Last week, our team joined Amazon for a few days of motivational keynote presentations and informative breakout sessions to gain firsthand knowledge of the latest products and customer insights to optimize our analytics-driven marketing strategies. In today’s digital world, there are hundreds of touch points consumers are exposed to due diverse platforms they have literally at their fingertips. That being said, we’re no longer figuring out how to reach your ideal customers, we’re solving for how to reach your customer in the right place, at the right time to make a big enough impact that they connect with your business. unBoxed this year focused on just that – reaching customers at every stage of their journey with actionable best practices and different techniques that help you deliver on specific goals, like driving awareness, consideration, sales, and loyalty.
A Quick Look: How Business of Any Size Can Grow With Video:
In 2023, the digital video landscape continues to thrive, with an estimated 264 million digital video viewers. This staggering number reflects the growing popularity of digital video content as a preferred form of entertainment and information consumption. As individuals spend an average of 5 ¾ hours daily watching both television and digital video, it becomes clear that digital video has become an integral part of our media consumption habits. Moreover, the age group between 18 and 64 years is projected to witness a substantial 5% increase in digital video consumption from 2022 to 2026. This steady growth demonstrates that digital video has a broad appeal, transcending generational boundaries, and it is increasingly becoming a powerful tool for reaching and engaging diverse audiences.
A significant aspect of this digital video landscape is the impact it has on branding. An overwhelming 79% of consumers acknowledge that video content keeps brands at the forefront of their minds. With sponsored TV content that is full-screen and non-skippable, brands have a unique opportunity to capture the undivided attention of their audience. Additionally, with metrics like branded searches, detailed page views, and click metrics, particularly in the retail sector on platforms like Amazon, brands can gain valuable insights into their customers’ behaviors and preferences. Moreover, the availability of Dynamic Creative Optimization (DCO) offers the capability to tailor content for specific audiences, enhancing the personalization of brand messages. With short-form vertical videos on product listings, an asset library, a creative asset library, a video builder, and creative services, brands have the tools and resources to craft compelling and engaging video content, ensuring they remain competitive and connected in the ever-evolving digital video landscape.
An Inside Look: Amazon’s DSP
Amazon DSP, or Amazon Demand-Side Platform, is a sophisticated advertising solution that empowers advertisers to reach their target audiences with precision and efficiency. One standout feature is its utilization of predictive modeling techniques, which enable advertisers to make data-driven decisions without relying on third-party identifiers, thereby respecting user privacy. By integrating seamlessly with Amazon Web Services (AWS), Amazon DSP offers a powerful combination of cloud computing and data analytics, ensuring advertisers have access to scalable and secure resources for their campaigns. Amazon DSP’s incremental and addressable audiences allow advertisers to reach potential customers more effectively, optimizing their ad spend by narrowing down to the most relevant audiences. Furthermore, by launching lookalike audiences that sit atop the Amazon Marketing Cloud, advertisers can expand their reach and discover new, valuable customer segments, making Amazon DSP a comprehensive and intelligent choice for advertisers looking to thrive in the digital advertising landscape.
Unlocking AI Features with Amazon
Amazon Generative AI represents a cutting-edge advancement in creative solutions within the digital advertising realm. This technology, combined with Custom Insights integrated into the Amazon Marketing Cloud (AMC), equips advertisers with a unique edge. Amazon Generative AI enables the creation of highly tailored and compelling content, offering a novel way to engage with target audiences. Furthermore, the ability to publish this creative content into Amazon’s ecosystem allows advertisers to construct custom audiences and leverage this innovative approach to reach potential customers with unmatched precision.
As this technology continues to evolve, Amazon Generative AI is expanding its horizons by incorporating lookalike models powered by Amazon Web Services (AWS). These lookalike models extend the reach and effectiveness of campaigns, with modeled audiences demonstrating a remarkable 25% increase in delivery and engagement rates. The results speak for themselves, with an impressive 33% boost in Return on Ad Spend (ROAS) observed on Amazon DSP, making Amazon Generative AI a game-changing tool for advertisers seeking to achieve higher performance and return on their advertising investments.
Amazon Ads Betas & New Technology
The introduction of Flywheel presents an exciting shift in the landscape, as it promises to enhance the viewer experience by making Prime video ads seamlessly integrated into TV and video content. What’s more, Amazon has entered the realm of interactive advertising with their interactive ads beta, transforming passive viewers into active participants. This technology opens the door to a shoppable experience, allowing viewers to engage with and purchase products directly from their screens. Whether it’s through a remote control or a mobile device, Amazon’s streaming TV offers an interactive, immersive experience for users, fostering a deeper connection with the content they love. Notably, an overlay feature appears on top of ads, giving viewers the option to shop or learn more about products, even enabling the direct delivery of information to their email, demonstrating Amazon’s commitment to delivering innovative and engaging advertising experiences.
Incorporating this technology not only redefines the way we consume content but also transforms the advertising landscape. Amazon’s foray into streaming TV, interactive ads, and shoppable experiences is a testament to their dedication to providing customers with a seamless and convenient shopping experience. By enabling viewers to directly engage with the content and products they see on the screen, Amazon is propelling the future of advertising into an era where advertisements are no longer passive interruptions but rather interactive and value-driven elements that add depth and utility to the viewer’s experience. This innovative approach will likely have a significant impact on the advertising industry, opening up new avenues for brand engagement and customer interactions in the evolving digital age.
Additionally a new beta introduced is Amazon’s Sequential storytelling – a captivating approach that allows advertisers to narrate compelling brand stories over multiple ads, creating a seamless and engaging experience for viewers. This method enables brands to connect with their audiences on a deeper level, reinforcing their message and building stronger relationships.
Moreover, Amazon has recently unveiled 13 new contextual signals/genres that provide advertisers with enhanced targeting options and refined audience segmentation. These signals encompass a wide array of interests and behaviors, allowing advertisers to reach their target audiences with pinpoint accuracy. This expansion of contextual signals empowers advertisers to deliver more relevant and personalized content, ultimately driving better engagement and conversions.
Summit Wrap Up
As always, our team is thankful to be invited to yet another partner summit that delves into the world of innovation and advancements. We look forward to testing Amazon Ad’s new betas and transformative technology to connect with customers through their journey. Stay tuned for more updates on the platform and how we’ve tested these new products.