Have you ever wondered? Why do a majority of people these days immediately try to visit Amazon whenever they want to find a product? Yes, most likely, we are also one of them. Nearly 12 million different types of products, including books, media, electronics, fashion, household things, etc., are available on Amazon. And with more than 9.6 million active sellers worldwide, it’s no wonder that close to 44% of people worldwide come directly to the Amazon website looking for products.
With an estimated $328 billion in annual revenue, the e-commerce giant Amazon.com is now considered to be the world’s number one online shopping website.
Since a lot of people are trying to look for products on Amazon, it would be a brilliant idea to sell and promote your product on the Amazon marketplace for a quick profit.
Is it worth spending money on Amazon ads?
Yes, it is. Amazon ad is a paid feature that allows you to promote your product on the Amazon website. On average, for every $1 spent on Amazon ads, companies get a $4 ROI (Return of Investment), which is nearly 4 times the profit. That is the reason why companies all around the world spent close to $28 billion on Amazon ads in 2021.
If you know how to use Amazon ads effectively, you can quickly generate more profit and raise brand awareness of your product in a short period of time.
Key sectors that benefit from Amazon ads
Some of the top-selling sectors on the Amazon platform are
- Sports and Fitness
- Household equipment
- Health and personal care products
- Pet products
these sectors play a major role in online shopping. Nearly 32% of the sales on Amazon come from kitchenware and household equipment, and 41% of sales are from health care, personal, and baby care products combined. Since the COVID outbreak, laptop sales have also increased significantly as more businesses have shifted to “work from home” policies. As a result, there is a boost in electronic gadgets accounting for 17% of total sales.
However, there is heavy competition between the companies in each of these sectors, and each company wants its brand to be the favorable one.
To gain the lead in sales as well as to create brand awareness against fierce competition, companies use Amazon ads to display their products as top recommendations within the Amazon shopping platform when the customer looks for their product. Every year, companies invest a huge amount of money in Amazon ads since it often yields roughly twice the profit and increases their ROI (Return on investment).
Importance of choosing the Niche in Amazon:-
Niche is defined as the specific segment of the large market that promotes and sells unique products and services.
Example:- Kitchenware equipment is a large market sector, in that focusing on sales and promotion of “air fryers” is known as targeted niche marketing.
Here, instead of spending a lot of money due to fierce competition promoting a large sector like Kitchenware, selecting only “air fryers” for selling and promoting using the Amazon ads will help you to reduce the competition, as a result, increase your chance of being at the top recommendation easily without spending a lot of money.
You can easily make a huge amount of money using targeted niche marketing since only the selected customers are targeted with high accuracy, leading to a high conversion rate.
Therefore, using targeted niche marketing along with Amazon ads is highly beneficial in generating an immense amount of profit in a short period.
Amazon ads vs Google ads:-
Most people do not understand the difference between Amazon ads and Google ads. Because of this, they are unable to determine when to utilize Google ads and when to use Amazon ads.
The main difference is that customers’ needs and expectations are different for Amazon when compared to the Google platform.
People frequently use Google to find products when they are unsure of what to buy for their requirements or to get advice and details on a certain product. On the other hand, people who visit Amazon already know what to buy and very certainly have chosen the brand of the item.
This is the main reason why Amazon ads have a more than 10% conversion rate when compared to Google ads.
Example:-When a person wants to purchase a laptop for gaming but is unsure of the necessary specifications, price range, or brand to purchase, they turn to Google for expertise and information to choose the best gaming laptop. On the other hand, if the person is already aware of the specifications, price range, and sometimes even brand of the laptop, then the person will eventually visit the Amazon platform to buy his/her desired product as well as to compare the price range and specifications among different brands before buying.
Why should we use Adspyder for creating Amazon ads:-
Amazon is a powerful tool to promote and sell your products. Nearly 54% of global e-commerce is done on the Amazon platform. But there is also heavy competition among sellers. Therefore, to run a successful Amazon ad to sell your products and make a profit, you have to know your customer’s needs and also what your competitors offer to your target audience.
But how do you find your customer’s needs along with the latest trend and also your competitor’s ad strategies as well as their offers to your target audience without spending more time and effort? Yes, there is a way to gain all this information instantly and without effort, and that is by using Adspyder.
With more than 10+ million ad copies and ad libraries for 100+ platforms, it is now very easy to analyze and understand the customer’s needs on the Amazon platform using Adspyder. Most importantly, AdSpyder provides you with the hidden intelligence behind your competitor’s ad’s success and their offers to your customers. Therefore, this software helps you create an effective strategy against your competitor’s product to dominate the Amazon Platform.
All the information required to create a successful ad is given in a simple and easy-to-understand format. Since it is very easy to create an Amazon ad using Adspyder, more than 10,000+ SMEs are already using Adspyder due to its high success rate and have made huge profits.