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Amazon Sets Its Sights on the $88B Online Ad Market

nytimes.com

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Re: Amazon Sets Its Sights on the $88B Online Ad Market

#191

Post by TheForumTroll »

scarface74 wrote: post #88
Scown wrote: post #77

Earlier quoted context omitted.

But the initial intent still has to be there. If I sell shampoo noone's gonna see my shampoo PPC ad just because they email a friend to say they've got dry hair. They have to search for a shampoo-related keyword I'm targeting.

And then once I buy shampoo,Amazon can make a deal with the Shampoo manufacturer to send a branded Amazon Dash button for repeat purchases. If they have an Alexa device, Amazon can get shampoo manufacturers to pay to be the default choice when someone says “Alexa, order more shampoo.”

Not everyone wants to sell their soul. I'd pay extra to not get any of that.

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#192

Post by TheForumTroll »

scarface74 wrote: post #89
qaq wrote: post #84

Earlier quoted context omitted.

google has your location they don't need you to checkin

Not if I’m on an iPhone. They know the vicinity I’m in but they don’t know exactly which store I’m at if it is an area with a lot of stores nor do they know that I’m with my friends. I probably added them to the check in and/or tagged them in a picture.

You do know that Apple only tries to stop things like this for everyone else than themselves, right? I wouldn't trust them any more than Google. At least you can use an android phone without Google apps if you want to. Good luck with using an iPhone without sending your data to Apple or trying to remove all Apple's stuff (step one: iOS).

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#193

Post by carlsborg »

cm2012 wrote: post #9

Amazon ad revenue alone ($2.2 billion) for Q2 was already around 15% of Facebook's total Q2 revenue ($13 billion). That is nuts, if they have any room to grow that further, since ads isn't even Amazon's specialty. For reference, Snapchat did $290 million in the same timeframe, Twitter $660 million.

Total revenues for 2017

Alphabet = $110B (about 85% comes from advertising) Facebook = $40B

If Amazon is doing ~$8B and the others about $4B annually.. how does this square with the $88B market size in this article headline?

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#194

Post by telltruth »

Amazon is already an ad agency for vast number of 3rd seller while also offering fullfilment services. You can see the impact of transitioning to this business model. Large number of those “sponcered” listing is crape. A sizable 3rd party sellers are straight from China looking to dup the customers. Significant number of products that I bought past few months are branded like Duracell but completely fake.

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#195

Post by oblio »

LemonAndroid wrote: post #125
scoggs wrote: post #93

Earlier quoted context omitted.

If it wasn't obvious already: > For reference, Snapchat did $290 million in the same timeframe, Twitter $660 million. Just goes to show how much potential Amazon has in the Ad Market. Does anyone else think Amazon could overtake one or both of Amazon's biggest competitors in the market (Facebook or Google)?

Amazon will overtake everyone once they overcome working conditions problem.

Isn't that like an immutable problem and what their business model is based on? Push employees to the limits to have very high performance for a short time and then throw them out when they burn out?

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#196

Post by Rainymood »

krn wrote: post #53

Seeing ads in Amazon search results has substantially reduced my perceived trust in Amazon brand, since as a buyer I no longer feel like Amazon is on my side. I feel like I am Amazon's product. That it's me, who is for sale.

The general public won't care as long as Amazon is able to offer prices lower than competitors.

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#198

Post by Arnt »

carlsborg wrote: post #193
cm2012 wrote: post #9

Amazon ad revenue alone ($2.2 billion) for Q2 was already around 15% of Facebook's total Q2 revenue ($13 billion). That is nuts, if they have any room to grow that further, since ads isn't even Amazon's specialty. For reference, Snapchat did $290 million in the same timeframe, Twitter $660 million.

Total revenues for 2017 Alphabet = $110B (about 85% comes from advertising) Facebook = $40B If Amazon is doing ~$8B and the others about $4B annually.. how does this square with the $88B market size in this article headline?

$88B is probably the US or North American market, where Facebook's revenue is $20B, not $40B.

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#199

Post by phobosdeimos »

manigandham wrote: post #46
scarface74 wrote: post #2

This is my bear case for Google. Google offers the least precise targeting compared to Facebook and Amazon. Facebook knows more about its users because users tell it about themselves and Amazon knows more about purchasing habits of its users because of thier purchase and search history. If I’m searching for something with the intention on buying it, I am going to go to the specific site - like Priceline, hotels.com,…

Absolutely not the case. The Google machine includes: Google Analytics, Adwords/Adsense, Doubleclick network, Android and store, Chrome Browser, Chrome OS, Maps/Streetview, Gmail, G-Suite, Youtube, Google Play, Google Fiber, Google Fi, Public DNS, all the various websites with 1st party cookies, connections to Salesforce CRM, and the recently announced Mastercard purchase data. Facebook and Amazon are nowhere close t…

An ad blocker also removes the ads from Google search though.

Re: Amazon Sets Its Sights on the $88B Online Ad Market

#200

Post by wastedhours »

cm2012 wrote: post #9

Amazon ad revenue alone ($2.2 billion) for Q2 was already around 15% of Facebook's total Q2 revenue ($13 billion). That is nuts, if they have any room to grow that further, since ads isn't even Amazon's specialty. For reference, Snapchat did $290 million in the same timeframe, Twitter $660 million.

Amazon has one of the perfect data mixes - like Google, it has all the infrastructure for true intent based advertising (sponsored listings on result pages, based on specific searches or product info), as well as comprehensive end-to-end customer journey information for your more passive advertising as well.

The latter will probably earn them decent scratch, even if it's perhaps not long-term sustainable with data issues and adblocking (Facebook can work for passive advertising because the user intent is snacks of procrastination, passive ads can be snacks of procrastination too if done well, though will always be low rent). The former though, now they're in pretty much every vertical, is where the winning happens.

As in the article, even if companies don't sell through Amazon, there'll still be an Amazon Tax if they want to get into the search results like with AdWords.

I wouldn't be at all surprised to see Amazon leapfrog Facebook, once their attribution pixel gets some traction in the wild.

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