What Happened
Amazon is launching a paid search product as it seeks to monetize the heavy ecommerce traffic the site commands. A recent survey shows that nearly half of online shoppers start their search on Amazon, so it is only natural for the ecommerce giant to give Google, the undisputed leader in paid search, a run for its money. In addition to promoted search results, the Seattle-based ecommerce behemoth also says it also plans to create customized pages for brands not selling on Amazon. For example, auto marketers can create detailed product pages on Amazon that offer consumers more product information, reviews, and a link to set up test drives.
In related news, Amazon is also adding virtual Dash Buttons” to the home page of its website and mobile apps. Introduced in April 2015, Dash Buttons are branded, connected physical buttons that Amazon Prime customers can push for a quick reordering. Now with the virtual buttons that Amazon shoppers can customize based on their preferences, Amazon is making one-click habitual reordering even easier and readily accessible.
\What Brands Need To Do
Amazon’s two new products both aim to leverage its massive scale to further its market dominance and lock in online shoppers. For brands selling on Amazon, the paid search ads may be worth a try for a short-term boost in visibility. The Dash Button, on the other hand, is a great tool for brands to develop and maintain consumer loyalty by enabling convenient reordering. For brands with CPG products, it would be wise to work with Amazon to develop their own branded buttons to cultivate a long-term relationship with consumers.With the popularization of connected devices, we expect to see more automatic replenishment services like Amazon Dash pop up in the near future.
Source: AdExchanger & ARS Technina