Amazon’s New Full-Funnel Tool: Automating Ad Strategy for Q1 2026

Amazon Ads is shifting from manual campaign management to AI-driven orchestration. Launching in Q1 2026, the new Full-Funnel Campaigns tool is designed to move advertisers away from a “Sponsored Products only” approach by automating the balance between awareness and conversion.

What is the Full-Funnel Campaigns Tool?

Currently, advertisers often manage different ad types (Sponsored Products, Brands, and Display) as isolated silos. The new tool uses AI to treat these as a single ecosystem. It analyzes a brand’s growth opportunities and automatically builds a coordinated collection of ads that work together.

Core Functions

The tool handles four primary levers that usually require significant manual oversight:

  • Budget Allocation: It dynamically distributes spend across different ad formats based on real-time performance.
  • Audience Targeting: It selects audiences at various stages—from “top-of-funnel” shoppers browsing broad categories to “bottom-of-funnel” shoppers ready to buy.
  • Creative Generation: It pulls from your existing Brand Store assets and product pages to create multi-format ads.
  • Cross-Format Recommendations: It suggests the right mix of Sponsored TV, Display, and Search ads to ensure a brand isn’t just winning the click, but also building recall.

Why the Shift is Happening

Data from Amazon shows that brands utilizing a multi-format approach see significantly higher conversion lifts than those using search ads alone. However, many mid-sized brands lack the bandwidth to manage complex DSP (Demand Side Platform) or Streaming TV campaigns. This tool lowers that barrier by automating the technical setup and optimization.

Key Dates to Watch

  • Launch Window: Rolling out throughout Q1 2026.
  • Interface Integration: Accessible via a new recommendation card in the unified Campaign Manager, which now houses both Search and DSP settings in one dashboard.
  • Strategic Change: On February 2, 2026, Amazon will deprecate certain manual bid adjustments for Sponsored Brands, signaling a broader push toward these AI-managed bidding models.

How to Prepare

  1. Audit Your Creative Assets: Since the AI builds ads from your Brand Store and product images, ensure your A+ Content and Brand Store are high-resolution and up-to-date.
  2. Define Your NTB Goals: The tool specifically optimizes for New-to-Brand (NTB) metrics. Review your current NTB data to set a baseline for success.
  3. Monitor the Console: Look for the “Full-Funnel Opportunity” recommendation card in your Amazon Ads console over the coming weeks.
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