Traditionally, Amazon's advertising ecosystem was dominated by endemic advertisers—brands that sell their products on the platform. However, the landscape is expanding, and a huge opportunity is emerging for brands that don’t sell products directly on Amazon. It is called non-endemic advertising.
Even if your business doesn't sell products on the world's largest ecommerce platform, you can now tap into Amazon's vast audience through non-endemic advertising. This means brands outside of Amazon's retail offerings can promote their products or services to this expansive customer base in ways they never could before.
Amazon isn’t just big—it’s massive. Here's the reality - Amazon now commands a staggering 37.6% of the U.S. ecommerce market. That's more than Walmart, Apple, eBay, and Target combined.
This underscores the enormous potential for advertisers to tap into its vast customer base. Even if your brand doesn't sell products on Amazon, you can tap into its audience and use advertising tools to engage with millions of potential customers.
In this guide, we'll show you how non-endemic advertising on Amazon works and why it's a big deal for ecommerce brands that are not selling on the platform. Discover a whole new frontier of digital marketing that could drive serious growth for your business, even if you don't sell on Amazon.
Non-endemic advertising refers to ads placed by brands that do not sell their products or services on the platform where the ad appears. In contrast, endemic advertising involves brands advertising their products on the same platform where the ads are displayed.
For example, a financial services company promoting credit cards on Amazon engages in non-endemic advertising. It doesn't sell physical products on the platform, but the ads are strategically placed to reach Amazon's vast audience, using Amazon customer data to target users based on their shopping behaviors, interests, and demographics. This allows the financial services company to connect with potential customers in a highly personalized and relevant way, even though it operates outside Amazon's traditional retail ecosystem.
If your brand is considering expanding its advertising strategy to include non-endemic ads, here are four key reasons why leveraging Amazon's platform can provide significant advantages:
Amazon has first-party data from over 310 million active customer accounts worldwide, with 80% of the users from the United States. This data includes:
For non-endemic advertisers, this data gives significant insights into consumer behavior, enabling highly targeted and personalized advertising campaigns.
Here are some tools that can help you access these valuable insights:
Amazon's advertising platform offers sophisticated targeting options, including:
These targeting options allow advertisers to deliver relevant ads to users most likely to engage with their offerings.
Non-endemic advertisers can leverage various Amazon-owned solutions, expanding their reach beyond the main marketplace:
This multi-channel approach increases brand visibility across different media formats and platforms.
Compared to traditional advertising methods, non-endemic advertising on Amazon can offer a better return on investment (ROI) due to:
By efficiently allocating ad spend and leveraging Amazon's targeting and analytics capabilities, brands can maximize their ROI and achieve their marketing objectives more effectively.
While the opportunities are vast, there are some challenges to consider, including:
Non-endemic advertising on Amazon presents a significant opportunity for brands to expand their reach and engage with a broader audience. By leveraging Amazon's extensive data and advanced targeting, brands that are not selling directly on the platform can still benefit from its vast user base.
You can find more Amazon insights and updates on the AMZ Pathfinder website. AMZ Pathfinder is a leading solutions provider for ecommerce businesses selling on Amazon. They operate on a global scale with an array of international clients and a global team. AMZ Pathfinder offers top-notch services that make products stand out including PPC Advertising, Amazon DSP, Full Account Management, Supply Chain Management, and Google Ads and TikTok advertising to send qualified paid traffic to Amazon.