Amazon announced earlier this year that PPC adverts on their website would be listed alongside its marketplace listings, in a bid to ‘drive qualified traffic from our site to yours’.
When an online shopper now searches for a product in a specific category on Amazon they will see a selection of products from the marketplace as well as paid adverts also known as Amazon Product Ad (APA) listings.
Amazon now allows businesses to upload their product catalogues, while adverts will be automatically generated using the product information provided. Businesses are then able to set their budget and make their listings go live.
These ‘highly targeted placements’ can be found in detail pages, search results and the buy box, so there is a greater level of visibility for non-marketplace retailers than there was previously. Each time a customer clicks on a company’s paid advert, a cost-per-click bid will be taken out of their budget. There are eight eligible open categories to add APA listings to; Baby, Electronics, Home Improvement, Home & Garden, Musical Instruments, Office Products, Computers and Toys, while the minimum cost per click varies between different groups.
Each time an advert is clicked, the visitor will be directed to the company’s website where they able to make an enquiry or a purchase. This recent change with Amazon Product Ads could mean more exposure for non-marketplace merchants, but currently, the majority of the listings are still those from Amazon marketplace retailers
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