Custom Microchips: How Amazon is Leading The Generative AI Race

Hot off the Amazon Grill???

Digging deep into Amazon Marketing Cloud (AMC)

Amazon Marketing Cloud (AMC) is not just a game changer; it's a whole new playing field for Amazon sellers. Think of it as your behind-the-scenes strategist, giving you a panoramic view of customer behavior like never before. This isn't about guessing games anymore; it's about data-driven, insightful strategies that can revolutionize how you connect with your audience.

Why is AMC a must-have tool in your arsenal?

• Comprehensive Customer Journey Analysis: AMC goes beyond traditional advertising. It's like having a GPS for customer behavior, guiding you through the complex journey a customer takes, which typically spans 7-8 days across various touchpoints. This isn't just about clicks and purchases; it's about understanding the story behind each decision.
• Targeted Audience Building: With AMC, you can delve deep into your audience's mind. Imagine knowing who searched for your products but didn't buy or who wishlisted them for later. This level of targeting was once a dream, but with AMC, it's your new reality.
• Exclusive Insights: AMC offers unique data, especially with 'new-to-brand' metrics for sponsored product ads. This means you can see which keywords are not just attracting clicks but driving actual, incremental sales.
• Historical Data Advantage: The sooner you start with AMC, the better. It backfills 13 months of data, offering a rich historical perspective to inform your future strategies.
• Free Accessibility: If your monthly spend on Amazon Sponsored Ads is over $10k, AMC is not just beneficial; it's essential. And the best part? It's free to use.

But how do you get started?

Join me and Danny McMillan on our exciting podcast journey. In our discussions, we don't just chat; we delve deep into the world of Amazon Marketing Cloud (AMC). We meticulously dissect AMC's capabilities, guiding you through the intricacies of analyzing customer journeys, understanding the impact of ad exposure, and identifying gateway products. But that's not all. We also explore strategies to maximize Customer Lifetime Value (CLTV), a key metric for scaling your business on Amazon.

By tuning into our podcast, you're not just listening to a conversation; you're equipping yourself with knowledge that can catapult your Amazon business to new heights. Join us to transform your approach to Amazon selling and unlock the full potential of your business!

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How Amazon Is Making Custom Chips To Catch Up In Generative A.I. Race

In the bustling tech landscape of Austin, Texas, something remarkable is unfolding in an unassuming office building. A dedicated team is engrossed in designing two revolutionary types of microchips, a venture that propels Amazon into the forefront of the AI revolution. This is not just another tech story; it's a glimpse into the future where Amazon, traditionally not a chipmaker, is challenging the status quo.

Why Amazon's Chip Development is a Game Changer

• Breaking New Ground: Unlike standard chips from Nvidia or AMD, these custom chips are being crafted to power data centers and catalyze the burgeoning AI boom. Amazon Web Services (AWS), Amazon's most lucrative division, spearheads this initiative, underlining a strategic shift towards in-house technology development.
• Competing with the Giants: In a bold move, Amazon's Austin chip lab is directly taking on industry titans like Intel and Nvidia. The focus? To develop bespoke microchips that promise cost reduction and enhanced performance. This is not just an innovation; it's a strategic maneuver to assert dominance in the highly competitive tech industry.
• A Decade of Innovation: Amazon’s journey into custom silicon started in 2013 with the Nitro chip, now a staple in AWS servers. The introduction of the Graviton chip in 2018 marked a significant milestone, challenging traditional x86 CPUs. But it's the AI-focused chips, Trainium and Inferentia, that are truly groundbreaking. Trainium, in particular, is revolutionizing the cost and efficiency of training machine learning models.
• Beyond Chips - A Full AI Ecosystem: Amazon's vision extends far beyond chip manufacturing. AWS is creating a comprehensive AI ecosystem with services like AWS HealthScribe in healthcare, CodeWhisperer in coding, and the extensive SageMaker platform. The $100 million generative AI innovation center is a testament to Amazon's commitment to AI.
• Leveraging Cloud Dominance: Amazon's strategy cleverly utilizes its cloud infrastructure. With vast amounts of data and a strong customer base on AWS, Amazon is uniquely positioned to integrate AI services seamlessly into its offerings.
• Commitment to Responsible AI: In an era where data privacy and ethical AI are paramount, Amazon emphasizes secure and responsible AI development. This approach aligns with global regulatory standards and underscores Amazon's commitment to trustworthy tech evolution.
• A Race for Tech Supremacy: As the AI and custom chip development races heat up, Amazon’s endeavors place it at the heart of this technological transformation. Its venture into custom chip development is not just about competing; it's about redefining the landscape of cloud computing and AI.

Stay Ahead with Amazon's AI Revolution

Are you ready to be part of this exciting journey? Whether you're a tech enthusiast, a business owner, or just curious about the future, now is the time to engage. Dive into the world of AI with Amazon and explore how these advancements can transform your world.

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Nerd Lounge???

Scheduled Rules

As promised here is part two of our examination of different campaign bidding strategies. Last week, we covered the campaign-level bid settings in the Amazon Ad Console. This week we’ll focus on the new Scheduled Rules section. This is the first built-in functionality for dayparting that we’ve ever seen from Amazon so that fact alone is enough to make this an important development and got the attention of us advertising nerds right away!

What is dayparting? In the PPC world it’s the practice of dividing the times when ads are running into several parts, usually hours of the day, and then making changes to the budgets of campaigns or bids of targets based on those divisions. Ad performance for the same product can differ wildy intraday based on when shoppers are seeing the ad, so how much we want to spend and how much a click is worth to us depends on those performance variations.?

Scheduled Rules enable you to increase a campaign’s bids by a percentage during a date range. You set a date range, hours of the day and then your bid increase adjustment and save your rule.

Notice the key word there being increase. This feature makes no attempt to allow you to decrease bids which is what we ad nerds would expect as the table stakes for any feature-complete day parting tool.

I hear you asking “but how can we make a decision based on hourly data?” Well, Amazon has a report for that now, too. The Sponsored Products campaign report has an Hourly time unit option so you can drill down into recent data to see what hours are working best at the campaign level. The more advanced way to find this data is to work with Amazon Marketing Stream. Take a look at these new features and see if the data gives you any clues!

Save The Date???

Amazon Biznes KNOW-HOW Conference (January 12-13, 2024) in Warsaw, Poland, UK

Get ready for the Amazon Biznes KNOW-HOW Conference in Warsaw, Poland, on January 12-13, 2024! Whether you're starting out or scaling up on Amazon, this event is a must-attend.

What can newcomers expect?

• Explore Amazon's endless opportunities.
• Network with top industry leaders.
• Gain valuable insights and tips from Amazon experts.
• Learn to navigate and succeed in e-commerce.

What do Seasoned Sellers Stand to Gain?

• Connect with fellow Amazon enthusiasts.
• Discover cutting-edge tools and strategies.
• Refine your sales tactics.
• Learn to scale efficiently, manage teams, and cut costs.
• Meet Amazon's trailblazers.

Special Highlight

Don't miss our masterclass on Display Advertising and Amazon Marketing Cloud (AMC) – a key to boosting your brand's visibility and ad spend efficiency.

Join us for two days of valuable insights, strategies, and networking in Warsaw. Elevate your e-commerce game. This is your gateway to the big leagues of online business!

MORE INFO >>

Amazon Trending Tidbits???

Amazon and Snapchat Forge Partnership to Enable In-App Purchases

Imagine showcasing your products directly to Snapchat's massive 406 million daily active users. Snapchat shows ads to users when they click through their friends’ “stories” or temporary video or photo posts that can be publicly or selectively viewed for 24 hours. That's right, your items can now be featured in shopping ads within Snapchat, offering a seamless shopping experience for users. This means more eyes on your products, right where the young and tech-savvy hang out!

But here's the real kicker: users can purchase your products without ever leaving Snapchat. This integration simplifies the buying process, potentially skyrocketing your conversion rates. And with in-app features like real-time pricing, Prime eligibility, and detailed product descriptions, your products are poised to shine like never before.?

This isn't just about increased visibility; it's about being part of a cutting-edge shopping experience. As social media platforms evolve into e-commerce powerhouses, your brand stands to benefit immensely. Being visible on Snapchat could mean tapping into a vast, engaged audience ready to shop at a tap.

And let's talk about timing. This move comes as online shopping is peaking and social media influence on buying decisions is undeniable. Your brand could be at the forefront of this shift, leveraging the power of social media to drive sales and brand awareness.

So, Amazon sellers, are you ready to capture the Snapchat audience and give your brand a major boost?

READ MORE?>>

Amazon Business’ State of Procurement Report – 2024 Strategies

Welcome to a groundbreaking insight into the future of procurement! Amazon Business's 2024 State of Procurement Report is a comprehensive and forward-looking analysis that sheds light on emerging trends and strategic shifts in the world of procurement. Whether you're a decision-maker, a procurement professional, or an Amazon seller, this report is your key to understanding the next wave in smart business buying and how it can impact efficiency and overall success. It’s not just about the figures and forecasts; it's about understanding the strategic role of procurement in shaping the future of businesses.

Here’s what you can learn:

• Technology & Optimization Investment: With 98% of procurement leaders planning to invest in analytics and insights tools, automation, and AI, advanced tech solutions are the future. Integrating these technologies into your products and services can make you a top choice for these forward-thinking buyers.
• Sustainability is Key: 85% of decision-makers highlight difficulties in sourcing sustainable suppliers. This is your cue! By aligning your products with sustainability and obtaining certifications like Carbon Neutral or Blue Angel, you can position yourself as the go-to option for these conscientious buyers.
• Strategic Buying: As procurement becomes more strategic, your focus should be on offering products that not only meet immediate needs but also contribute to the long-term goals of these organizations. Think bigger and beyond just selling a product – it's about providing a solution.
• Evolving Market: The report indicates that procurement is no longer just an operational function but a strategic one. Your approach should reflect this change. Understand the strategic objectives of these organizations and how your products fit into this larger picture.
• Embrace the Change: With Amazon Business committed to equipping its vast customer base with innovative buying tools, you should be ready to leverage these tools to enhance your visibility and appeal to this evolving market.

In short, this report is not just a glimpse into the future of procurement; it's a roadmap for you to align your strategies with these emerging trends. Gear up for an exciting 2024, where your products don't just sell but make a strategic impact!?

READ MORE?>>

Thanks for reading!

- Brent

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