Sponsored Brands ads are one of the most powerful tools for Amazon sellers looking to increase brand awareness, drive traffic, and boost sales. Unlike Sponsored Products ads, which promote individual items, Sponsored Brands ads allow you to showcase multiple products, feature your logo, and create a branded shopping experience.
However, running profitable Amazon Sponsored Ads requires more than just launching a campaign. If you’re not optimizing your strategy, you could end up spending a lot without seeing a strong return on investment (ROI).
In this guide, we’ll cover the key steps to creating and managing high-performing Sponsored Brands campaigns on Amazon.
What are Sponsored Brands ads?
Sponsored Brands ads appear at the top of Amazon search results and help drive traffic to a custom landing page, product collection, or Amazon Storefront. These ads allow brand-registered sellers to:
- Feature their brand logo and a custom headline
- Showcase multiple products in a single ad
- Direct shoppers to a curated storefront experience
To access Sponsored Brands ads, your brand must be enrolled in Amazon Brand Registry services. This ensures your brand is protected and allows you to unlock premium advertising options.
How to set up a profitable Sponsored Brands campaign
- Choose the right ad format
Amazon offers three types of Sponsored Brands ads:
- Product Collection – Displays multiple related products in a single ad.
- Store Spotlight – Directs shoppers to different sections of your Amazon Storefront.
- Video Ads – Features a short video showcasing your product.
Best choice for profitability: Product Collection ads work well for sellers who want to increase sales across multiple SKUs, while Video Ads often have higher engagement rates.
- Target high-converting keywords
Selecting the right keywords is crucial for ensuring your ad appears in relevant searches.
How to choose the best keywords:
- Use branded keywords – Protect your brand name and prevent competitors from stealing traffic.
- Target high-intent keywords – Focus on keywords that indicate buying intent (e.g., “best wireless headphones for running” instead of just “headphones”).
- Analyze competitor keywords – See what keywords top competitors are using and bid on similar terms.
Pro tip: If you’re unsure which keywords to target, investing in Amazon Sponsored Ads keyword research tools or services can help refine your targeting.
- Optimize your ad creatives
Your Sponsored Brands ad needs to grab attention quickly. Poor ad creatives can lead to low click-through rates (CTR) and wasted ad spend.
Best practices for ad creatives:
- Use a high-resolution brand logo that is clearly visible.
- Write a concise and engaging headline (limit: 50 characters).
- Select best-selling products with strong reviews and high ratings.
Example of a strong headline: “Experience Premium Sound – Noise-Canceling Headphones for Travel”
- Set competitive bids and budgets
Amazon Sponsored Ads use a cost-per-click (CPC) model, meaning you only pay when someone clicks on your ad. Setting the right bid strategy helps maximize profitability.
How to bid effectively:
- Start with automatic bidding to gather data, then switch to manual bidding for better control.
- Use adjustable bids to increase spending for high-converting placements (like top of search results).
- Set daily budgets to prevent overspending.
Pro tip: Monitor your Advertising Cost of Sale (ACOS) regularly to ensure your campaigns remain profitable.
- Direct traffic to a well-optimized storefront
If you’re running Store Spotlight ads, make sure your Amazon Storefront is well-designed and conversion-friendly.
Storefront optimization tips:
- Use high-quality images and banners to showcase your brand.
- Organize products into clear categories for easy navigation.
- Highlight deals, promotions, and best-sellers to encourage conversions.
If you need a polished storefront, professional Amazon Brand Registry services can help with custom designs and enhanced branding.
- Monitor performance and optimize regularly
Once your Sponsored Brands campaign is live, track its performance and make adjustments for better results.
Key metrics to track:
- Click-Through Rate (CTR) – If CTR is low, adjust your ad creatives or headline.
- Conversion Rate (CVR) – If shoppers click but don’t buy, optimize your product pages.
- ACOS – Lower ACOS means better ad profitability. Adjust bids based on performance.
Pro tip: Amazon’s Advertising Reports provide insights into which keywords and products are driving the best results.
Final thoughts
Running profitable Amazon Sponsored Ads requires strategic keyword targeting, compelling ad creatives, competitive bidding, and continuous optimization. By leveraging Amazon Brand Registry services, you unlock additional branding opportunities that can improve ad performance and increase sales.
By following these best practices, you can maximize the ROI of your Sponsored Brands campaigns and grow your brand’s presence on Amazon effectively.
