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Amazon Sponsored Products Vs. Sponsored Brands: Which PPC Strategy is Best for Your Business?

Written by
Vanessa Hung
January 25, 2024

Did you know that Sponsored Products and Sponsored Brands are two ad types that serve distinct purposes and offer unique benefits? This blog post aims to demystify these powerful tools, highlighting their differences and how best to leverage them for your brand's success.

Ready to conquer Amazon ads? Let’s dive in.

Comparing Amazon Sponsored Products vs. Sponsored Brands

Amazon Sponsored Products and Sponsored Brands are two types of PPC ads on Amazon that help drive traffic to product listings and increase brand awareness. Creating these ads involves selecting targeting options and setting a budget for your campaign.

What are they?

Amazon Sponsored Products are pay-per-click ads that help drive traffic to specific product listings. Sellers can showcase individual items to Amazon shoppers actively looking for similar products.

On the other hand, Sponsored Brands promote your brand and up to three products together, significantly elevating brand awareness among potential customers. These ads appear in strategic locations on Amazon's website, giving your business a competitive edge against other sellers in the market.

How to create them

Creating Amazon Sponsored Products or Sponsored Brands involves a few straightforward steps. First, you'll need to sign in to your Amazon Seller Central account. Once you're logged in, look for the advertising tab on the main dashboard. Click on it and choose between "Sponsored Products" or "Sponsored Brands", then follow these steps:

  1. Select the products you want to promote.
  2. Choose automatic targeting for Amazon to match your ads with relevant customer searches.
  3. Set your daily budget and duration.
  4. Review and submit your campaign.
  5. Determine the brand or brands you wish to advertise.
  6. Design your ad, including headline and logo.
  7. Pick the products you want to feature.
  8. Choose keywords for targeting or allow Amazon's automated system to choose.
  9. Set your budget, then review and submit.

Targeting options

Amazon provides various targeting options for both Sponsored Products and Sponsored Brands, enabling advertisers to reach their ideal audience:

Key Differences Between Amazon Sponsored Products and Sponsored Brands

Amazon Sponsored Products and Sponsored Brands have several key differences in terms of their purpose, eligibility, ad format, cost, and placement.

Purpose and Goals

The purpose of Amazon Sponsored Products is to drive traffic to specific product listings. These ads aim to increase brand awareness and visibility by placing sponsored items within relevant search results.

On the other hand, Sponsored Brands focus on promoting a brand as a whole, rather than individual products. The goal here is to create brand recognition and encourage customers to explore more offerings from that particular brand.

Both types of ads utilize pay-per-click (PPC) advertising on Amazon's platform to maximize conversions and generate sales.


To run Amazon Sponsored Products and Sponsored Brands ads, there are certain eligibility requirements you need to meet. Firstly, you must have a professional seller account on Amazon.

Additionally, your products should be new and available for purchase through Prime or Fulfilled by Amazon (FBA). Furthermore, you need to maintain good performance metrics like order defect rate, cancellation rate, and late shipment rate.

Meeting these criteria will enable you to create powerful PPC advertising campaigns that drive traffic to your product listings and increase brand awareness.

Ad Format

Amazon Sponsored Products and Sponsored Brands have different ad formats that cater to specific advertising goals. Sponsored Products utilize a product listing format, where advertisers can promote individual products within search results or on product detail pages.

These ads appear with a "Sponsored" label and feature a product image, title, price, and customer ratings.

On the other hand, Sponsored Brands take a brand-focused approach by showcasing multiple products from the same brand in one advertisement. They appear as headline banners above search results or within relevant shopping results pages.

With this format, advertisers can include their logo, customized headline text, and three featured products.


To run Amazon Sponsored Products and Sponsored Brands ads, there are costs involved. With Sponsored Products, you pay for each click on your ad, using a pay-per-click (PPC) model. The cost per click varies depending on factors such as competition and bid amount.

On the other hand, Sponsored Brands offer a cost-per-click model as well, but with the added option to set a daily budget for your campaign. This allows you to have better control over your advertising spend.

It's important to consider your advertising budget and goals when deciding between these two types of ads on Amazon.


Amazon Sponsored Products and Sponsored Brands have different placement options on the Amazon platform. Sponsored Products are typically displayed within search results and product detail pages, while Sponsored Brands can appear at the top, bottom, or alongside search results.

This means that both types of ads have good visibility and can reach potential customers at crucial stages of their shopping journey. By strategically placing your ads, you can increase brand visibility and drive more traffic to your product listings, ultimately boosting sales and maximizing the overall conversion rate for your advertising campaigns.

Maximizing the Potential of Amazon Sponsored Ads

Learn how to leverage the benefits of Amazon Sponsored Ads and discover effective strategies for success.


There are several benefits to using Amazon Sponsored Products and Sponsored Brands for your online advertising campaigns:

Strategies for Success

To maximize the potential of your Amazon Sponsored Ads and achieve better results, here are some strategies you can implement:

Conclusion and Resources for Advertiser Success

By utilizing the right targeting options and strategies, advertisers can maximize the potential of their Amazon advertising campaigns. For more resources on how to succeed with sponsored ads on Amazon, check out our recommended articles and tools.

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