Amazon introduces sponsored product ads to third-party apps

Amazon is broadening the reach of its cost-per-click Sponsored Products ads by extending them to selected third-party apps and websites. This expansion, announced by the company on August 16, means advertisers using Sponsored Products ads can now have their content featured on partner platforms like BuzzFeed, Pinterest (partnered with Amazon in April), Hearst Newspapers, Raptive, and well-known brands like Mashable and Lifehacker from Ziff Davis.

Placement of these ads will be based on contextual relevance and pre-established cost-per-click parameters. This strategic move comes as part of Amazon’s ongoing commitment to enhancing its current Sponsored Products ads offering, aligning with the rapid evolution of the digital landscape and the rise of retailers launching their advertising ventures.

Colleen Aubrey, Senior Vice President of Amazon Ads Products and Technology, stated, “Sponsored Products has always been about helping customers discover products they may love.” And added, “We are excited to now apply what we’ve learned about connecting customers and products in meaningful ways to a range of great websites and apps.”

Similar to the existing functionality of Sponsored Products ads, these placements on third-party platforms will be carefully curated to ensure they resonate with consumers, maintain relevance to the page context, and adhere to the brand’s predetermined cost-per-click parameters. Advertisers won’t need to take additional steps, and the ads will be triggered when advertised products are in stock. These ads will directly link to the corresponding Amazon product pages, providing consumers with comprehensive information including ratings, Amazon Prime eligibility, and pricing.

While the launch includes only a handful of third-party sites and apps, Amazon plans to take an incremental approach to expansion. The company’s ongoing enhancements to its ads infrastructure, which encompasses machine learning algorithms, advanced bidding controls, and a broader array of campaign targeting parameters, reflect Amazon’s commitment to staying at the forefront of effective digital advertising.

This extension of Amazon’s Sponsored Products ads arrives during a pivotal moment for the company’s advertising efforts. In the second quarter, Amazon witnessed a 22% year-over-year growth in advertising sales, totaling $10.7 billion. This impressive growth, attributed in part to the integration of sophisticated machine-learning models, underscores Amazon’s strong position in the flourishing retail media domain.