Amazon is home to a wealth of customer and user data, and when you advertise on the platform, you’re benefiting from that data. Depending on which advertising format you’re using, you’ll be able to target your audience via one or more of the following methods:
Promoting New Products
Advertising on Amazon is an excellent way to introduce your brand loyalists and current market to your new product offerings. They may not ever find out about them otherwise.
With so much competition on the platform, it can be difficult to get noticed by your target market. Advertising helps increase your visibility, and make it more likely that potential customers will see what you have to offer. And with the most prominent placements in Amazon search being paid placements, it’s hard to get noticed without ads.
Sometimes, users are willing to buy additional products—provided they find out what’s available. Ads can help get the word out, informing your customers of similar or complementary products they may be interested in. They can even be used to drive traffic to your Amazon Storefront and introduce them to your full catalog.
Increasing Market Share
In a lot of cases, the only way to increase your market share is to specifically target the customers of competitors (especially when you’re competing against larger brands). The right ad strategy can help you capitalize on the visibility of other brands.
Defending Your Listings
Just as it’s important to market to users looking for competing products, you want to defend your listings from the same tactics. By running strategic ad campaigns, you can have Amazon serve your own ads on your own listings, preventing competitors from advertising there.