Amazon: Adding Video to Sponsored Brands Campaigns Can Lift ROAS by 5.5%
Amazon reports that mixing video with spotlight or custom‑image ads in Sponsored Brands lifts ROAS by about 5.5% (e.g., from 3.8 to 4.0) and CTR from 1.2% to 1.4% over 30 days. Videos should be 15‑30 seconds, produced for under $200, and a 10% budget bump is recommended for a two‑week test.
Overview
Amazon is urging sellers to enrich their Sponsored Brands campaigns with video creative, citing internal data that shows a 5.5% lift in return on ad spend (ROAS) when video is combined with other formats. The recommendation arrives as Amazon pushes a multi‑format approach to help advertisers extract more value from their budgets. Sellers who act now can test a low‑cost video addition and potentially boost campaign efficiency while staying competitive in the top‑of‑search placements.
Key Points
- Video adds 5.5% ROAS — Campaigns that mix video with spotlight or custom‑image ads generate roughly a 5.5% higher return than single‑format campaigns, according to Amazon’s global data set.
- Multi‑format outperforms single — Advertisers using at least two creative types see better performance than those relying solely on static images.
- Small production budget works — Successful video ads have been created with smartphones, basic lighting and free editing tools, keeping costs under $200 for many sellers.
- 15‑30 second length recommended — Amazon’s specs suggest keeping the narrative tight, with the main selling point appearing within the first three seconds.
- Sound‑off design is crucial — Because most shoppers browse with muted audio, videos should convey key messages visually and through captions.
- Higher engagement during discovery — Video assets capture attention earlier in the shopper journey, leading to higher click‑through rates when users are still comparing options.
How Video Integration Works
- Produce a short video asset — Record a 15‑30 second clip on a smartphone that highlights the product’s core benefit; for example, a kitchen gadget demo showing the slicing action in the first three seconds.
- Upload through the Sponsored Brands builder — In the campaign manager, select “Add video” and attach the file, ensuring it meets Amazon’s resolution, aspect‑ratio and file‑size limits (e.g., 1080p, MP4, under 100 MB).
- Pair with existing creative — Choose a spotlight or custom image to run alongside the video within the same ad group; this creates a mixed‑format placement that Amazon can rotate automatically.
Analysis & Recommendations
Why This Matters
The 5.5% ROAS increase translates to roughly $660 extra revenue on a $12k spend, while CTR gains improve visibility in top‑of‑search placements. Small‑budget videos (≤$200) let sellers test without large risk, and the auto‑rotate feature ensures mixed‑format exposure.
Key Takeaways
- Mixed‑format Sponsored Brands ads generate ~5.5% higher ROAS than single‑format ads (e.g., 3.8 → 4.0).
- A 15‑30 second video produced with a smartphone for under $200 meets Amazon’s specs (1080p MP4 <100 MB).
- Increasing the video‑enabled ad group’s daily budget by 10% for a two‑week trial yields the expected lift.
- Enabling auto‑rotate lets Amazon alternate video and image assets, boosting CTR from 1.2% to 1.4%.
Recommended Actions
- →In Seller Central, go to Advertising > Campaign Manager, pull the last 30‑day performance report for each Sponsored Brands ad group and note ROAS a...
- →Create a 15‑30 second product video on a smartphone, add captions, export as MP4 ≤100 MB, then in the Sponsored Brands builder select ‘Add video’ a...
- →Increase the daily budget of the video‑enabled ad group by 10%, enable ‘auto‑rotate’, run for two weeks, then compare ROAS and CTR to the baseline ...
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