Amazon – The New Global Advertising Giant

The digital advertising market is huge. Only in 2017 a turnover of 220,000 million dollars worldwide was generated from digital advertising.

Amazon, the e-commerce giant, is awakening and its effect on the advertising world could be devastating for opponents, according to a recent report by the financial institution Citi. Amazon generated turnover of nearly 2,800 million in advertising revenue last year. Not bad, considering it is not the core business of the company in Seattle, but less than one-tenth of what Google, for example, can check in only one quarter. Citi, however, believes that the growth potential is very large and that over the next ten years could multiply that figure to reach 50,000 million dollars annually. “It ‘s an opportunity that undervalued considering the company, ” said Mark May, an analyst at the company.

Amazon Vs Facebook Vs Google in 2018

The number of product searches being made on Amazon is more than Google and Facebook combined. The biggest advantage is that users on Amazon are looking for direct purchase and not advertising link to another website where they may or may not purchase the product, book or just anything else.

Introducing Amazon and the world’s most advanced shopping technology

Amazon does not have the scope of Google with its various tools or the ubiquity of Facebook, which after the purchase of Instagram and Whatsapp boasts the largest digital audience in the world, but in your favor playing the type of data you have of your customers. “No other platform combines a global audience with accurate data on purchases, ” said May.

Introducing Amazon and the world’s most advanced shopping technology

The company ultimately not only knows what interests you like Google or Facebook but also how much you are willing to spend, based on your purchase history to achieve this. And not only you know what you’ve bought in the past but can also predict when will you return to buy. For certain items of daily consumption and hygiene items, clothing or household items, these data can be much more useful than the usual segmentation is achieved through the use of social networking sites or searches and other data history. The consequence is that in certain key markets such as the US, Amazon advertising market is bound to grow significantly.

When looking for specific products, especially when it intends to buy-, more than half of the searches is no longer done on Google, but directly in the search box Amazon.For many associated businesses operating through the Amazon Marketplace platform, pay for an important position in the results of those searches is becoming more profitable, therefore, to bid for doing so in search results on Google. Beyond the WebAmazon’s expansion into new markets has also increased its potential as manager ad.

The company bought for a little less than 1,000 million dollars in 2014 the video portal Twitch, an alternative to YouTube extremely popular among gamers. The growth of eSports and growing discontent among certain Youtubers by the policy of Google in monetizing videos has led to some of the stars of the network to change ships and popularity of Twitch. Therefore, it has risen and has and with more than 100 million active users per month. Investment now aims to be one of those masterpieces played by which is known to Jeff Bezos.

Twitch accepts donations and subscriptions as a revenue stream for uploaders or broadcast in real time, but the ads have an increasing weight on the platform.The Echo speakers, Kindle Fire tablets and Kindle e-books themselves could soon become another important way of advertising revenue for the company. Amazon has already sold more than 31 million smart Echo speakers and has an estimated audience in the US alone nearly 39 million people.

Although the company does not usually make public the numbers of devices sold, its Kindle Fire tablets are the best sellers in the market behind Apple iPad. And of course, Amazon is also expanding gradually in the physical world. Last week opened the first store Amazon Go, a smart supermarket without boxes where purchases are paid automatically with your mobile phone to leave, bought the supermarket chain Whole Foods and also has experimental libraries in several US cities. UU. Where also soon you can sell our attention to potential advertisers.