Amazon Goes After Google, Facebook Mobile Ads
E-commerce behemoth, Amazon, has set its sights on Facebook and Google’s digital advertising crown, following reports it could soon sell video ads on its smartphone shopping app.
According to Bloomberg, Amazon has been beta testing the ad service on Apple’s iOS for months, with an Android version expected later this year.
With the global digital advertising market worth around US$129 billion, some commentators deem Amazon’s in-shopping video ads more valuable than those on YouTube or Facebook.
Latest numbers from EMarketer Inc expect Google’s digital ads market share to drop from 38.2% to 37.2% this year, with Amazon climbing from 6.8% to 8.8%.
Bloomberg claims Amazon will require a US$35,000 ad budget too run the video spots at US$0.05 per view for 60 days.
Other sources state a fixed rate won’t apply, with prices varying per category.
The news comes as Amazon continues to diversify its market portfolio outside e-commerce, with the video ads set to become an other revenue earner.