Amazon’s unBoxed 2024 introduced key product announcements that will redefine how brands approach advertising and product launches on its platform. The event showcased Amazon’s commitment to empowering advertisers through innovative AI tools, data-driven insights, and streamlined workflows while making those tools more accessible to advertisers at any level and with various budgets. Here’s a breakdown of the key highlights that will shape the future of Amazon advertising.
1. Reimagined Amazon DSP: Faster, Smarter, and More Intuitive
Amazon has completely overhauled its Demand-Side Platform (DSP) to provide advertisers with a more efficient and intuitive experience. The most significant update is the consolidated display line item, which can reduce campaign setup time by 75%. Additionally, AI-powered insights and smart frequency controls ensure advertisers maximize their budgets by eliminating redundant impressions. These updates make campaign management faster and optimize performance with real-time recommendations, improving overall return on investment.
2. Performance+ Expansion: AI-Powered Automation
Amazon expanded its Delivery Service Partner (DSP) universe by launching the long-awaited Performance+ tool. This AI-driven feature automates audience creation and optimizes campaigns across different stages of the customer journey.
By integrating first-party data and AI, Performance+ now includes remarketing and retention capabilities and prospecting functions. Early adopters have reported a 51% improvement in customer acquisition costs, highlighting its potential to drive business outcomes efficiently.
Most importantly, advertisers now have full control over key deliverables and are given access to a more transparent reporting. Combining artificial intelligence (AI) and automation allows Amazon advertisers to scale their campaign performance.
3. AI-Powered Creative Tools: Democratizing Content Creation
Amazon Ads has introduced several AI-powered creative tools to make high-quality ad creation accessible for all brands. The new video generator allows advertisers to produce video ads at a fraction of traditional production costs. For audio advertisers, the audio generator creates interactive ads in minutes, while the AI creative studio combines AI and expert controls to simplify the creation of visually compelling ad content.
Amazon Ads Video Generator
Currently available for use in Sponsored Brands campaigns, these videos leverage Amazon’s unique retail insights to vividly bring a product story to life in ways that are relevant to customers.
AI Creative Studio (BETA)
On October 15, 2024, Amazon Ads officially launched AI Creative Studio (beta). In a nutshell, Amazon's AI creative studio is a centralized tool that combines AI functionality with advanced controls and easy-to-follow features. The good thing about AI Creative Studio is that it enables advertisers of all and any skill levels to develop content of the highest quality. With the AI Creative Studio, users can generate, edit, and publish graphics (videos and images) back to any space in the Amazon Ads Console.
If you need more inspiration about the next visual to be created, there's no need to panic. Any Amazon advertiser will be able to explore a large AI gallery as well as experiment with the latest image generation and AI video tools. The best thing about it is the ability to co-create projects using an AI creative agent on your side.
Amazon’s AI Creative Studio consists of three main modules.
The Studio: The primary dashboard is where users can manage all their projects. While in the Studio, users also access several fundamental tools that can be used to transform any visual project from ‘in progress’ to ‘design complete.’
The Sandbox: The place to play around with graphics and creativity, as well as test any new feature. Within, you users can animate images, restyle them, apply generative resizing, edit images with endless possibilities, and create lifestyle imagery for products.
The Inspiration Gallery: You can get inspired by creative studio images and check out the prompts used to generate any of them. Explore a huge virtual AI gallery and try images that are perfect for future product promotions.
Important to know: The Inspiration Gallery will only be available to currently logged-in advertisers.
4. New Product Launch Service: Accelerating Success
Amazon has a unique ability to assist brands in successfully launching new products for the first 90 days. The 'New Product Launch' service allows sellers to leverage Amazon's media plans and more advanced features such as Amazon Marketing Cloud (AMC).
Moreover, having assistance with AMC ensures simplified insights, i.e., no-code solutions to new and advanced audiences. This allows up-and-coming advertisers to accelerate sales growth more efficiently.
Namely, the first two AMC solutions soon to be launched are optimal frequency analyses and high-value audiences. With the optimal frequency solution, all advertisers can monitor KPIs evolve as interactions with ads increase, determining the ideal frequency caps for any campaign.
On the other hand, the high-value audience feature will allow brands to analyze how any customer base is distributed over a period of time, by total spend levels.
5. Multi-Touch Attribution and Advanced Analytics
Amazon is rolling out a multi-touch attribution model to help advertisers understand the relative contribution of each marketing touchpoint along the customer journey. This sophisticated measurement tool uses machine learning to analyze ad performance across channels, assisting brands to refine their strategies for maximum impact. Additionally, long-term sales metrics will allow advertisers to gauge the 12-month effect of their campaigns, offering more profound insights into brand-building efforts.
6. Ads Data Manager: Streamlining Data Integration
The new Ads Data Manager enhances first-party data management across Amazon’s advertising ecosystem. This tool allows advertisers to integrate their data with Amazon in a seamless and privacy-safe manner, enabling precise targeting and improved campaign performance.
By collaborating with Amazon Publisher Cloud, advertisers can deliver custom campaigns across premium websites and streaming TV apps, expanding their reach and relevance.
7. Prime Video Interactive Ads: Engaging Audiences in New Ways
Amazon has also recently unveiled interactive ad formats for Prime Video, allowing brands to engage with viewers in novel ways. These ads are designed to be more immersive and allow brands to connect with customers across multiple touchpoints, driving engagement throughout the purchase funnel.
Also, according to their most recent study, Amazon's interactive ads can drive up to ten times more conversion and product page views than non-interactive formats. This is worth looking into for any advertiser exploring new target markets.
8. Smarter Audience Targeting: High-Purchase-Intent Shoppers
Amazon Ads continues to enhance audience targeting capabilities with audience bid boosting and Ad Relevance features. These tools use AI to focus on high-purchase-intent shoppers, improving sales and ad efficiency. By combining first-party data with Amazon insights, advertisers can build custom segments and optimize their targeting strategies without relying on third-party cookies.
Recap: The Future of Advertising on Amazon
Amazon’s unBoxed 2024 announcements underscore the company's dedication to providing brands with powerful tools that enhance creativity, streamline workflows, and deliver actionable insights. These innovations, from AI-powered automation to advanced analytics and creative solutions, will allow advertisers to create more targeted, efficient, and effective campaigns. As Amazon continues to expand its advertising ecosystem, businesses of all sizes are well-positioned to harness these tools for success in a competitive digital landscape.
Can’t get enough of this content? Check out our deep dive webinar for more details on these updates, expert opinions, and advice on how to get the most out of all of the Amazon Ads tools and products.
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