Three Ways to Utilize Demographics Analytics for Your Amazon Ad Campaign
by Ron Dod
Home | Blog | Three Ways to Utilize Demographics Analytics for Your Amazon Ad Campaign
As we’ve noted before in our ultimate wishlist for Amazon marketing features, Amazon is a powerful ad platform for eCommerce sellers; however, the company still has a long way to go until its product rivals the likes of Google and Facebook.
While Amazon has a lot of catching up to do in the marketing features department, the company is doing just that. As part of an initiative to provide third-party sellers with more information, the company rolled out the new Brand Analytics feature, which Amazon describes as a “…feature that contains valuable insights to empower Brand Owners to make informed, strategic decisions about their product portfolio and marketing/advertising activities.”
This new integration with Seller Central offers merchants access to Search Term Reports and Search Frequency Rank data. While initially restricted to those “who own a brand or who serve as an agent, representative, or manufacturer of a brand,” third-party sellers can also access the new feature.
However, what might be the most exciting development is that Amazon recently announced an addition to Brand Analytics: Demographics data.
Amazon Brand Analytics Expands
While it has only been a few months since Brand Analytics was rolled out to a specific subset of Amazon sellers, the company has since broadened the scope of those who can access the feature, as well as augmenting Brand Analytics with two new features.
For those who are unfamiliar, Brand Analytics offers free analytics reports through Seller Central to assist sellers in becoming more competitive. For instance, through Brand Analytics’ Amazon Search Tools function, sellers can view the leading one million keywords searched through the platform. Moreover, merchants can see the three most-clicked ASINs for each term.
In addition to this new level of transparency, Amazon is now providing its retailers with the supplemental features of Item Comparison and Demographics reports.
The new aggregate demographics data gives sellers access to insights about their audience such as age, income, gender and other details (more on these momentarily). This information can help serve as a springboard for bolstering sales and Amazon rankings. Moreover, such data can aid retailers in growing their customer base outside of Amazon as well.
By providing merchants with knowledge on its consumers, Amazon is actively alleviating one of the biggest frustrations for third-party sellers, which is restricted access to customer data. While brands that utilized Vendor Central have had the option to pay for demographics data through the Amazon Retail Analytics Premium subscription service (which, rumor has it, costs around $30,000 annually), sellers have historically been unable to access consumer-related data.
As a result, sellers can have a difficult time marketing to potential customers who utilize Amazon’s marketplace. Now, however, the new demographic insights can help aid retailers in refining their marketing strategies both on and off Amazon.
With that, let’s take a closer look at what demographic information is provided and explore how Amazon sellers can leverage this data to enhance their brand’s impact on online audiences.
Amazon Demographics Analytics: A Closer Look
No matter the industry or niche, intimately understanding one’s audience is crucial to earning more sales. With Amazon’s new demographics analytics information, retailers can finally gain the perspective they need to enhance their performance on Amazon.
Amazon’s demographics feature provides sellers with data regarding:
Gender: Data on if a seller’s products appeal more to men or women.
Education: This category ranges from “Less than High School” to those who possess a master’s degree or above.
Marital Status: While other factors hint at this data point, marital status informs sellers on what percent of customers are single versus married.
Sales Per Household Income: Covers the income range of less than $50,000 to over $250,000.
Sales Per Age Group: Includes the sales totals of six groups ranging from 18-24 up to 65 and over.
Possessing this data enables merchants to better their Amazon PPC effectiveness in a variety of ways.
How to Leverage Amazon Demographics Data
Using the above characteristics, there are several ways in which merchants can utilize the data to increase their traffic, sales and overall marketing effectiveness.
Crafting Customer Personas
Using the information outlined above, retailers can organize the data points into persona profiles. For the uninitiated, HubSpot defines buyer personasas:
“A semi-fictional representation of your ideal customer based on market research and real data about your existing customers… A detailed buyer persona will help you determine where to focus your time, guide product development, and allow for alignment across the organization. As a result, you will be able to attract the most valuable visitors, leads, and customers to your business.”
By crafting customer personas from the demographic information provided by Amazon, third-party sellers can better speak to their audience and convert them into customers. This can be achieved via targeted visuals, resonant writing styles and direct wording to better optimize product listings and tailor advertising efforts to suit potential buyers specifically.
Create More Targeted Ads
When retailers understand whom they are selling to, such information enables them to craft more effective ads that tout more refined messaging that better resonates with shoppers.
Given the hyper-competitive nature of Amazon’s marketplace, merchants are continually seeking out any possible advantage. By utilizing Amazon’s demographic information, retailers can generate campaigns that are more capable of earning a significant ROI.
For instance, if a retailer finds out that single women with bachelor’s degrees are their primary audience, it is likely that they would employ a difference in language and product colors than if married men were the prime movers of merchandise.
Funnel Traffic from External Platforms
While buyer personas and refined ad messaging can support efforts on Amazon, the same demographic information can aid retailers in sending potential customers from other popular platforms to product pages on Amazon.
By taking the demographic information provided by Amazon and applying those characteristics to lookalike audiences on Facebook, sellers can target similar customers to those who have already purchased their products. This tactic enables retailers to get their merchandise in front of new shoppers who are likely to click-through and convert, thereby upping the merchant’s product page traffic and sales.
Additionally, Instagram and YouTube provide viable advertising options for Amazon sellers to consider. Alternatively, retailers might opt to use the demographics data to reach consumers via Google Ads. No matter which route is selected, using customer information to drive ad creative and targeting means that merchants are highly likely to garner increased sales.
Therefore, the overarching advantage to gaining this demographics data from Amazon is the ability to accurately target consumers inside and outside of the Amazon marketplace to generate more sales on the platform.
Amazon’s ad platform still has a long way to go until it catches up to the likes of Facebook and Google. However, it is encouraging to see the company begin releasing new insights for sellers to utilize to drive increased revenue.
Use the new demographics data to help better understand your target audience and craft more refined and resonant ads that are increasingly likely to drive clicks and conversions.
However, if you need help in digging through the data and generating alluring new adverts, Visiture’s Amazon PPC management team can assist in building out new campaigns that speak directly to your most interested audience.
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Ronald Dod is the Chief Marketing Officer and Co-founder of Visiture, an end-to-end eCommerce marketing agency focused on helping online merchants acquire more customers through the use of search engines, social media platforms, marketplaces, and their online storefronts. His passion is helping leading brands use data to make more effective decisions in order to drive new traffic and conversions.
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