Types and purposes of advertisements and shopping behaviours
11 Mar 2024
Goals based on the marketing funnel
The marketing funnel consists of four main stages: awareness, consideration, conversion, and loyalty. At each of these stages, brands should focus on attracting attention, informing, converting, and engaging customers.
Awareness: At this stage, potential customers become aware of their needs and start looking for suitable products to meet them. Marketing activities should focus on browsing product categories on Amazon and reviewing opinions and recommendations from other customers.
Consideration: Customers consider different product options and conduct thorough research. This includes comparing prices and features of products from various sellers on Amazon, as well as reading reviews and opinions from other customers.
Conversion: Customers make the final purchasing decision. PPC ads on Amazon that offer discounts or promotions can accelerate the purchase decision. Activities at this stage involve adding products to the cart and proceeding to the checkout process.
Loyalty: After a purchase, customers may evaluate their experiences and decide on repeat purchases. Engagement includes assessing product quality and customer service, as well as the possibility of recommending the product to other customers.
Types and goals of advertising
Amazon offers various types of advertising that respond to different marketing goals.
Sponsored Products: These ads aim to increase the visibility of a specific product in search results and promote sales of that product. They have the most significant impact on ranking and indexing.
Sponsored Brands: These ads serve to build brand awareness and promote specific products within the brand.
Sponsored Display: Display ads aim to reach customers on Amazon and outside the platform. Their goal is to retarget users who have already shown interest in our products or similar to ours.
Understanding shopping behaviours
Understanding the types of customer shopping behaviours allows for better market segmentation and tailored advertising to specific needs.
Spontaneous purchases: Customers make quick purchasing decisions, often based on impulse. Marketing strategies should focus on PPC campaigns with low cost-per-click and targeted at keywords related to deals. An example is inexpensive products that do not require much consideration to purchase.
Considered purchases: Customers thoroughly analyse their shopping options before making a decision. In this case, it is worthwhile to use PPC ads with detailed product descriptions and Sponsored Brands ads to showcase the full product portfolio. Considered options include furniture.
Loyal purchases: Customers regularly return to the same brands or products. Sponsored Brands ads can promote a series of products, highlighting new collections and offers from a specific brand. An example of loyal purchases are favourite cosmetics from a brand.
Occasional purchases: Purchases made based on occasions, promotions, and seasonal sales. PPC ads and Sponsored Products should promote these events, highlighting special offers and discounts.
How do goals and shopping behaviours influence advertising campaigns?
Analysing the marketing funnel and shopping behaviours allows for a more targeted and effective use of the advertising budget. For example, at the awareness stage, it is essential to implement campaigns that promote brand and product discovery. This can be achieved through Sponsored Brands ads that appear at the top of search results.
At the consideration stage, when customers compare products and read reviews, it is important to focus on ads that provide more information about the product, its benefits, and differences compared to competitors. Sponsored Products can be used here to promote specific product features or its uniqueness.
At the conversion stage, when the customer is already close to making a purchasing decision, ads should focus on encouraging purchases through promotions, discounts, or exclusive offers. Sponsored Display can be used here for retargeting customers who added a product to their cart but did not complete the purchase.
Finally, at the loyalty stage, it is important to retain the customer with the brand through engaging campaigns, such as ads targeting current customers, showcasing new products or special offers for returning users.
Conclusions
Understanding the marketing funnel and types of shopping behaviours is fundamental to creating effective advertising campaigns on Amazon. This allows brands to tailor their messages and offers to the needs and behaviours of consumers at every stage of their shopping journey. Effective advertising campaigns are those that not only attract attention and convert but also build loyalty and encourage repeat purchases.