September 12, 2023
August 5, 2022
Amazon DSP is a demand-side platform that enables advertisers to programmatically buy display, video and audio ads both on and off Amazon, using Amazon’s exclusive first-party audience data.
To buy Amazon DSP/OTT, advertisers have two choices: work directly with Amazon in a managed-service buy, or buy through self-service. In almost every instance, Podean recommends taking the self-service route, and here are five reasons why:
A managed-service campaign requires a $35K budget minimum. However, with self-service you can pick a budget that makes sense for your brand, your retail sales and your objectives, allowing you to test whether the tactic works, then fund based on performance.
When a brand activates a managed-service buy, Amazon charges a 15% management fee. However, Amazon doesn’t break out that cost in the IO, but rather bakes it directly into the CPMs. This can skew performance metrics and misguide budget if you have different budgets for working media vs management costs. Brands can save money by partnering with an agency, providing their management fee is less than 15% of spend.
With managed-service, brands sign an IO for a campaign flight and typically all they’ll receive is an end-of-flight report, and maybe a mid-flight report if they’re lucky. However, self-service offers access to the data and real-time campaign performance.
Additionally, the right campaign structure and management approach means you can gain valuable campaign insights, not just an understanding of how a ‘conversion package’ is performing. Proper segmentation should allow an advertiser to understand the impact of different audiences, creative and placements etc.
Another key advantage is the availability of proper reporting to understand impact. Amazon often reports on Total metrics, but that isn’t always the source of truth for how effectively your media is performing. Controlling how you view and optimize the data is a big advantage of moving DSP/OTT investment to self-service.
One of the biggest advantages to running self-service is the ability to control the strategy and drive performance through real-time optimizations & proactive management. The media is no longer managed by Amazon in an Amazon environment, with no commitment to how frequently analysis and optimizations are performed. Under self-service, you are building a media plan and strategy based on intimate brand knowledge combined with campaign and retail goals.
For endemic brands that also run Sponsored Ads, self-service DSP allows a more holistic approach to media management. Funds can be shifted real-time, based on performance, rather than tied up in an IO for DSP/OTT use only. Managing both platforms allows learnings from each campaign to influence and optimize the other.
Exclusive inventory and value adds – While the majority of inventory and tactics are available through self-service, Amazon does have SOV packages for tentpole events with added-value impressions/placements that are exclusive to a managed-service buy. However, vet this against what you can do against that audience at more affordable buys through self-service.
There’s no escaping the fact that the Amazon DSP UI is somewhat clunky and can be a heavy lift to manage properly, so getting the most out of self-service DSP/OTT requires careful management and serious consideration. Partnering with an agency that understands both Amazon and Programmatic buying will be key to extracting maximum performance from self-service DSP; otherwise you’ll negate all the control you gain from using self-service. Understanding Amazon, but not the performance-marketing element to a DSP buy, simply won’t cut it. But just because an agency knows how to handle programmatic, it doesn’t mean they can navigate and get the best out of Amazon’s DSP.
At Podean, we are intimately familiar with all things Amazon, plus we have experience and expertise in managing programmatic media. We build segmented campaigns to fully understand and optimize between audiences, placements, inventory, and creative to get the most out of Amazon’s DSP and drive results. Through our Retail-Powered Media Planning, we understand DSP’s role against total objectives and help our clients to prioritize funding, all while pivoting our DSP strategy and campaigns to account for retail commitments and challenges.
The advantages to starting out with, or transitioning to, self-service DSP are abundantly clear, but fully exploiting those advantages requires knowledge, expertise and resources that many brands simply don’t have. Partnering with an agency that possesses all of those things can unlock performance, control and insight that will transform the way you use – and, crucially, benefit from – Amazon DSP and OTT.
September 12, 2023
September 12, 2023
August 5, 2022
Emily…
James comes to Podean with a wealth of marketplace knowledge having worked at Amazon Corporate for 5+ years. He worked in many different roles and groups during his time there from Seller Support to Vendor Management. From recruiting and onboarding 3P sellers to new categories, handling highly escalated executive level contacts, and managing vendor relationships he brings an inside understanding of how Amazon works. James is passionate about online retail and brings a client and customer centered approach as the Head of US Retail Operations. Before his e-commerce focused life, James worked across industries that have always focused and delivered results in customer service, account management, and inventory management.
With more than 15 years of experience Alejandro has led some of the most edgy projects in the LATAM region and has built-up high-performance teams from both agency and brand sides. Working with Havas he put together a Consumer Engagement unit for Pepsi. He led a WPP digital solution for L’Oréal and while working with Mediacom he redesigned Coca-Cola’s media team. Most recently he was a fundamental part of Danone’s media transformation into a brand salience unit. He was born and raised in Mexico City, loves being outdoors, listening to music and spending time with his 7-year-old daughter.
Danielle leads media globally for Podean. She previously led the Amazon and e-commerce division at performance marketing agency, Merkle (part of Dentsu). Danielle has deep expertise across all facets of Amazon advertising – DSP, sponsored ads, audio, out of home and beyond. She has delivered significant growth for some of the world’s largest brands including Nestle, managing tens of millions of advertising spend on their behalf.
Before Podean, Travis Johnson was Founder and President of Dentsu’s Amazon-focused consultancy, Sellwin. Prior joining Dentsu he was Global CEO of Ansible Mobile in New York, and also held CEO positions in Australia for media agencies UM, Initiative and Cadreon. He was an Adweek Media Allstar in 2017 and has won over 50 International Awards across his career.
Maddie leads our client management team and also marketing for Podean. Maddie’s team operates as an extension of our client’s teams – anticipating their needs, thinking proactively, and always delivering on time. Maddie is also responsible for all aspects of Podean marketing, from blogs and email newsletters to PR, content, and advertising.
Lizzy manages the Podean media team across any, and every, media solution offered by Amazon and other marketplaces. Whether it’s search/sponsored ads, DSP display and video, Twitch, audio or activations we have the experts to deliver. Every client that her team has worked on has seen a step-change in media effectiveness and sales versus their previous operations.
Jonathan Hawkins leads Podean’s European operations, working with clients spanning all categories. His team assists brands with every aspect of setup and optimization across the region including supply chain advice, logistics, retail operations, analytics and media management. P Before joining Podean, Hawkins was Commercial Director of Square Up media, owners of media properties including Escapism, Foodism and Square Mile. During his decade at Square Up he led editorial, content and most recently commercialisation and sales with a focus on digital products and ecommerce growth.
We have hand-picked the best and brightest Amazon talent from around the USA and the world. Our delivery team of 6 New York based, and 17 Amazon and marketplace marketing specialists ensure our clients receive the best campaign performance. They are experts in retail management, performance media optimization, but also video, analytics, AMC, voice, creative and higher impact executions.
Ashley has covered all aspects of digital marketing in his career, having led digital media for Initiative Media Australia, then managed a team of cross-functional digital salespeople at Mi9 (MSN) and was most recently the Managing Director of ecommerce conversion optimization software company, Ve. Ashley’s leadership, collaboration skills and entrepreneurial spirit drive the Australian business.
Mark is a 20+ year digital leader and before Podean was EVP at Reprise where he successfully launched IPG’s Amazon Center Of Excellence. Prior to this, Mark led mobile and innovation agency Ansible. Earlier in his career he was the Founder and CEO of Concep, an email and performance marketing agency with offices in the UK, USA and Australia.
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