Dave Locke

Associate Director, Programmatic

The Power of Amazon Ads Platform

Accounting for 44% of online retail sales in 2017, Amazon’s highly efficient e-commerce platform continues to grow and play a pivotal role in the retail industry. Millions of people turn to Amazon as their first choice for product research and purchasing across a wide spectrum of categories.
 
In 2013, Amazon quietly made a name for itself in the advertising industry through the creation of Amazon Ads Platform (AAP). AAP is a self-serve Demand Side Platform enabling marketers to purchase media on Amazon’s owned properties as well as across the web. According to eMarketer, $1.65 billion dollars are spent on Amazon’s ad platforms annually. It’s no surprise that the rapid growth of Amazon’s advertising revenue coincides with the growth of programmatic media buying in general.
 
Programmatic media buyers continue to look for new ways to reach customers efficiently. Amazon’s deterministic database of user profiles, along with browsing and purchase behavior, is incredibly powerful. AAP is the only place where marketers can leverage Amazon’s data in conjunction with buying media programmatically.
 
Marketers can now advertise on Amazon’s owned properties and drive to Amazon landing pages, including product pages. This enables brands selling on Amazon to extend the reach of their programmatic media campaigns and measure how Amazon impacts their overall marketing mix. It is crucial for companies to develop a specific strategy to reach an audience that can solely be purchased on Amazon.
 
Additionally, advertisers should see this as an opportunity to utilize Amazon’s unique data sets to purchase programmatic display ads across the internet, even if they don’t sell products on Amazon. AAP has partnered with major advertising exchanges to sell ads programmatically across the web syndicating proprietary Amazon audience segments through the platform.  

Within the context of the industry, Amazon’s growth into programmatic media marks an important shift. Marketers, especially CPG and e-commerce companies that sell products on the platform, can no longer ignore Amazon. For questions about AAP and our Amazon solution strategy, reach out to Rise.

03/26/2018 at 03:06

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