Amazon Sponsored Display Ads: The Complete Guide to Retargeting & Scaling Sales

Table of contents
- Amazon Sponsored Display Ads: The Complete Guide to Retargeting & Scaling Sales
- Introduction
- What Are Amazon Sponsored Display Ads?
- How Sponsored Display Ads Compare to Other Amazon Ad Types
- Key Use-Cases for Sponsored Display Ads
- Setting Up Sponsored Display Ads Step-by-Step
- Best Practices to Maximize Performance
- Important Metrics to Track
- Scaling with Sponsored Display
- Common Pitfalls & How to Avoid Them
- Conclusion
- Related Posts
Introduction
Advertising on Amazon offers multiple avenues to reach shoppers, but Sponsored Display Ads stand out as a powerful tool for retargeting, brand awareness, and scaling your sales beyond just keyword targeting. If you want to re-engage customers who viewed your products, reach similar audiences, or simply push for higher visibility, Sponsored Display Ads can be one of your most effective levers.
In this guide, we’ll walk you through:
- What Sponsored Display Ads are and how they differ from other Amazon ad types
- Key use-cases (retargeting, scaling, awareness)
- How to set them up effectively
- Best practices and strategies for optimizing performance
- Metrics to track
- Common pitfalls & how to avoid them
What Are Amazon Sponsored Display Ads?
Sponsored Display Ads are part of Amazon’s advertising platform. They allow you to show your ads:
- On Amazon product detail pages
- On Amazon’s shopping results pages
- Off Amazon, on third-party websites and apps (audience-based)
Sponsored Display enables you to reach audiences who have viewed your products, similar product categories, or similar customer profiles. It extends beyond active searchers to help you capture demand that might otherwise slip away.
How Sponsored Display Ads Compare to Other Amazon Ad Types
| Ad Type | Primary Use Case | Where Ads Appear | Strengths |
|---|---|---|---|
| Sponsored Products | Keyword-targeted product visibility | Search results & product listings | Effective for capturing high-intent shoppers |
| Sponsored Brands | Brand promotion + collecting ASINs | Banner ads in search & category pages, brand store link | Great for new product launch, branding |
| Sponsored Display | Retargeting & reaching viewers off Amazon | Product detail pages, third-party sites/apps | Captures audiences that viewed but didn’t purchase; expands reach beyond keywords |
Key Use-Cases for Sponsored Display Ads
- Retargeting Viewers Who Didn’t Buy
- Reach customers who visited your product page but didn’t make a purchase
- Show them ads on Amazon or off-Amazon to bring them back
- Upselling and Cross-Selling
- Once someone bought one product, show them related accessories or complementary items
- Helps increase average order value
- Boosting Visibility for New or Under-performing ASINs
- Use displays to generate impressions & awareness, push traffic to new ASINs
- Launching Promotions or Seasonal Pushes
- Advertise sales, deals, seasonal launches to broad or targeted audiences
- Audience Expansion
- Use interest-based targeting-show ads to people interested in similar categories or product types
Setting Up Sponsored Display Ads Step-by-Step
Here’s how to get started properly:
- Access Advertising Console
- Log in to Amazon Seller or Vendor Central → Advertising → Sponsored Display
- Select Campaign Goal
- Retargeting (views of your product)
- Product targeting (similar ASINs)
- Audiences (interest- or demographic-based)
- Choose Targeting Type
- “Views remarketing”: people who viewed your specific product page
- “Similar products” targeting
- “Audiences” targeting, if available in your region
- Select Your Products / Creatives
- Choose ASINs to promote
- Ensure product images & content are high quality
- Use custom creatives where possible (some placements allow customization)
- Set Budget & Bids
- Start with modest budget to test
- Set bids high enough to win impressions without overspending
- Define Duration & Schedule
- Consider day-parting if data supports it
- Run long enough to collect meaningful data
- Launch & Monitor
- Once live, monitor impressions, clicks, spend
- Track detail page views, sales, return on advertising spend (ROAS)
Best Practices to Maximize Performance
- Segment Your Audiences
Use different campaigns for people who viewed vs people who added to cart vs people who bought. Tailor creatives and bids accordingly. - Use Eye-Catching Creatives & Messaging
High-quality images, strong value proposition, clear call-to-action (e.g. “Buy Now”, “Don’t Miss Out”) - Exclude Poor-Performing Products / Audiences
Remove ASINs with low conversion or audiences that waste budget - Use Frequency Caps
Don’t bombard the same user too many times; can lead to ad fatigue - Optimize Based on Time of Day / Week
Use performance data to adjust scheduling if certain times or days perform better - Align Offers / Discounts with Ads
If using promotions or coupons, make sure the ad shows that offer to attract clicks - A/B Test Creatives and Targeting
Try different images or headlines; test different audience segments - Track Attribution Windows Carefully
Sponsored Display has specific attribution windows which matter when measuring performance
Important Metrics to Track
| Metric | What It Tells You | Benchmark / Goal |
|---|---|---|
| Impressions | How many people saw your ad | Good reach is first step |
| Click-Through Rate (CTR) | How compelling your ad is | Higher is better; depends on category |
| Cost-Per-Click (CPC) | Efficiency of your spend | Keep CPC manageable relative to profit margin |
| Detail Page Views | Whether people are interested | Look for conversion after going to detail page |
| Conversion Rate | How many clicks convert to sales | Measure by ASIN, by targeting type |
| Return on Ad Spend (ROAS) | Revenue per ad spend | Should be positive after factoring in costs |
| Spend by Audience Segment | Which audience gives best return | Shift budget to best segments |
| Frequency / Repetition Rate | Are the same people seeing your ad too often | Control ad fatigue |
Scaling with Sponsored Display
Once you’ve run tests and found winning combinations, you can scale:
- Increase budget on high-performing campaigns
- Expand to more ASINs or product lines
- Use broader targeting (e.g. interest or category based) to reach new customers
- Use geographical targeting if applicable (regions that perform better)
- Leverage seasonal demand peaks (festivals, holidays)
Common Pitfalls & How to Avoid Them
| Pitfall | Why It Happens | How to Fix |
|---|---|---|
| Overspending on audiences that don’t convert | Poor targeting or insufficient filtering | Pause or lower bids on poor audiences; refine targeting |
| Low-quality creatives / images | Visuals don’t attract, misrepresent product | Use crisp, accurate images; align expectations |
| Not measuring properly | Ignoring attribution windows or downstream metrics | Set up proper tracking, track ROAS, sales from ad clicks |
| Ad fatigue | Same audience sees ad too often | Use frequency caps, rotate creatives |
| Product page disconnect | Ad promises something listing doesn’t deliver | Ensure listing (images, copy, reviews) matches what ad shows |
Conclusion
Sponsored Display Ads are a valuable tool in your Amazon advertising mix-especially for retargeting, protecting your brand, and scaling your reach beyond just search. When set up and optimized well, they help you reclaim lost interest, boost conversion, and drive more consistent sales.
Begin with testing, measure the results, refine your targeting, and scale what works. Over time, with strong creatives, smart audience segmentation, and good listings, Sponsored Display can become one of your most profitable advertising channels.