Stop Wasting Money on Sponsored Brand Ads: Proven Strategies to Maximize Performance

ep 010 AdLabs

Your Sponsored Brand ads aren’t performing as well as you hoped. You’re seeing impressions, but clicks are low and sales are even lower. You’re probably wondering if they’re even worth the effort.

This is a common frustration for many Amazon sellers, especially with the increasing competition for ad placements. The good news is that with a few strategic tweaks, you can significantly improve your Sponsored Brand ad performance and drive more sales.

In this article, we’ll cover the most effective strategies to maximize your Sponsored Brand ad performance, from optimizing your creatives to refining your targeting. Let’s dive in.

Why Your Sponsored Brand Ads Might Be Underperforming

There are several reasons why your Sponsored Brand ads might not be delivering the results you expect. It could be your targeting, your creatives, or a combination of both. Let’s look at some common culprits.

1. Irrelevant Keywords

Are you targeting the right keywords? This sounds obvious, but many sellers make the mistake of using broad, generic keywords that don’t accurately reflect their products.

Instead of just targeting “protein powder,” try targeting long-tail keywords like “whey protein powder for muscle recovery” or “vegan protein powder organic.” These more specific keywords can attract more qualified traffic. We’ve seen clients double their click-through rate simply by using more relevant keywords.

Plus, those super broad keywords are going to be extra expensive in Sponsored Brands campaigns.

2. Poor Ad Creatives

Your ad creative is what grabs the customer’s attention, so it needs to be compelling. Are your images high-quality and visually appealing? Does your headline accurately reflect your product’s value proposition? Is your logo clear?

A/B testing different headlines and images is crucial here. For example, one client saw a 30% increase in click-through rate by switching from a product-focused image to a lifestyle image showcasing the product in use.

3. Not Optimizing Your Landing Page

Where are you sending customers when they click on your ad? If you’re sending them to a generic store page, you’re missing a huge opportunity.

Ideally, you should send them to a dedicated landing page that showcases the specific product featured in your ad. This creates a more seamless and relevant experience for the customer, which can significantly improve conversion rates. For instance, a focused landing page can increase conversion rates by 15-20%.

This could also just be the product listing page, depending on the ad type you’ve selected.

Proven Strategies to Boost Sponsored Brand Ads Performance

Now that we’ve covered some common reasons for poor performance, let’s look at some strategies you can implement to improve your Sponsored Brand ads.

1. Refine Your Keyword Targeting

Keyword research is essential for any successful Amazon PPC campaign. Here’s how to refine your keyword targeting for Sponsored Brand ads:

  • Use Amazon’s Search Term Report: This report shows you the exact search terms customers are using when they click on your ads. Go with the top 5-20 converting KWs from your Sponsored Products campaigns.
  • Utilize Keyword Research Tools: Tools like Helium 10 and Semrush can help you discover new keyword opportunities and analyze the competition.
  • Focus on Long-Tail Keywords: As mentioned earlier, long-tail keywords are more specific and can attract more qualified traffic.
  • Continuously Monitor and Adjust: Regularly review your keyword performance and adjust your targeting as needed. Remove underperforming keywords and add new ones based on your findings.

2. Optimize Your Ad Creatives

Your ad creative is your first impression, so make it count. Here’s how to optimize your Sponsored Brand ad creatives:

  • Use High-Quality Images: Your images should be clear, visually appealing, and accurately represent your product.
  • Write Compelling Headlines: Your headline should be concise, attention-grabbing, and highlight your product’s key benefits.
  • A/B Test Different Creatives: Experiment with different headlines, images, and product combinations to see what resonates best with your target audience.
  • Showcase Social Proof: If you have positive reviews or testimonials, consider incorporating them into your ad creative.

3. Create Dedicated Landing Pages

Sending customers to a dedicated landing page can significantly improve conversion rates. Here’s how to create effective landing pages for your Sponsored Brand ads:

  • Match Your Ad Message: Your landing page should be consistent with the message and branding of your ad.
  • Showcase the Featured Product: Highlight the specific product featured in your ad and provide detailed information about its features and benefits.
  • Include a Clear Call to Action: Tell customers exactly what you want them to do, whether it’s “Add to Cart,” “Shop Now,” or “Learn More.”
  • Optimize for Mobile: Make sure your ad and landing page are mobile-friendly, as a significant portion of Amazon traffic comes from mobile devices.

Real Results with Optimized Sponsored Brand Ads

Let’s look at a real example of how these strategies can improve your Sponsored Brand ad performance.

We worked with a client selling kitchen gadgets who was struggling with low click-through rates and high ACOS on their Sponsored Brand ads. After implementing the strategies outlined above, we saw the following results in 60 days:

  • Click-Through Rate (CTR): Increased from 0.3% to 0.7% (a 133% increase)
  • Conversion Rate (CVR): Increased from 5% to 8% (a 60% increase)
  • Advertising Cost of Sale (ACOS): Decreased from 40% to 25% (a 37.5% decrease)

These improvements resulted in a significant increase in sales and profitability for the client.

Stop Guessing and Start Optimizing

Don’t let your Sponsored Brand ads become a money pit. By implementing these strategies, you can refine your targeting, optimize your creatives, and create dedicated landing pages that drive more sales. The key is to continuously monitor your performance and make adjustments as needed.

Want to take your Amazon PPC to the next level? AdLabs provides advanced bid management and optimization tools to help you optimize your campaigns and maximize your ROI.



Key Discussion Points from the Episode

Here are some of the most valuable insights Andrew and Stephen shared during the full episode discussion:

Yeah, that’s a good, good point there. I think I’ve seen a lot of people talking about that. I think Amazon like released it for a release information on it and then retracted it and then released it again or.

And then recently they’ve been messing with sponsored products and switching that mat the Broad Match type up quite a bit. The definition of it, you know, I think it is, it was. Amazon was like hurting on sales because, like their online sales were flat and so they needed to grow their online revenue.

And they’re like, you know, they have all these dedicated Amazon reps telling everyone to spend more and people don’t really want to spend more because maybe the performance isn’t there. And so Amazon’s like, all right, let’s just make all of those Broad Match keywords a lot broader. Go and then spend.

Yeah. And then Amazon finally hits all their, their earnings expectations in the next quarter. Amazon all Amazon continues in, baby.

Well, typically what we’ve been seeing, right, like as we’ve been testing this is that ad groups that have multiple creatives within them, a lot of times what will happen is Amazon will naturally just favor one of them really quickly. It doesn’t even really like. And not even necessarily the former.

Yeah, right, right. We don’t really know because it’s not actually testing all the other ones. It usually just favors one right off the bat and most of the spend will be allocated to that.

And then even if you leave it in there, leave them in there for a long period of time, they. It still just funnels it all to one. So you have to have that manual input and manual control over it to actually get like the results of a test, a true test with a sponsored brand, even with the, with the ad groups.

Yeah, but conceptually, I think the best way to think of it is like you said in sponsored products, we have product ads which are basically just products, but at the same time, they’re kind of creatives of their own. They’re just creatives that look very much like organic listings. But those are our ad creatives.

And with sponsored brands, we have the same thing. We have those, you know, those product ads in there. Just the format is different and so it’s.

The structure is virtually the same. Just some of the campaign settings are different and the actual creative itself looks different. So that’s just a super quick, simple overview of kind of what these are.

And so does anyone have any questions on that? No, Sounds like they’re all good. Okay, cool.

All right, so with that, let’s dive into some things about sponsored brand ad strategy and how you can use these unique creative formats to maximize your sales on Amazon. So before we talk about what to do with your sponsored brand ads, why don’t Andrew, you tell us what not to do. I always think it’s a good idea to kind of rule out some, some old bad habits.


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This article is based on Episode 10 of That Amazon Ads Podcast. Subscribe for weekly Amazon PPC strategies.

Co-Founder & CMO at AdLabs