top of search listings and link to a customisable brand landing page.
  • Product Display Ads are strictly product-targeted and always appear at the bottom or to the right of search results, driving shoppers to the product detail page.

How Does Amazon Advertising Compare to Google Ads?

Amazon advertising is a direct challenger to Google in the product search space, though the two platforms serve different scopes. For the majority of people, online shopping starts at Amazon, meaning Google could potentially lose market share in product searches. According to this trend, Amazon has — for the first time — disrupted Google’s long-standing domination of search.

Amazon advertising is focused exclusively on products: a brand can only advertise on Amazon if it is actively selling a product on the platform. Amazon advertising is not as flexible as Google Ads, where marketers can run all kinds of campaigns — from lead generation to brand awareness — regardless of whether a product is involved.

Google still holds the upper hand in terms of flexibility and campaign variety, but Amazon’s advantage lies in purchase intent. Shoppers arriving on Amazon are typically further along the buying journey, making Amazon advertising a high-value channel for product-focused brands.

Frequently Asked Questions About Amazon Advertising

What is Amazon advertising?

Amazon advertising is a pay-per-click platform that allows brands and sellers to promote their products within Amazon’s search results and product pages. Ads are keyword-targeted or product-targeted, and advertisers bid for visibility in prime placements.

Do I need a seller account to run Amazon ads?

Yes. To use Amazon advertising, you must first create either a seller or vendor account. Once your account is active, you can access the advertising console and begin building campaigns.

What types of ads are available on Amazon?

Amazon offers three main ad formats: Sponsored Product Ads (keyword-targeted, appear in search results), Headline Banner Search Ads (appear at the top of search listings with a custom landing page), and Product Display Ads (product-targeted, appear at the bottom or right of search results).

How is Amazon advertising different from Google Ads?

Amazon advertising is limited to brands selling products on the platform, while Google Ads supports a much wider range of campaign objectives including lead generation, app installs, and brand awareness. Amazon’s strength is high purchase intent; Google’s strength is flexibility and reach.

Is Amazon advertising growing?

Yes. Amazon’s ad platform has seen major advancements, including the launch of a self-serve platform with audience matching capabilities. As Amazon continues to improve how it monetises its ad inventory, the platform is expected to grow further as a serious competitor in the digital advertising market.

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