Amazon's advertising business is up 45%

Chris Pash
By Chris Pash | 25 October 2019
 

Amazon pulled in about $US3.58 billion over the three months to the end of September, up 45% on the same quarter last year and up from $US3 billion in the second quarter this year. 

The US-based online retail giant reported third quarter results with net sales up nearly 24% to $US70 billion. 

Amazon doesn't break out its advertising revenue but says its line for "other" primarily includes sales of advertising services.

In Australia, Amazon in April this year launched its advertising service which is powered by data on the shopping habits of its customers, making for highly targeted brand marketing. 

And the retailer is quickly growing its share of the digital advertising market. Google still dominates but Amazon is making a mark. 

“Amazon’s ad business has attracted massive increases in spending because advertisers can reach consumers during product queries, a time when they’re ready to buy,” says eMarketer principal analyst Nicole Perrin.

“Amazon has also rolled out better measurement and targeting tools, making it even more attractive for advertisers.”

In 2019, Amazon’s search business will grow nearly 30% over last year. Its share will be 12.9% this year, growing to 15.9% by 2021.

us ad search revenue

 

 

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