TL;DR
- Amazon DSP helps UK e-commerce brands reach audiences both on and off Amazon using real shopper data.
- It’s ideal for medium to large brands looking to build awareness, retarget shoppers, and scale across channels.
- Ads include display, video, and audio formats shown on Amazon platforms and third-party sites.
- DSP uses real-time bidding to target the right customers and optimize campaigns automatically.
- Key benefits include broader reach, better targeting, campaign scalability, and support for product launches.
- Common mistakes include unclear goals, poor targeting, weak creatives, and neglecting campaign optimization.
Why Amazon DSP?
Amazon DSP is a powerful advertising platform that helps brands reach the right audience at the right time, both on and off Amazon. Unlike traditional ad tools, it uses Amazon’s shopper data based on real browsing and buying behavior to deliver highly targeted ads across websites, mobile apps, and Amazon-owned platforms like Fire TV and IMDb.
It’s not just about visibility. Amazon DSP ads allow you to guide customers through every step of the buying journey from awareness to conversion. Whether you want to retarget people who viewed your product or introduce your brand to new audiences, DSP makes it easy.
With automated bidding, real-time optimization, and detailed reporting, you get better control over performance and budget. It’s especially useful for brands looking to scale, build awareness, and drive sales across multiple channels. If you’re serious about growing your brand in a competitive market, Amazon DSP gives you the tools to advertise smarter and reach further.
Who should use Amazon DSP?
Amazon DSP is ideal for brands that want to go beyond basic search ads and reach a wider audience across multiple channels. It’s best suited for medium to large businesses with bigger marketing budgets, especially those focused on long-term brand growth and customer retention.
If you’re launching new products, looking to boost awareness, or want to re-engage past visitors, DSP offers advanced targeting and retargeting options. It’s also a great fit for brands selling on or off Amazon, as it helps drive traffic and conversions from across the web. For the best results, consider working with an experienced Amazon DSP consultant.
How does it work?
A DSP works by using real-time bidding (RTB) to buy ad space. When someone visits a website, the DSP quickly checks if that person matches the target audience. If they do, it bids for the ad spot within milliseconds. If the bid wins, the ad is shown right away.
This whole process is automatic and powered by smart technology that makes fast decisions based on data. Advertisers also get full control over who sees their ads, how much they spend, and where the ads appear. This helps them reach the right people and meet their goals. Because everything happens in real time, the DSP can adjust and improve campaigns while they’re running, helping ads perform better over time.
What ads can I buy through Amazon DSP?
With Amazon DSP, you can buy a variety of ad formats to reach your audience both on and off Amazon. These include Amazon display ads, video ads, and audio ads. Display ads appear on Amazon’s platforms like the homepage, product detail pages, and also on third-party websites and apps.
Video ads can be shown on Amazon’s streaming services like Fire TV, IMDb, or across the web. Audio ads play on Amazon Music (ad-supported tier). Each format helps you connect with customers at different stages from raising brand awareness to driving conversions making DSP a flexible and powerful tool for advertisers.
Difference between DSP and Amazon Sponsored Ads
| Feature | Amazon DSP | Amazon Sponsored Ads |
| Ad placements | On and off Amazon (third-party websites, apps, Fire TV, IMDb, etc.) | Only on Amazon (search results, product pages, and Amazon-owned pages) |
| Targeting method | Audience-based (uses Amazon’s first-party shopper data, interests, behavior) | Keyword-based, product targeting, audience-based (limited) |
| Ad formats | Display ads, video ads, audio ads | Sponsored Products, Sponsored Brands, Sponsored Display |
| Access | Self-service (for experienced advertisers) or through a managed service | Direct access via Amazon Ads console |
| Cost structure | CPM (Cost Per Thousand Impressions) | CPC (Cost Per Click) |
| Retargeting | Yes – strong retargeting capabilities across the web | Limited retargeting options within Amazon only |
| Reach | Broader reach – both Amazon and external sites | Limited to Amazon’s ecosystem |
| Use case | Full-funnel marketing – awareness, consideration, and retargeting | Mid-to-bottom funnel – intent and conversion focused |
| Campaign complexity | More advanced – requires expertise to manage and optimize | Easier to set up and manage |
| Reporting | Advanced reporting and insights across multiple platforms | Standard reporting within Amazon |
| Ideal for | Larger brands or those looking to scale brand presence and retarget shoppers | Sellers focused on driving sales directly on Amazon |
How Amazon DSP helps UK e-commerce brands
- Reaches new audiences beyond Amazon
Amazon DSP allows you to place ads not just on Amazon, but also on third-party websites, mobile apps, and streaming platforms like IMDb and Fire TV. This helps you connect with potential customers even if they’re not actively shopping on Amazon.
Example:
If you’re selling skincare products, you can run banner ads on popular beauty blogs or wellness apps even if the shopper isn’t on Amazon yet. This helps you reach people who are likely to care about your brand but may not know it exists.
- Uses Amazon’s first-party shopper data
One of the biggest advantages of Amazon DSP is access to Amazon’s first-party data. This includes detailed insights into what people are searching for, browsing, and buying. You can use this data to target the right audience with better accuracy.
Example:
If you’re selling coffee beans or accessories, you can target people who recently bought a French press or a coffee grinder. These shoppers are much more likely to be interested in what you’re offering.
- Improves brand visibility with display and video ads
DSP supports eye-catching display and video ads that can increase brand awareness and keep your products top of mind. These ads appear across a variety of platforms and devices, helping you build a stronger brand presence and increase your Amazon product ranking.
Example:
If you’re selling fashion, you can run a short video ad showcasing your new clothing line on Fire TV or IMDb. It’s a great way to introduce your brand to shoppers when they’re watching content on their smart TVs.
- Retargets shoppers who didn’t convert
If someone views your product but doesn’t make a purchase, Amazon DSP allows you to retarget them with ads. This reminder can bring them back and encourage them to complete their purchase.
Example:
If you’re selling fitness equipment and someone visited your Amazon listing for resistance bands but left without buying, you can retarget them with a reminder ad later while they browse the web.
- Supports product launches and promotions
Launching a new product? DSP is great for creating buzz. You can run campaigns that build awareness before the Amazon new product launch and drive traffic once the product goes live.
Example:
If you’re launching a new smartwatch, you can run ads before the launch to build curiosity, and then switch to a “Now Available” ad once it goes live with a special launch discount.
- Drives high-intent traffic to product listings or websites
With precise targeting, you can bring in shoppers who are more likely to convert. Whether you’re sending them to an Amazon listing or your own website, DSP helps attract people who are already showing interest in your type of product.
Example:
If you’re selling natural supplements, DSP lets you target health-conscious shoppers and send them directly to your Amazon listing or to your Shopify store if that’s where you want traffic.
- Helps scale campaigns across devices and platforms
Amazon DSP lets you run ads across desktop, mobile, and connected TV. This means your campaigns stay consistent and effective across every screen your audience uses.
Example:
If you’re selling home décor, a shopper might see your ad on their phone during lunch, then again on their laptop in the evening, and once more on Fire TV all reinforcing your message without extra effort.
- Enhances customer loyalty with targeted messaging
You can also use DSP to target repeat customers with loyalty offers, new product announcements, or upsell messages helping to build long-term relationships.
Example:
If you’re selling pet treats, you can run a “Back in Stock” or “New Flavour” campaign to customers who bought from you 30 or 60 days ago, offering them a special deal to reorder.
- Aligns with both on-Amazon and off-Amazon strategies
Whether you sell on Amazon or through your site, Amazon DSP works alongside your existing strategy. It supports both brand awareness and performance marketing goals, making it a flexible option for UK e-commerce brands looking to grow.
Example:
If you’re selling eco-friendly cleaning products, you can run campaigns that boost your Amazon traffic during Prime Day, then switch to website-focused campaigns during slower periods.
Common mistakes to avoid with Amazon DSP
- Not defining clear goals
- Targeting too broadly
- Ignoring creatives
- Not retargeting
- Setting and forgetting campaigns
- Overlooking mobile and CTV placements
- Not using frequency caps
- Skipping A/B testing
- Relying only on one strategy
- Neglecting performance reports
Wrapping up
Amazon DSP is a great tool for UK e-commerce businesses that want to reach more people and grow their brand. It helps you show ads both on and off Amazon, using real shopper data to target the right audience at the right time. Whether you’re launching a product, retargeting visitors, or building brand awareness, DSP gives you more control and better results.
But to get the best out of it, you need the right setup and strategy. That’s why many brands choose to work with our Amazon advertising experts. We can help you plan campaigns, manage budgets, and improve performance over time. If you want to go beyond basic ads and scale your marketing, start using Amazon DSP with expert support today and see the difference it makes for your brand.
