Dive Brief:
- Amazon will discontinue its popular bottom-of-the-page Amazon Product Ads effective Oct. 31, and replace them with Amazon Text Ads.
- Offering good return on investment, Amazon Product Ads and Sponsored Links are popular among third-party retailers.
- Amazon Text Ads are in beta testing now, and available only to U.S. advertisers.
Dive Insight:
In an unusual move, Amazon announced it will soon eliminate Amazon Product Ads in favor of a text format. Usually found at the bottom of a product detail page under the header “Product Ads from External Websites,” Amazon Product Ads are popular and effective way for advertisers to reach Amazon shoppers without selling directly on the marketplace.
While ChannelAdvisor says 35% of advertisers using Amazon Product Ads and Sponsored Links reported good returns, the format’s redundancies with search results likely cut into the main marketplace’s sales. An email issued to sellers suggests that users of Amazon Product ads consider selling on Amazon with its Sponsored Products option, or using Amazon Text Ads.
