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

nytimes.com

201–210 of 239 posts

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

#201

Earlier quoted context omitted.

in my experience FB's audience network was junk

The first thing I look at when optimizing a Facebook ad campaign is to look at performance by placement. In many cases, turning off the Audience Network will do wonders for your CPA.

Seconded - one of my default actions when setting up a campaign is to switch that off.

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

#203
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.

This 1000 time. I only care about prices when I am shopping online. The problem is, Amazon is not often the less expensive option.

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

#204

Earlier quoted context omitted.

This type of "trust us, we know what we're doing" targeting is typically less cost effective for advertisers. The fact it works at all is a technical achievement to be sure, but as far as Google goes I can vouch for the OP.

Well, if you are doing direct response advertising, you can mark (with utm source) and measure any kind of performance metric (CPA, average purchase price, whatever you can come up with), and if their clicks are not cost effective, you can stop buying them. And if you do branding... branding is hard to measure anyway. Note -- I'm not affiliated with google in any way, I just think their offering makes a lot of sense.

It depends what sort of business you're running.

If you're selling a product that's available nationally and appeals to a reasonably big demographic, you might not care much about targeting.

But if your business only supplies weddings in New York, then impressions/clicks by people who aren't planning a wedding in New York are largely worthless.

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

#205
Amazon leadership principle numero uno:

"Leaders start with the customer and work backwards. They work vigorously to earn and keep customer trust."

Today:

> The push by the giant online retailer means consumers — even Prime customers, who pay $119 a year for access to free shipping as well as streaming music, video and discounts — are likely to be confronted by ads in places where they didn’t exist before.

Was this really the outcome from "start with the customer and work backwards?"

> ...it [Amazon] is rapidly emerging as a major competitor to Google and Facebook.

Gotcha. We all know who "the customer" is in this market.

Seriously, completely wrong direction Amazon. Our trust is already eroding due to fake reviews, counterfeit items, and Amazon Marketplace nonsense. Racheting up ads will make us further question where your loyalties lie.

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

#206
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.

They will when the counterfeit problem hits the mainstream consciousness. There's a limit to how many "genuine" Apple power adapters can self-combust before it goes really viral.

That's when Amazon will need to draw on their deep wells of goodwill, but they're squandering them today by cozying up to advertisers.

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

#207
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.

That is startling.

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

#208

Amazon leadership principle numero uno: "Leaders start with the customer and work backwards. They work vigorously to earn and keep customer trust." Today: > The push by the giant online retailer means consumers — even Prime customers, who pay $119 a year for access to free shipping as well as streaming music, video and discounts — are likely to be confronted by ads in places where they didn’t exist before. Was this r…

>Our trust is already eroding due to fake reviews, counterfeit items, and Amazon Marketplace nonsense. Racheting up ads will make us further question where your loyalties lie.

It doesn't matter until it matters in aggregate and affects share price. Whenever Amazon refers to "the customer" remember what they really mean is "the customer's money," which they're still getting plenty of.

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

#209
Amazon knows way more about its users than Google and Facebook. It is easy to deduce a lot of information from my purchase history, my reviews, my 'helpful' clicks, my address, etc.

I can switch to DDG, Telegram, and Yahoo Mail, but I certainly will continue do shopping on Amazon - there is no easy escape from it and I wonder why?

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

#210

Amazon knows way more about its users than Google and Facebook. It is easy to deduce a lot of information from my purchase history, my reviews, my 'helpful' clicks, my address, etc. I can switch to DDG, Telegram, and Yahoo Mail, but I certainly will continue do shopping on Amazon - there is no easy escape from it and I wonder why?

If bits benefit from centralization the atoms do even more so.
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