Amazon DSP (Demand-Side Platform) allows you to run programmatic display, video, and audio ads on and off Amazon using Amazon’s first-party audience data. Unlike Sponsored Products, DSP is a full-funnel platform designed for brand awareness, retargeting, and re-engagement.
Step 1 | Confirm Eligibility and Access
| • Amazon DSP is available in two ways:
| | 1. Managed-Service Model — run by Amazon Ads team (usually requires ~$35K+ budget).
| | 2. Self-Service Model — accessible through approved DSP agencies or partners (minimums vary).
| • You can read Amazon’s overview and request access here.
| • If you work through an agency, ensure they are an Amazon DSP certified partner to gain reporting and optimization flexibility.
Step 2 | Define Your Objective and Funnel Stage
Before you touch the platform, decide what you want DSP to achieve.
| • Awareness – introduce your brand or product to new audiences.
| • Consideration – retarget users who viewed but didn’t purchase.
| • Conversion/Retention – re-engage past buyers or upsell complementary products.
Each objective affects your ad type, creative, and targeting. Amazon’s official objectives list is available here.
Step 3 | Set Up Campaign Structure
When inside the DSP console:
| 1. Create a new order – give it a clear naming convention (Brand + Campaign Goal + Month).
| 2. Select Ad Type – choose “Display” for image-based creative or “Video” if using motion.
| 3. Set Flight Dates – define your campaign duration. Most DSP campaigns run 2–6 weeks for data optimization.
| 4. Assign Budget – allocate based on CPM pricing. Start modestly if testing ($2K–$5K per flight).
| 5. Define KPIs – impressions, reach, view-through conversions, or new-to-brand sales.
Step 4 | Audience Targeting
Amazon DSP offers very granular targeting using shopping, lifestyle, and demographic signals.
| • In-Market Audiences – people currently researching or considering your product type.
| • Lifestyle Audiences – built from long-term shopping behaviour (e.g., “Fitness Enthusiasts”).
| • Remarketing – target shoppers who visited your product detail pages but didn’t purchase.
| • Contextual Targeting – serve ads on pages with relevant content themes.
| • Lookalike Audiences – find users similar to your existing customers.
To explore targeting capabilities, see Amazon’s audience library here.
Step 5 | Creative Specifications
Amazon DSP supports static and responsive display creatives.
| • Display size options – 300×250, 160×600, 728×90, 970×250, etc.
| • File type – JPG, PNG, or GIF under 200 KB.
| • Headline – up to 50 characters, concise and product-focused.
| • CTA (Call to Action) – “Shop Now”, “Learn More”, or brand-specific action.
| • Landing Page – direct to product detail page or brand store.
Detailed creative requirements are listed here.
Step 6 | Budgeting and Bidding
| • Pricing model – DSP uses CPM (cost per 1,000 impressions). You pay for exposure, not clicks.
| • Bid range – typical e-commerce CPMs range between $2 and $8 depending on targeting and creative.
| • Budget allocation – split spend roughly as:
| | 40 % Prospecting (new users)
| | 40 % Retargeting (viewers but not buyers)
| | 20 % Brand Defense / Upsell
To plan budget scenarios, Amazon offers a calculator here.
Step 7 | Launch and Monitoring
| • Once approved, campaigns go live within 24 hours.
| • Track performance using the DSP dashboard. Focus on:
| | • Impressions and reach
| | • Click-through rate (CTR)
| | • View-through conversions (users who saw an ad then bought later)
| | • New-to-brand sales
| • Check reporting at least twice per week for optimization.
Step 8 | Optimization Techniques
| • Creative testing – run A/B variations of imagery and copy.
| • Frequency capping – prevent ad fatigue by limiting how often users see the same ad.
| • Bid optimization – raise bids on high-performing audiences, reduce on weak ones.
| • Audience refinement – exclude recent buyers or low-value segments.
| • Attribution analysis – track assisted conversions using Amazon Marketing Cloud (AMC) if available.
You can explore Amazon’s DSP optimization resources here.
Step 9 | Post-Campaign Analysis
After campaign completion:
| • Review performance against KPIs: CPM, CTR, conversions, new-to-brand rate.
| • Export detailed reports to compare performance across audience segments.
| • Calculate ROAS (Return on Ad Spend) using attributed revenue.
| • Use learnings to adjust future DSP and Sponsored Ads synergy — DSP for upper funnel, Sponsored for direct conversion.
Template: Amazon DSP Campaign Planning Sheet
| Field | Example |
|---|---|
| Campaign Name | “Omega-3 Launch |
| Objective | Awareness → Consideration |
| Ad Format | Display (300×250, 728×90) |
| Audience | Health Supplements → In-Market + Remarketing |
| Budget | $5,000 Total |
| Duration | 4 weeks |
| KPIs | Impressions 500K |
Key Takeaways
| • Amazon DSP is data-driven and audience-based, ideal for awareness and retargeting.
| • It complements Sponsored Ads — not replaces them.
| • Success depends on creative quality, audience precision, and frequent optimization.
| • Always combine DSP reports with Seller Central performance data for a full ROI picture.