Are you looking to increase revenue and breakthrough scaling plateaus on Amazon? 👊
Demand-side platform (DSP) is the way to go.
DSP is CPM (cost per thousand impression) based, meaning it’s easier to quickly ramp up spend when compared to sponsored product ads that are capped on the keyword volume and your relevancy for that keyword.
Not to mention, Amazon DSP also gives you the ability to run video ads on many placements, including Prime Video and Twitch. 🎮
Let’s get into it… 👇
🧐 When should you launch DSP?
As a very rough rule of thumb, once you’re over $75k/month in revenue, you should be considering it.
At this level, you’ll typically have a large enough retargeting audience that will justify $3-5k spend/month.
The Amazon Experts recommend brands starting with the following:
- Retargeting audiences. This is the lowest hanging fruit to start generating revenue and prove out DSP for your brand.
- Competitor retargeting. People who have viewed but not bought your competitors' products.
- Contextual targeting. People Amazon had identified as browsing similar products and categories.
🚨 The Pilothouse Amazon Team recommends against using Amazon Managed DSP due to the lack of control and higher budget requirements.
Using a partner that has access to self-managed DSP gives you direct control over budget, audiences, and campaign structure, along with greater flexibility to scale up or down based on performance.