Amazon’s advertising business was a bright spot in the giant online retailer’s December quarter results, outpacing the market for growth.
Advertising services rose 19% to $US11.56 billion for the three months, resulting in a full year at $37.74 billion.
The retailer is defying digital advertising gravity, with the rest of the market reporting a downturn.
Amazon is now in third place for advertising, behind Google and Meta.
Overall net sales at the retailer increased 9% to a better than expected $149.2 billion in the quarter.
However, the company is shedding 18,000 staff in response to weaker economic conditions.
CEO Andy Jassy: “In the short term, we face an uncertain economy, but we remain quite optimistic about the long-term opportunities for Amazon.
“The vast majority of total market segment share in both Global Retail and IT still reside in physical stores and on-premises data centers; and as this equation steadily flips, we believe our leading customer experiences in these areas along with the results of our continued hard work and invention to improve every day, will lead to significant growth in the coming years.
“When you also factor in our investments and innovation in several other broad customer experiences (e.g. streaming entertainment, customer-first healthcare, broadband satellite connectivity for more communities globally), there’s additional reason to feel optimistic about what the future holds.”
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