Struggling to scale your Amazon ads beyond search results?
Many sellers hit a ceiling with Sponsored Ads and wonder how to reach new customers or retarget lost ones. The truth is, relying on Sponsored Products or Sponsored Brands alone can limit your brand’s visibility especially if you’re in a crowded niche.
While Sponsored Ads are great for capturing shoppers already searching for your product, they don’t reach people browsing elsewhere or remind past visitors to come back. That’s where Amazon DSP steps in offering advanced targeting beyond Amazon’s ecosystem.
In this blog, we’ll break down how Sponsored Ads and Amazon DSP work, who they’re best for, and how to choose the right one or combine both to grow your brand. Whether you’re launching a new product or scaling an established one, understanding the strengths of each platform can help you spend smarter and convert better.
What are Amazon Sponsored Ads?
Amazon Sponsored Ads are pay-per-click (PPC) ads that help you promote your products directly within Amazon’s shopping platform. These ads appear on search results pages, product detail pages, and even on competitor listings right where shoppers are already browsing and ready to buy.
How it works:
You choose the products you want to advertise, pick keywords (or let Amazon do it for you), set a budget, and only pay when someone clicks on your ad. The goal is to drive more traffic to your listings and increase sales.
Types of Sponsored Ads:
- Sponsored Products – Promote individual product listings directly in search results.
- Sponsored Brands – Highlight your brand logo and multiple products to boost brand awareness.
- Sponsored Display – Retarget shoppers on and off Amazon based on browsing behavior.
Ideal for:
Sponsored Ads are perfect if you want to increase product visibility, drive sales quickly, and stay competitive in search results. They’re especially helpful for launching new products, pushing seasonal deals, or protecting your bestsellers from competitors. If you’re managing multiple campaigns or trying to scale faster, many sellers turn to Amazon PPC management services to get better results.
What is Amazon DSP?
Amazon DSP (Demand-Side Platform) is an advertising tool that lets brands buy display, video, and audio ads both on and off Amazon. Unlike Sponsored Ads that only show up within Amazon search results or product pages, DSP ads can appear across Amazon-owned websites (like IMDb and Twitch), apps, and even third-party websites.
One of the biggest strengths of Amazon DSP is audience targeting. It uses Amazon’s rich shopping data to reach very specific groups like people who searched for your product but didn’t buy, customers interested in similar brands, or shoppers with certain lifestyles or buying habits. This makes DSP great for retargeting and brand awareness campaigns.
Ideal for:
Amazon DSP is ideal for brands that want to reach a wider audience, especially beyond just shoppers who are actively searching. It’s commonly used by larger brands or advertisers with higher budgets, as DSP usually requires a minimum spend.
Key differences between Amazon DSP and Sponsored Ads
| Aspect | Amazon DSP | Amazon Sponsored Ads |
| Ad placement | On and off Amazon (websites, apps, IMDb, Twitch, etc.) | Only within Amazon (search results, product pages, etc.) |
| Targeting method | Audience-based targeting using Amazon’s first-party data (shopping behavior) | Keyword and product targeting based on search intent |
| Objective | Best for brand awareness, retargeting, and full-funnel marketing | Best for driving direct sales from high-intent shoppers |
| Reach | Reaches shoppers both inside and outside the Amazon ecosystem | Reaches shoppers already on Amazon actively searching for products |
| Control & setup | Managed through Amazon or agencies; limited control | Self-service setup in Seller Central or Amazon Ads console |
| Budget requirements | High budget (typically $10K+); minimum spend often required | Budget-friendly for all sellers; flexible ad spend |
When to choose Sponsored Ads?
Amazon Sponsored Ads are the go-to choice for most sellers especially if you’re focused on boosting visibility, increasing sales, and staying within a flexible budget. These ads appear directly on Amazon in high-traffic spots like search results, product pages, and even competitor listings. That means you’re reaching shoppers who are already looking to buy.
If you’re launching a new product, Sponsored Ads help you get in front of customers fast. You can target specific keywords your audience is searching for or place your product next to competitors. This helps drive early sales, which is key to ranking higher organically on Amazon.
Sponsored Ads are also ideal for brands that want full control over their campaigns. You can easily manage everything from bids and budgets to keywords and targeting in Seller Central. Whether you’re a solo seller or part of a bigger team, these ads are simple to set up and adjust as needed.
They also work well for low to mid-budget brands. You can start small, test what works, and scale as you grow without a large upfront investment. In short, choose Sponsored Ads when you want quick visibility, more control, and scalable results on a budget. They’re great for new sellers, growing brands, and anyone looking to get more eyes (and clicks) on their Amazon listings right away.
When to consider Amazon DSP?
Amazon DSP is a great option when you want to reach customers beyond the usual Amazon search results. Unlike Sponsored Ads, which only show up while people are shopping on Amazon, DSP allows you to target people across the web on websites, apps, and Amazon-owned platforms like IMDb and Twitch.
Here are a few situations where Amazon DSP makes sense:
- You want to retarget shoppers: If someone visited your product page but didn’t buy, DSP lets you show them ads later to bring them back and close the sale.
- You’re building brand awareness: Want to get your name out there? DSP is perfect for creating brand recall by showing display or video ads to people who fit your ideal customer profile even if they haven’t heard of you yet.
- You sell high-ticket or long-consideration products: If people don’t buy your product right away, DSP helps keep your brand top-of-mind throughout their decision journey.
- You have a bigger budget: DSP campaigns typically require a higher minimum spend (often around $10,000). It’s ideal for brands ready to scale.
- You want full-funnel marketing: DSP helps with everything from awareness to retargeting, so it’s a good fit if you want to support each stage of the customer journey.
Can you use both together?
Yes, and in fact, using both Amazon DSP and Sponsored Ads together can give your brand the best of both worlds.
Sponsored Ads are great for capturing shoppers who are already on Amazon and actively searching for products. They help you win the “buy now” moment by placing your products in front of high-intent shoppers right when they’re ready to purchase.
On the other hand, Amazon DSP helps you reach shoppers outside Amazon, build brand awareness, and retarget people who viewed your product but didn’t buy. This keeps your brand in front of customers even after they’ve left Amazon.
When you use both together, you’re covering the entire customer journey from brand discovery to purchase decision. For example, you can use DSP to introduce your brand and then follow up with Sponsored Ads when that same shopper returns to Amazon to buy.
This full-funnel approach boosts visibility, builds trust, and increases your chances of converting more shoppers. So if your goal is long-term growth, using both platforms together is a smart move. Here, you can choose Amazon account management services for your Amazon optimization and PPC management.
Which one is right for your brand?
Choosing between Amazon DSP and Sponsored Ads depends on your goals, budget, and where your customers are in their buying journey.
If you’re a seller looking to increase visibility and drive quick sales, Sponsored Ads are the best place to start. They’re easy to set up, flexible with budget, and target shoppers who are actively searching on Amazon. Sponsored Products, Sponsored Brands, and Sponsored Displays can help you appear in search results, on competitor listings, and more.
On the other hand, if your goal is to build long-term brand awareness, retarget interested shoppers, or reach new audiences beyond Amazon, Amazon DSP is a better fit. It’s great for reminding people who’ve visited your product but didn’t buy, it or introducing your brand to shoppers browsing similar items on other websites. Just keep in mind that DSP usually requires a higher budget and is often managed by agencies or Amazon’s ad team.
You can also use both together with Sponsored Ads to capture high-intent traffic and DSP to grow your reach and retarget. The right mix depends on your growth stage and marketing strategy.
Which ad strategy wins for your brand?
Both Amazon DSP and Sponsored Ads offer powerful ways to grow your brand, but the right choice depends on your goals and budget. Sponsored Ads are perfect for quick wins, product launches, and sellers working with flexible budgets.
Amazon DSP, on the other hand, is ideal for long-term growth, retargeting, and brand awareness beyond Amazon. Want the best results? Use both together for full-funnel coverage.
Not sure where to start? Our Amazon consulting agency can help you craft a strategy that fits your brand. From campaign setup to optimization, we’ll make sure your ads drive real results on and off Amazon.