Amazon’s Q2 2026 Retail Media Benchmarks Show Stronger Ad Spend and Higher Conversions

Amazon Advertisers Increased Investment Across the Funnel

Pacvue’s 2026 Mid-Year Commerce Media and Summer Sales Benchmark Report shows advertisers committing more budget to Amazon’s retail media ecosystem.

Sponsored Brands average daily spend increased 26.1% year over year, while Sponsored Products spend rose 21.2%. Sponsored Brands also reached a 26.5% conversion rate, with conversion during Prime Day improving 8.3% from the previous year’s event.

Amazon DSP produced another important signal. Display campaigns generated 26.6% more new-to-brand sales both year over year and quarter over quarter. Display ROAS improved 4.2% year over year, while the daily page-view rate increased 12.1%.

Separate research from Skai supports the broader shift toward full-funnel investment. Its Q2 analysis found Amazon DSP clicks increased 127% while CPC declined 35%. During Prime Day, DSP’s share of Amazon Ads investment rose from 17.9% to 25.5%.

Amazon’s own earnings provide further context. The company reported $19.8 billion in Q2 advertising revenue, up 26% year over year, with Sponsored Products remaining its largest advertising offering and a key growth driver.

The Seller Lesson: Higher Spend Needs Format-Specific Goals

Source: Pexels

The benchmarks show that advertisers are spending more, but the opportunity is not evenly distributed across categories or formats.

Electronics generated the strongest Sponsored Products ROAS at $10.19. Beauty and Personal Care delivered the lowest at $3.13. Health and Household recorded the most expensive CPC at $2.18, while Clothing, Shoes and Jewelry had the cheapest at $0.55.

Those differences make category context essential. A brand should not judge its performance against an Amazon-wide average or expect Sponsored Products, Sponsored Brands, and DSP to serve the same purpose.

Sponsored Products can capture existing purchase intent. Sponsored Brands can strengthen discovery and consideration. DSP can expand reach, retarget shoppers, and acquire new customers. Each format needs its own budget, audience strategy, and success metrics.

Brands preparing for the second half of 2026 should use these benchmarks as directional signals, then compare them with their own margins, conversion rates, new-to-brand sales, and total advertising cost of sales. Stronger Amazon PPC optimization starts with understanding which campaigns are creating profitable growth, not simply producing more attributed revenue.

beBOLD Digital’s Take: Measure Growth Beyond Immediate ROAS

Q2’s results suggest Amazon advertising is becoming more valuable across the customer journey, but also more complex to manage. Rising spend can be justified when it improves conversion, attracts new customers, or builds demand that supports future organic and paid sales.

Established brands should evaluate Sponsored Ads and DSP together instead of managing them as isolated channels. The priority is to assign each format a clear role, measure performance against category economics, and shift budget toward the campaigns producing incremental, profitable growth.

For help turning Amazon’s latest advertising benchmarks into a practical growth plan, explore beBOLD Digital’s Amazon PPC management services and contact the team for a consultation.