What Is Amazon DSP and Do I Need It?
Amazon DSP lets you reach Amazon shoppers with display and video ads both on and off the platform. Here is what it is, how it differs from Sponsored ads, and who needs it.
Amazon DSP is a demand-side platform that lets you buy display and video ads both on and off Amazon. It is programmatic advertising built specifically for reaching Amazon shoppers across the web.
DSP is different from Sponsored Products, Sponsored Brands, and Sponsored Display. Those show ads on Amazon search results and product pages. DSP places ads on third-party sites, apps, and Amazon-owned properties like IMDb and Twitch.
The main use case for DSP is retargeting. You can build audiences based on people who viewed your products, added to cart but did not buy, purchased from you before, or purchased from competitors. Then show them display ads to bring them back.
DSP also works for prospective targeting. You can target people who searched for products in your category but have not interacted with your brand yet. This is top-of-funnel awareness work, not bottom-funnel conversion.
DSP requires a minimum ad spend commitment, typically $35,000 over three months for self-service or $50,000 for managed service. If you are not spending that much, you cannot use DSP.
Most Amazon sellers do not need DSP. If you are just getting started with Sponsored Products or your monthly ad spend is under $10,000, focus on optimizing Sponsored Products and Sponsored Brands first. DSP is for brands with scale.