How to Use AMC Audiences for Sponsored Ads

Retail

April 30, 2025

Amazon sellers continually search for better ways to reach potential customers. The competition grows fiercer by the day. AMC Audiences offers a powerful solution many sellers haven't fully explored yet. This advertising tool helps businesses target specific customer segments with unprecedented precision. You'll discover how to leverage AMC Audiences to boost your sponsored ad performance today. The right audience targeting can dramatically cut wasted ad spend. Let's jump into how AMC Audiences works and why it matters for your business.

What are AMC Audiences?

Amazon Marketing Cloud (AMC) Audiences represents a game-changing advancement in Amazon's advertising ecosystem. This feature allows advertisers to create custom audience segments based on actual shopping behaviors. Think of AMC as your personal data analyst for Amazon customers. These audiences can include shoppers who viewed specific products but didn't purchase. They might target customers who bought from your competitors recently. You can even focus on high-value shoppers with certain purchase patterns.

AMC pulls data directly from Amazon's massive customer behavior database. The system analyzes everything from search terms to click patterns and purchase history. Advertisers can tap into this goldmine through custom SQL queries in the AMC platform. The result? Hyper-targeted segments that align perfectly with your marketing goals. AMC transforms raw customer data into actionable audience groups ready for your campaigns.

Why Use AMC for Amazon Sponsored Ads?

Traditional Amazon advertising limits targeting options to keywords and product categories. AMC Audiences breaks these barriers by enabling behavior-based targeting across the entire funnel. Your ads reach people based on what they actually do, not just what they search. This approach often yields higher conversion rates and better ROI.

AMC helps identify shopping patterns impossible to spot through regular campaign management. You might discover customer segments with unusual buying habits worth targeting specifically. These insights lead to smarter budget allocation across your advertising mix. Many sellers report significant performance improvements after implementing AMC-based strategies.

The platform connects dots between seemingly unrelated behaviors to reveal purchase intent. A shopper searching for hiking boots might also need socks, insoles, and waterproofing spray. AMC helps you spot these connections before your competitors do. The competitive advantage comes from seeing the complete customer journey rather than isolated interactions.

How to Measure Audience Segment Performance in AMC

Measuring audience performance requires clear objectives before launching AMC campaigns. Set specific KPIs like ROAS, conversion rate, or new-to-brand customer acquisition. These benchmarks help determine whether your custom segments deliver results.

The AMC dashboard provides comprehensive performance metrics for each audience segment. In this section, we'll explore accessing these critical insights. The platform shows impressions, clicks, conversion rate, and total sales by audience. Compare these metrics against your regular campaigns to measure incremental value.

Cross-channel analysis reveals how audiences perform across different ad types. An audience might excel in Sponsored Brands but underperform in Sponsored Display. The data helps optimize placement strategy for each segment individually. Track performance over time to identify audience fatigue or seasonal patterns.

Custom reporting options allow you to align AMC data with your business goals. The system supports various attribution models to measure full-funnel impact. Want to know which audiences drive the most customer lifetime value? AMC can tell you. These insights help refine audience definitions for continually improving results.

Challenges and Future Opportunities in AMC Custom Audience Advertising

Current Limitations in Negative Audience Targeting

Negative audience targeting represents one of AMC's current growing edges. The platform still restricts how advertisers exclude certain audience segments. This limitation can lead to wasted impressions on customers unlikely to convert. Marketing teams often struggle to completely prevent ad exposure to existing customers.

Workarounds exist but require complex query structures and constant monitoring. The manual processes eat into time better spent on strategy development. Most advertisers report this as their biggest frustration with the current AMC setup. Amazon knows about these challenges and has promised improvements soon.

Technical restrictions sometimes prevent creating the exact audience exclusions you need. The query language has certain limitations when defining complex negative parameters. Getting help with these technical hurdles often requires specialized knowledge. Consider working with an Amazon advertising partner if you face these issues.

Expectations for AMC's Expanded Targeting Features

Amazon continues enhancing AMC's targeting capabilities every quarter. Industry experts anticipate several game-changing features arriving soon. These updates should address many current limitations frustrating advertisers today.

Enhanced cross-category insights will reveal unexpected customer connections. Expanded attribution windows may provide better understanding of lengthy purchase journeys. The platform might soon integrate with other Amazon tools like Brand Analytics. This integration would create a comprehensive view of brand performance factors.

Amazon's recent patents suggest AI-powered audience predictors are coming. These tools would automatically identify promising customer segments without manual queries. Voice shopping behavior might soon factor into audience creation criteria too. The advertising landscape continues evolving rapidly on Amazon's massive platform.

Bid Adjustment Strategies in Sponsored Display

Sponsored Display campaigns benefit tremendously from smart bid adjustment strategies. Strategic bidding can dramatically improve performance when using AMC audiences. The key lies in recognizing different audience values and bidding accordingly.

High-intent audiences typically justify higher bids than broader segment groups. Cart abandoners might warrant a 50% bid increase over general product viewers. Test different bid adjustments for each audience segment over time. The optimal bid strategy emerges from performance data across multiple campaigns.

Consider adjusting bids based on audience recency for maximum impact. Someone who viewed your product yesterday deserves higher bids than a visitor from last month. Time-based bid modifiers create urgency without increasing overall ad spend. Many successful sellers implement dayparting strategies for specific audience segments too.

Competitive product viewers often represent your highest-value acquisition targets. These shoppers already understand the product category and are actively comparing options. Aggressive bidding for this segment frequently produces excellent results. Just make sure your product detail page answers likely comparison questions.

How AMC Works with Sponsored Display?

Data Integration: Merging Insights for Targeting

AMC seamlessly connects with Sponsored Display to enable sophisticated audience targeting. The integration happens through Amazon's advertising console automatically. No technical expertise required beyond creating your audience segments initially.

This integration merges behavioral insights with your Sponsored Display creative assets. Real customer actions directly trigger ad impressions without wasted exposure. The system updates audience membership continually based on recent shopping activity. This automation ensures your ads always reach the most relevant customers.

Technical matching happens through Amazon's internal ID system behind the scenes. Cookies and tracking concerns don't affect this process within Amazon's ecosystem. The closed-loop system provides remarkably accurate targeting capabilities. Many advertisers consider this Amazon's biggest advertising advantage over other platforms.

Tracking Customer Journeys On and Off Amazon

AMC offers unprecedented visibility into customer journeys both on and off Amazon. The platform reveals touchpoints previously invisible to most sellers and brands. These insights help create more effective audience segments and ad strategies. On-Amazon behavior tracking includes search terms, product views, and purchase patterns. The system notices when customers compare similar products or browse related categories. This data builds a comprehensive picture of shopper interests and intentions. The information proves invaluable for creating precisely targeted audience segments.

Off-Amazon activity appears in AMC through Amazon's broader network connections. The system can identify customers who researched products on other sites before shopping. These insights help target shoppers earlier in their decision-making process. Capturing attention during research phases often leads to higher conversion rates.

Setting Up Sponsored Display Using AMC

Creating your first AMC-powered Sponsored Display campaign takes just minutes. Start by accessing your AMC dashboard through the Amazon Advertising console. Look for the purple "DSP" button to find your AMC interface.

First, build your custom audience using AMC's query builder or templates. Focus on behaviors that signal purchase intent for your specific products. Save your audience with a descriptive name that includes the targeting strategy. The system needs time to process your audience before campaign launch.

Next, create a new Sponsored Display campaign in the advertising console. Select "custom audiences" as your targeting option during setup. Choose your AMC audience from the dropdown menu that appears. Complete the remaining campaign settings like budget and creative assets.

Launch your campaign and monitor performance closely during the first week. AMC audiences sometimes perform differently than standard targeting methods. Make small bid adjustments based on initial results to optimize performance. Remember that audience sizes fluctuate as shopping behaviors change.

Conclusion

AMC Audiences transforms Amazon advertising through behavior-based targeting capabilities. This powerful tool helps sellers reach precisely the right customers at the perfect moment. The performance improvements often justify the additional setup complexity.

Start with simple audience segments based on your business goals. Expand into more complex targeting as you gain experience with the platform. Always test and measure results against your standard campaigns for comparison. The insights gained often prove valuable beyond just advertising strategy.

Remember that audience quality matters more than audience size. A smaller, highly relevant audience typically outperforms broader targeting approaches. Keep refining your AMC queries to narrow down to your ideal customer segments. Your advertising efficiency will improve with each iteration.

The future looks bright for AMC Audiences as Amazon continues enhancing the platform. Stay updated on new features and targeting capabilities as they launch. Your competitive edge depends on leveraging these tools faster than others in your category.

Frequently Asked Questions

Find quick answers to common questions about this topic

Aim for segments of at least 10,000 users for reliable performance and delivery.

Yes, AMC audiences work with Sponsored Products, Sponsored Brands, and Sponsored Display.

Most audience segments refresh daily based on recent customer behaviors.

Start with at least $20 daily budget per audience segment for meaningful results.

About the author

Lucas Bennet

Lucas Bennet

Contributor

...

View articles