Amazon Advertising Glossary — Ad Type
What are Sponsored Brands?
Sponsored Brands are Amazon's brand-building keyword-targeted ad format. They appear as banner ads at the top of search results, as video tiles within search, and as store-spotlight units showcasing multiple ASINs. Sponsored Brands require Amazon Brand Registry and are exclusively for sellers and vendors with a registered trademark. They typically represent 10–20% of total Amazon ad spend in mature accounts and carry a higher ACoS than Sponsored Products in exchange for brand-awareness lift and protected branded-search territory.
Sponsored Brands creative formats
Three creative formats, each suited to different campaign goals:
Product Collection
Banner ad
Logo + custom headline + 3 product images at top of search. Best for showcasing a product line or category bundle. Highest impression volume; mid-range CTR.
Sponsored Brands Video
Auto-play video
Auto-play, sound-off video tiles in mid-search positions. Highest CTR of any Sponsored Brands format (often 2–3x banner CTR). Best for products that benefit from demonstration.
Store Spotlight
Multi-page banner
Logo + headline + 3 sub-pages of your Amazon Store. Best for established brands with a developed Store. Drives more time-on-store and discovery of full catalog.
Sponsored Brands best practices
1. Run video first
In our 2025 portfolio, Sponsored Brands Video consistently delivered the lowest ACoS of the three formats. The auto-play video format wins disproportionate attention vs static banners and product-page placements. Start every Sponsored Brands strategy with video.
2. Defend branded search
Run a dedicated Sponsored Brands campaign on your own brand-name keywords. ACoS is typically 5–10% (high CVR, low CPC), and you protect the top of brand-search SERPs from competitor conquest ads. Mature brands often run brand-defense Sponsored Brands as their lowest-ACoS spend.
3. Top-of-funnel for new launches
Use Sponsored Brands video on category-level keywords ("best running shoes," "wireless headphones") for new product launches. Lower direct ACoS than Sponsored Products, but materially higher view-through impact (measurable via AMC) on subsequent organic and Sponsored Products conversions.
4. Store-spotlight only for developed Stores
Store Spotlight requires a multi-page Amazon Store with category sub-pages. Brands without a developed Store should run Product Collection or Video instead — the format only pays off when there is a real Store experience to drive shoppers into.
Frequently Asked Questions
Who can use Amazon Sponsored Brands?
Sponsored Brands require Amazon Brand Registry, which requires a registered trademark in the country where you sell. Vendors (Amazon retail partners) and registered brand sellers (1P + 3P with Brand Registry) are eligible. Resellers without Brand Registry cannot run Sponsored Brands.
What is the difference between Sponsored Brands and Sponsored Products?
Sponsored Products are single-ASIN, keyword-targeted ads in search results and product pages, available to all sellers. Sponsored Brands are multi-ASIN headline banners, videos, and store-spotlight ads requiring Brand Registry. Sponsored Brands carry higher CPC and ACoS but build brand awareness and defend branded search.
What is a good ACoS for Sponsored Brands?
Sponsored Brands ACoS typically runs 25–40% for category-keyword campaigns and 5–10% for brand-defense campaigns. Branded search converts at very high CVR with low competition, so brand-defense Sponsored Brands often deliver the lowest ACoS in an account.
Are Sponsored Brands worth it?
For brands with Brand Registry, yes — but selectively. Sponsored Brands video for category keywords and brand-defense banners are typically high-ROI. Generic Product Collection banners on broad category terms often deliver weaker direct ACoS than the equivalent Sponsored Products spend; use them for awareness rather than direct response.
Can Sponsored Brands include a video?
Yes. Sponsored Brands Video is one of the three Sponsored Brands creative formats, alongside Product Collection (banner) and Store Spotlight. Sponsored Brands Video auto-plays in search results with sound off, making it the highest-CTR format in our 2025 portfolio data.
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