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Last Updated: November 2025

Amazon is currently experimenting with new ad formats on Rufus, their generative AI-powered expert shopping assistant. That strategy accompanies their recent tests of ads to the “Frequently Bought Together” Amazon product pages. By doing so, the online-selling giant is continuing to redefine what e-commerce advertising might look like in 2025.

In late 2024, Amazon began testing ads within the “Frequently Bought Together” section on brand product pages, signaling a major shift in how ads are integrated into the consumer journey.

Now, Amazon is expanding its scope, turning its attention to AI-powered advertising. According to a changelog released by Amazon, sponsored ads will soon be featured for U.S. users of Rufus, Amazon’s AI shopping assistant, offering dynamic ad placements based on search queries and conversational context. In some instances, Rufus may even generate additional copy to enhance the existing ad.

This move parallels Microsoft’s integration of ads in its AI assistant, Copilot, across platforms like Bing and Windows. With the mounting costs of AI development, companies like Amazon are leveraging new ad formats to drive revenue and offset investment.

Historically, Amazon has been successful in launching innovative advertising strategies. For example, shoppable carousel ads on Prime Video allow viewers to explore products mid-stream and seamlessly add them to their cart, while interactive pause ads provide non-intrusive opportunities for engagement.

These precedents suggest Amazon’s latest ad strategy could unlock similar success for both the platform and its partners.

What Amazon’s “Frequently Bought Together” Ads Mean for Brand Leaders

“Frequently Bought Together” represents Amazon’s algorithmic recommendation section that appears on product detail pages, suggesting complementary items based on customer purchase patterns. The introduction of sponsored placements within this section creates new opportunities—and considerations—for brands.

For enterprise-level brands, the introduction of these ads presents both a strategic advantage and a challenge. While they offer the potential to increase AOV through curated product pairings and greater visibility for complementary items, they also raise questions about the cost-effectiveness of paying for ad space on a brand’s own product page. Striking the right balance between promotion and customer experience will be key.

Amazon, for its part, stands to gain a lucrative new revenue stream, while brands may enjoy enhanced product discovery and increased cross-selling opportunities. However, the success of this initiative will largely depend on the ROI for participating brands, the effectiveness of the ad format in driving sales, and the overall impact on the shopping experience.

Amazon’s Next Frontier: AI-Powered Advertising with Rufus

Rufus is Amazon’s conversational AI shopping assistant that helps customers make purchase decisions through natural language queries. Rather than traditional keyword search, Rufus allows shoppers to ask questions like “what’s the best running shoe for trail running?” and receive personalized product recommendations.

By integrating ads into its AI assistant Rufus, Amazon is pushing the boundaries of e-commerce advertising. This advanced approach promises to create new opportunities for brand visibility and more targeted advertising based on real-time customer interactions.

Rufus’s ability to personalize ad content opens the door for brands to connect with consumers in a highly relevant way. Yet, this new model also presents challenges. Sellers will need to navigate the fine line between AI-driven product recommendations and paid advertisements, which could potentially blur the distinction for consumers. Additionally, the lack of specific metrics to measure Rufus-driven campaigns will make it harder for brands to assess performance effectively.

The success of AI-integrated ads will be a key factor in determining the future of Amazon’s advertising landscape, and it will require ongoing attention to transparency, customer trust, and measurable results.

How Canopy Management Can Support Your Brand

As Amazon continues to innovate, the impact on consumer behavior and e-commerce strategies will be closely watched by industry leaders. This new frontier in digital advertising could dramatically reshape the landscape for both brands and the platform.

At Canopy Management, our team is at the forefront of these developments, helping everyone from solopreneurs to enterprise-level brands navigate and capitalize on the ever-evolving world of e-commerce. 

With our recent expansion into Meta and Google advertising, we now offer complete omnichannel solutions—combining marketplace expertise on Amazon, Walmart, and TikTok Shop with high-performing paid advertising for your Shopify and DTC channels.

Frequently Asked Questions

What is Amazon Rufus and how does it work?

Rufus is Amazon’s AI-powered conversational shopping assistant that answers natural language questions and provides personalized product recommendations. Instead of keyword searches, customers ask questions like “what’s the best coffee maker for beginners?” and Rufus analyzes the query to suggest relevant products.

How do ads appear in Rufus responses?

Sponsored products appear within Rufus’s AI-generated responses, dynamically placed based on the conversation context and search query. Rufus may generate additional ad copy to make placements feel more natural. These ads blend with organic recommendations, requiring careful attention to disclosure and transparency.

What are Frequently Bought Together ads on Amazon?

These are sponsored placements within Amazon’s “Frequently Bought Together” recommendation section on product detail pages. Brands can advertise complementary products alongside their own listings or compete for visibility on competitor pages, potentially increasing average order value through strategic product bundling.

Should I advertise on my own product pages?

It depends on your goals and margins. Advertising complementary products on your own listings can increase basket size and AOV, but requires careful ROI analysis. Calculate whether the additional sales from bundled purchases justify the ad spend, especially when customers are already viewing your product.

How will these new ad formats affect my current PPC strategy?

New formats require budget reallocation and testing. Start with small test campaigns in Rufus and Frequently Bought Together placements, measuring incremental sales against existing campaigns. Monitor metrics like click-through rate, conversion rate, and total ROAS before scaling. Integration with existing Sponsored Products and Brands strategies is essential.

When will Rufus ads be available to all advertisers?

Amazon is currently testing Rufus ads with select U.S. advertisers through a limited beta program. Full availability timing hasn’t been announced, but based on typical Amazon rollout patterns, expect gradual expansion in availability through 2025 and 2026. Early adopters in the beta may gain competitive advantages in optimization and placement strategy.

Ready to Start Growing Your Amazon Brand?

Schedule a strategy session with our team to discover exactly how our proven frameworks can accelerate your growth.

Canopy Management delivers end-to-end eCommerce growth. We lead the industry in Amazon marketplace strategy while powering expansion through Shopify, Meta, and Google. Our full-funnel approach—from marketplace optimization to customer acquisition—has generated over $3 billion in partner revenue and made us the trusted growth engine for brands worldwide.

Schedule a strategy session with our team to discover exactly how our proven frameworks can accelerate your growth.

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