Amazon’s International sales reached $35.9 billion in Q3 2024!
AMZ Pathfinder
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Off-Amazon Brands, Here’s Why You Need to Explore Non-Endemic Ads Now
If you’re an Amazon seller looking to explore fresh ways to reach wider audiences, our blog with Seller Candy is a must-read. Traditionally, Amazon’s ad space was largely populated by brands that sell directly on the platform. But now, non-endemic advertising—brands that don’t sell on Amazon but want to reach their vast audience—offers new pathways for growth, and this blog explores how non-endemic ads are transforming digital marketing.
Our blog contains insights on why non-endemic ads are a game-changer, especially as Amazon captures an impressive 37.6% of the U.S. e-commerce market. This blog explains how even brands outside of Amazon can tap into its advanced targeting tools, such as Amazon Marketing Cloud and DSP, to access customer data and behavioral insights.
Nerd Lounge ??
AMC awareness remains shockingly low
I spent Monday and Tuesday this week at the Cross Border Summit held in Chiang Mai, Thailand. I took every opportunity to talk to ecom business operators, trying to understand where their concerns lie and what they are excited about in the future. One consistent theme was that nobody knows what AMC is. Now, I understand these people are busy operating their businesses and have a lot on their plates during Q4. They are excused for not paying attention to every Amazon announcement, but this is one they need to know about.
So to review, what is AMC? It’s a suite of tools created to help businesses analyze customer data and optimize their marketing efforts. It integrates data from across Amazon's ecosystem—like advertising, sales, and customer interactions— giving you insights to create targeted, personalized campaigns. The platform helps you measure performance, refine strategies, and drive more efficient marketing spend across channels. Think of it as your Amazon marketing data clean room and laboratory. It's for answering specific business questions and then operationalizing those answers, instead of routine reporting tasks done at a regular cadence.
At Pathfinder, we’ve been experimenting with Amazon Marketing Cloud since July 2022 and tracking its evolution.
AMC has thus far been available for brands that are spending on Amazon DSP, but soon it will be available for all advertisers spending with Sponsored Ads. One benefit of this is the ability to push custom audiences created in AMC to Sponsored Ads and layer them into our targeting efforts. Imagine stacking bids for a keyword against audiences that also match specific criteria. Those shoppers will be much more valuable.
A good example of this is shoppers who have searched keywords relevant to your products but have not seen your listings or interacted with your ads. You would set a bid boost much like that for Top-Of-Search placement to pay more for those more relevant impressions.?
This is only available through the API at this moment but is on the horizon. As is frequently the case, to the early adopters go the benefits ??
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Amazon Trending Tidbits???
Percentage-off coupons can now be applied to up to five items per order
Customers can now apply your percentage-off coupons on up to five items per order, reducing the need for multiple transactions and potentially lowering your delivery costs. In Seller Central, changing “Limit redemption to one per customer” to No allows the coupon to apply to a maximum of five items; selecting Yes limits it to one item per order. For example, with a 10% off coupon on items priced at $50, a customer purchasing three items would save $15 in total, while a purchase of eight items would apply the discount to five, totaling $25. This change does not affect money-off coupons, which remain limited to one use per order regardless of the redemption limit setting.
Amazon Grew North American Sales by 9 Percent in Q3 2024
In Q3 2024, Amazon reported solid growth, with North American sales up 9% year-over-year to $95.5 billion and International sales up 12% to $35.9 billion. Worldwide paid units grew 12%, with third-party sellers contributing 60%, excluding Whole Foods. AWS sales rose 19% to $27.5 billion, supporting an overall net sales increase of 11%, reaching $158.9 billion. CEO Andy Jassy highlighted a promising holiday outlook, citing the success of Prime Big Deal Days and strong Kindle sales, with more offerings planned. These include exclusive NFL and Election Day content on Prime Video, along with new AI and cloud tools set to debut at AWS re:Invent the week after Thanksgiving.
Amazon’s Shopping AI Is Confident and Wrong
Amazon's AI shopping assistant, Rufus, recently became available to all U.S. customers and now makes specific product recommendations, streamlining the shopping process by offering five clickable options for direct purchase. However, Rufus often misses the mark and suggests irrelevant or unsuitable items. As AI systems evolve, Amazon and competitors like Google and Perplexity increasingly focus on improving recommendation accuracy while integrating "buy" options within AI responses. This shift might reshape online retail, as AI recommendations could gradually replace search-driven shopping, granting Amazon and Google more influence over what products consumers see, and shifting brands' focus from SEO to optimizing visibility within AI-driven recommendations.
Thank you for reading!
- Brent
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