Amazon Advertising Managed-Service Provider for DSP in Canada

As an experienced Amazon seller, let me walk you through how partnering with an Amazon Advertising managed service provider can help you capitalize on demand-side platform (DSP) advertising to reach Canadian audiences. With the growth of Amazon DSP, leveraging managed services allows sellers to benefit from advanced capabilities without the workload of running DSP campaigns independently.

In this comprehensive guide, I’ll share insights from my background in ecommerce to explain how managed service providers can optimize your Amazon DSP strategy in the Canadian market.

A Quick Introduction to Amazon DSP

First, what exactly is Amazon DSP?

In simple terms, Amazon DSP (demand-side platform) allows brands to run automated, targeted ad campaigns through machine learning optimization. These ads appear both on and off Amazon across websites, apps, connected devices and more.

Unlike Sponsored Ads which only appear on Amazon, DSP provides options to engage consumers away from Amazon as they browse the web and consume media. The platform makes it possible to target audiences contextually based on their interests and habits.

So if you’re looking to increase brand awareness, reconnect with past buyers, promote new products or drive other goals, Amazon DSP delivers advanced capabilities to reach Canadian consumers.

The Benefits and Opportunities of Managed DSP Services

As an experienced seller, I often get asked – should brands manage DSP in-house or use an agency?

Based on my background optimizing campaigns, I strongly recommend most brands use managed services for Amazon DSP. Here’s why:

Convenience and Efficiency

DSP involves a broad range of complex tasks:

• Managing the technical integration

• Developing audiences and media plans

• Designing and optimizing ad creative

• Implementing campaigns with the right structures and settings

• Ongoing performance analysis and improvement

That’s a tall order for most in-house teams new to DSP. Partnersing with an experienced DSP agency handles all of these responsibilities for you. This lightens the workload so your team can focus on core priorities.

Expert Optimization

DSP has a lot of moving parts between targeting settings, bids, creatives, and more. With an agency optimizing your account, their expertise and best practices are working in your favor.

Small optimizations we incorporate add up over time. In fact, I commonly see a 20-50% improvement in cost efficiency and return on ad spend from ongoing optimization. Our account changes deliver results your team likely wouldn’t achieve independently.

Insights and Analytics

A quality agency provides actionable reporting and insights into your DSP results. The right metrics and benchmarks highlight opportunities to refine strategy. On top of performance stats, we analyze trends and insights to help elevate campaign effectiveness.

Amazon Expertise

You want an agency well-versed in the nuances of Amazon’s ecosystem. Our experience translates into account structures, campaign tactics and ad creative designed for Amazon audiences. This Amazon-specific expertise provides an advantage over non-Amazon DSP providers.

For sellers advertising in Canada, managed services allow you to capitalize on Amazon DSP without the demands of solo account management. The benefits easily justify the investment.

The Growth of Amazon DSP in Canada

Canada represents a major area of growth and investment for Amazon:

• Amazon currently has over 38 million customers in Canada, equaling over 90% of the online population

• Amazon increased its Canadian workforce by 65% in 2021, hiring and expanding offices

• The company is launching Canadian headquarters for AWS and other divisions

As Amazon dedicates greater resources and infrastructure in Canada, they are primed to dominate the digital advertising landscape similar to the United States.

Canadian advertising spend is expected to surpass $10 billion this year according to eMarketer. As Amazon’s ad offerings grow, its piece of the pie does as well.

For sellers targeting Canadian audiences, Amazon DSP provides a strategic pathway to engage these buyers as Amazon further entrenches itself in Canada.

Self-Service vs. Managed DSP

Should you manage DSP internally or use managed services? Let’s compare the pros and cons:

Self-Service DSP

Handling DSP independently gives you full control and flexibility:

Pros

• Complete autonomy over account and campaigns
• Unlimited customization for your strategy
• No agency fees or revenue share

Cons

• Steep learning curve to master DSP capabilities
• Massive time and effort spent managing the account
• Easy to misconfigure campaigns without experience
• Lacks ongoing optimization expertise

Unless you have ample in-house expertise already, self-service DSP often proves frustrating and ineffective for brands new to the platform. Mistakes and underperformance frequently occur.

Managed DSP Services

Partnering with an agency provides advantages through their expertise:

Pros

• Lightens workload so you avoid managing DSP yourself
• Agency expertise translates to more effective campaigns
• Ongoing optimization improves performance over time
• Provides insights and analytics into your results

Cons

• Less control compared to self-service option
• Revenue share paid to the agency based on a percentage of spend

Overall, managed services generate better outcomes for most brands despite the tradeoffs. The lift in campaign performance frequently delivers an ROI of 5-10x on the fees.

Amazon DSP Campaign Tips and Best Practices

Based on my extensive experience with DSP, here are some top tips for success:

Granular Targeting Options

Leverage the robust audience targeting like placements, devices, demographics, interests, and behaviors. DSP insights help refine these over time.

Always Be Testing

Continually test new creatives, audiences, placements, bids, and ad formats. This reveals the optimal mix for your brand.

Measure Conversions

Focus on sales or conversions, not vanity metrics like clicks or impressions. Conversion-based bidding helps DSP maximize actual customers.

Manual Bidding Strategies

The “Dynamic eCPC” smart bidding isn’t always ideal. Manual bidding can better optimize spends.

Optimize for Brand KPIs

Customize campaigns, creatives, and calls-to-action for your most important metrics like new customer acquisition or cross-selling.

Following best practices tailored to your brand and products will maximize the performance of your Amazon DSP campaigns in Canada.

Choosing the Right DSP Partner

Not all agencies are created equal when it comes to Amazon advertising. To choose the best managed DSP provider:

• Verify their Amazon expertise – Do they have a proven track record with Amazon campaigns?

• Request case studies and examples – What results have they achieved for clients previously?

• Ask about optimizations – How will they improve your account over time?

• Ensure they offer full services – Can they manage ad creative and performance analysis too?

• Check their communication – Do they provide clear reporting and insights?

I recommend selecting an established agency focused specifically on Amazon. Avoid groups who only dabble in Amazon ads. The right partner will elevate your ad performance in Canada.

Work With Seller Interactive for Amazon DSP

As a top-tier Amazon agency, Seller Interactive is the premier option for DSP managed services.

Our Canadian team has optimized millions in ad spend across Amazon’s advertising platforms. Our DSP expertise includes:

• Custom audience research and targeting strategies
• Ad creative designed for visual impact and conversion
• Campaign structures to maximize your budget
• Ongoing performance optimization

We provide tailored DSP solutions aligned with your brand’s unique needs and goals. Our optimization generates significant returns on your investment.

Are you ready to step up your Amazon advertising in Canada? Reach out to our experts at Seller Interactive today to get started with managed DSP.