Many advertising possibilities are available to brands on Amazon, including Sponsored Display ads and Demand Side Platform (DSP) ads. Advertisers who sell Amazon products can make their products more visible and stay ahead of their competitors by using these ad types. We will compare Amazon Sponsored Display ad campaigns with DSP ad campaigns in today’s blog post.

It is important for those brands new to Amazon advertising to clearly understand the differences and similarities between the Amazon Sponsored Display advertisements and DSP ads. When optimizing your advertising strategy, you must understand how the two advertising solutions work to make the best choice. If you are looking for Amazon PPC management services to advertise your products, contact us at Urtasker.

What Are Amazon Sponsored Display Ads?

Using PPC ads, brands can reach their audience using Amazon Sponsored Display ads remarketing, product targeting, and shopper insights. Thus, advertisers can advertise to customers who have purchased items from their catalog using this type of advertisement. These ads can be shown to people viewing the products of Amazon businesses, looking at similar things, or searching for products using specific keywords.

A Sponsored Display advertisement is served via the Amazon Advertising Console and is solely responsible for facilitating conversions within the Amazon ecosystem. I am going to ask you to tell me where Amazon Sponsored Display advertisements can be viewed? In addition to appearing on product detail pages, customer review pages, and search results pages on Amazon, Sponsored Display Ads also appear within the Amazon app. An Amazon PPC agency can help you in a better way to set up sponsored display ads. 

What Are DSP Ads?

Through Amazon’s Demand-side platform, Amazon’s DSP ads reach users both on and off Amazon. Purchasing DSP ads across different platforms is possible programmatically. This includes Amazon, social media sites, websites operated by third parties, mobile apps, and online video channels. The main types of DSP ads are display advertisements, video advertisements, audio advertisements, over-the-top video advertisements, and dynamic e-commerce advertisements.

Two options are available through the Amazon DSP program: managed self-service and Amazon managed services.

Listed below are six key differences between DSP ads and sponsored display advertisements.

As a demand-side platform (DSP) and sponsor of display ads, Amazon enables advertisers to reach their target audiences on and off Amazon. Each of these ad types is compatible with several other platforms in addition to In addition to these platforms, there is a range of other services and apps available, such as third-party exchanges, published partners, and streaming services. In terms of their eligibility, their cost structure, and to some extent, their degree of creative control, all of these have been found to differ.

  1. Sponsored advertising and DSP eligibility

A DSP differs from Sponsored Display because it is intended for brands that do not sell directly on Amazon, one of the biggest differences between the two. Sponsored Display advertisements can only be purchased through Amazon. Using Sponsored Display ads on Amazon’s marketplaces can improve sales and brand awareness for advertisers and help them improve sales. There may be ads appearing outside the Amazon Marketplace. However, all traffic will be directed back to your Amazon listings.

There are three ways DSP advertisers can use DSP ads: they can drive traffic to an Amazon product listing, or they can use DSP ads to refer visitors to an external URL that has no affiliation with Amazon. It essentially means that Amazon’s audience can be reached through DSPs even if brands do not sell on Amazon themselves.

  1. Sponsored Display and Display Service Costs

Costs associated with each advertisement should influence how you plan to use them and measure their effectiveness. Cost per mille (CPM) is the pricing structure for DSP ads. You pay this amount to have 1,000 impressions of your advertisements delivered to a single user. The sponsored advertisements operate using a Pay Per Click (PPC) model based on your ads’ cost per click.

  1. DSP and Sponsored Display Minimum Investment

Sponsored Display ads direct traffic to your Amazon listing to achieve a low barrier to entry. A brand can easily begin spending $1 and ramp up its expenditure overtime before committing to the program regarding the minimum spend.

The DSP technology does, however, require significant financial investment if you’re going to use its advanced reporting and audience analytics features. The self-service advertising solution is needed to be used every month for a minimum budget of $10,000 per month.

A minimum monthly spend of $35,000 is required for the DSP option of Amazon Managed Services. As a result of this additional investment, programmatic advertising experts can fine-tune ad campaigns to reach the target audience successfully. A little tip is to save shipping costs by consulting first class vs priority mail for your prodcut and use the money over sponsored Ads. Advertisers can enter Amazon’s DSP program through Sponsored Display ads, but it does require a higher investment.

  1. Control over creative work

Advertisers can customize creatives such as headlines, logos, images, and other elements of Amazon DSP ads. That’s why you can personalize the visual aspects of your website to the likings of your buyers to make them more receptive to your product. However, sponsored display ads do not allow you to customize them. Depending on the products you have purchased from Amazon, these ads are generated automatically on the basis of information about those products.

  1. Using DSPs and sponsored advertising to target specific audiences

Three targeting options are available when using Sponsored Display ads: product targeting, remarketing views, and audience interests. With Sponsored Display, advertisers are not required to create custom audience segments instead of focusing on automated retargeting and basic audience segments.

DSP ads are the best option for advertisers to build custom audiences. With Amazon’s Demand Side Platform, advertisers can create personalized segments based on Amazon user activity and demographic data. Custom audiences can also be created with information obtained directly from the customer. Therefore you can create highly targeted advertising segments that are contextual, custom-built, and highly tailored.

  1. Continuum of learning

Advertisers don’t necessarily need to hire Amazon ad agencies to launch and manage Sponsored Display Ads. However, DSP advertising is complex, especially for new advertisers, so new advertisers need to be extra careful. Consequently, brands might find it necessary to engage with Amazon advertising agencies to provide them with a reliable service.


There are many advantages to both types of ads, but they can also be used separately or in combination for great results. Amazon’s DSP and sponsored display advertisements are contrasted in this article.

No matter what experience level you have with Amazon DSP advertising or how new you are, working with a professional agency is in your best interest. A professional marketing agency is aware of how to develop marketing campaigns that are effective when it comes to Pay Per Click campaigns. If you are looking for PPC guidance on doing DSP or sponsored display ads for your product listings, reach us at Urtasker.

By Manali