Amazon US Sponsored Brands video ads continue to perform well. Indeed, they once again outperformed static Sponsored Brand ads in conversion rate as well as click-through rate in Q4 2020, per a report [download page] from Tinuiti.
An analysis of anonymized performance data from Amazon programs under Tinuiti management shows that Sponsored Brands video ads account for one-quarter (26%) of all Sponsored Brands conversions. And, when it comes to conversion rate, Sponsored Brands video ads’ conversion rate was 29% higher than that of static images for the median advertiser. This is somewhat less of a gap than what was seen in Q3 2020, though, when video outperformed static images on this metric by 38%.
The fourth quarter of 2020 also saw Sponsored Brands video ads outperform static ads in click-through rate (CTR), by 442%. This is even more impressive than Q3, when CTR for video ads was 351% higher than for static ads. However, the average order value for Sponsored Brand video ads was slightly lower (-3%) than static ads for the quarter
Although Sponsored Brands ads account for less than one-fifth (17%) of total Amazon Ad Console spend, in Q4 spending on the format grew 91% year-over-year (y-o-y). Sponsored Brands also saw y-o-y growth in sales (107%), clicks (50%) and CPC (20%).
Sponsored Products ads, which accounted for a full 80% of total Amazon Ad Console spend during the last quarter of 2020, experienced more modest growth in spending in Q4, up 25% over Q4 2019. Sales of Sponsored Products saw a lift of 31% y-o-y, while clicks grew by 23%.
CPC for Sponsored Products was up slightly (+1%) during the quarter, after experiencing decreases in Q2 and Q3. The growth in CPC was highest for Sponsored Products in the Automotive & Powersports category (+20%), followed by Health & Personal Care (+18%) and Apparel (+12%).
The full report can be found here.