In the ever-evolving world of e-commerce, visibility is currency. As competition on Amazon continues to intensify, standing out from the crowd is more challenging than ever. Enter Sponsored Brands—a powerful advertising solution that gives sellers the ability to showcase their brand story, products, and value proposition right at the top of search results.
This guide is your one-stop resource for everything you need to know about Sponsored Brands on Amazon. Whether you’re a new seller or a seasoned advertiser looking to maximize your ROI, we’ll walk you through every step—from setup and targeting to optimization and analytics.
But to succeed with Sponsored Brands, you need more than just a catchy headline and a few product selections. You need a smart strategy, a deep understanding of targeting options, compelling creatives, and a commitment to ongoing optimization.
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What Are Sponsored Brands?
Sponsored Brands are pay-per-click (PPC) ads on Amazon that feature your brand logo, a custom headline, and multiple products. These ads appear in prominent locations such as:
- Top of the Amazon search results page
- On the side or within shopping results
- Product detail pages
Unlike Sponsored Products (which promote individual listings), Sponsored Brands emphasize your brand identity. They are best for brand-registered sellers who want to build awareness and guide shoppers to their brand store or curated landing pages.
Key Features:
- Brand logo and custom headline
- Multiple product display (usually 3)
- Click-through to a custom landing page or brand store
- Target keywords or categories
- Great for top-of-funnel awareness and cross-selling
Benefits of Sponsored Brands
Why should you invest in Sponsored Brands? Here are some of the main advantages:
Enhanced Brand Visibility
Your ad shows at the top of search results, increasing the chances of customer engagement.
Brand Storytelling
Custom headlines and logos allow you to communicate your brand message and build trust.
More Traffic to Brand Store
Drive high-intent traffic to your Amazon storefront, improving engagement and increasing average order value.
Cross-Selling Opportunities
Feature complementary or best-selling products together to increase conversions and basket size.
Actionable Analytics
Access insights into impressions, clicks, sales, and ACoS (Advertising Cost of Sales) to refine your campaigns.
Setting Up Sponsored Brands Ads
Before diving into setup, ensure you meet the eligibility requirements:
- You must be enrolled in Amazon Brand Registry.
- You should have an active seller account in good standing.
- You need at least 3 ASINs available for advertising.
Step-by-Step Setup Guide:
Go to Amazon Ads Console
Log in to your seller account and navigate to the Campaign Manager.
Create a New Campaign
Set a campaign name, start/end dates, and daily budget.
Choose Your Ad Format
- Product Collection: Show 3+ products with a link to your store or landing page.
- Store Spotlight: Highlight multiple store pages.
- Video: Display a short brand or product video.
Select Creative Elements
- Upload your brand logo (400×400 pixels).
- Add a compelling headline (50 characters max).
- Select 3+ products to feature.
Set Targeting
- Keyword Targeting: Manual or automatic keyword match types (broad, phrase, exact).
- Category Targeting: Target product categories and refine by brand, price, reviews, etc.
Submit for Review
Amazon will review your ad (typically within 24 hours). Once approved, it will start running.
Best Practices for Sponsored Brands
To make the most of your ad spend, follow these tried-and-true best practices:
Craft a Compelling Headline
Use persuasive, benefit-driven language. Avoid generic phrases like “Shop Now” and instead use “Discover Premium Organic Skincare.”
Choose Top-Performing Products
Feature best-sellers or products with high conversion rates. This improves click-through and purchase rates.
Optimize for Mobile
Mobile devices account for over half of Amazon traffic. Make sure your images and copy look great on smaller screens.
Use Branded Keywords
Target keywords that include your brand name to defend your branded search terms and maintain visibility.
Experiment with Video Ads
Video ads have higher engagement and can be used to demonstrate features or solve common problems.
Drive to Your Brand Store
Sending traffic to a well-designed storefront gives customers more options and keeps them within your ecosystem.
Tracking and Optimizing Performance
Monitoring your Sponsored Brands campaigns is critical for long-term success. Amazon offers robust reporting features to help you understand performance.
Key Metrics to Monitor:
- Impressions: How often your ad was seen.
- Click-Through Rate (CTR): % of impressions that led to clicks.
- Conversion Rate: % of clicks that resulted in a sale.
- ACoS: Measures ad spend versus sales. Lower ACoS = better efficiency.
- ROAS: Return on Ad Spend. Higher ROAS = better profitability.
Optimization Tips:
- Adjust bids on top-performing keywords to improve visibility.
- Pause underperforming ASINs or keywords.
- Test different headlines and creatives.
- Use negative keywords to prevent wasted spend.
- Run A/B tests for landing pages or ad formats.
Common Mistakes to Avoid
Avoid these frequent pitfalls to keep your Sponsored Brands campaigns effective:
❌ Ignoring Data
Not reviewing performance metrics will cause you to miss optimization opportunities.
❌ Poor Creative Quality
Blurry logos, generic headlines, or low-res product images turn off shoppers.
❌ Targeting Irrelevant Keywords
Don’t waste money showing your brand to people who aren’t interested in your products.
❌ Inconsistent Branding
Keep your storefront, logo, and ad creatives visually cohesive and professional.
❌ Failing to Refresh Content
Rotate your products and creatives regularly to avoid ad fatigue.
Advanced Strategies
Once you’re comfortable with the basics, level up your Sponsored Brands strategy with these pro tips:
Seasonal Campaigns
Plan around key retail holidays (Prime Day, Black Friday) with themed creatives and time-limited offers.
Custom Landing Pages
Create campaign-specific landing pages that highlight bundles or best-sellers for specific audiences.
Audience Retargeting
Use Amazon DSP in conjunction with Sponsored Brands to retarget shoppers who viewed but didn’t buy.
Brand Store Optimization
Use analytics to improve navigation and product discoverability on your brand store.
Competitor Defense
Bid on competitor brand names to show up when shoppers search for their products.
Frequently Asked Question
What is the difference between Sponsored Brands and Sponsored Products?
Sponsored Products advertise individual listings, while Sponsored Brands highlight your brand logo, multiple products, and can direct users to your store. Sponsored Brands are more suitable for brand-building and cross-selling.
How much does it cost to run Sponsored Brands ads?
Sponsored Brands operates on a cost-per-click (CPC) model. You only pay when someone clicks on your ad. The cost varies depending on competition and your keyword bids. On average, CPC can range from $0.50 to $3.00+.
Can any seller use Sponsored Brands?
No. You must be enrolled in the Amazon Brand Registry to be eligible for Sponsored Brands. This ensures you’re a verified brand owner.
Do Sponsored Brands increase organic ranking?
Indirectly, yes. Increased visibility and sales from Sponsored Brands can lead to improved organic rankings over time due to higher engagement and conversion signals.
Should I use automatic or manual targeting?
Start with manual targeting for better control over keywords and budget allocation. Use automatic campaigns for discovery, then mine converting keywords and move them to manual campaigns.
How do I know if my ad is successful?
Use KPIs like ACoS, ROAS, CTR, and conversion rate. Success depends on your goals—whether it’s visibility, traffic, or sales. Benchmark against industry averages and your own historical data.
Can I edit a live Sponsored Brands campaign?
Yes, you can edit elements like bids, budgets, and keywords in a live campaign. However, changes to creative elements like logos or headlines may require resubmission for approval.
Conclusion
Sponsored Brands are one of the most effective tools on Amazon for building long-term brand equity, increasing visibility, and boosting sales. But like any tool, they work best when used strategically. From setting up your first campaign to advanced tactics like retargeting and seasonal planning, this guide provides the foundation you need to create impactful, ROI-driven campaigns. Don’t just advertise—build your brand. If you’re ready to rise above the competition and establish a lasting presence on A