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Starcom: Amazon Prime Video Will Destroy TV Advertising

Starcom has warned brands to prepare for the launch of Amazon Prime Video, claiming the media battleground of the future will concern personalised video content advertising.

At its 2018 Media Futures launch, Starcom predicts in two years time 30% of Aussie homes be subscribed to Amazon’s video streaming service, Amazon Prime Video.

Starcom National Strategy Director, Graeme Wood, encourages the media industry to develop a competitive ad-funded addressable platform:

“If you think that the impact of Netflix was disruptive, just wait ‘til Amazon Prime gets here. We think that Prime, the loyalty program, is going to be in 30% of households in under two years, which means Prime the video platform is going to be far, far higher-scale, higher-impact than it is at the moment”

“The power of TV to create the emotions clearly remains undiminished. However, mass emotional power comes at a price of personal relevance”

“Now data-rich, personalised Netflix and Amazon certainly are – ad-funded, they are not”.

Concerning traditional online advertising, Starcom claims the majority comes too late in a customer’s buying cycle.

Wood warns most traditional online advertising is largely “meeting expectations”, in lieu of evoking excitement and stirring emotion.

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