Advertisements: What Does Amazon Have In Store For Us In 2024?

Advertisements: What Does Amazon Have In Store For Us In 2024?

Like Google, Amazon offers sponsors an exceptionally far-reaching publicizing presentation on a committed stage: Amazon Promotions. A few organizations are accessible, and the production of missions permits you to accomplish various targets, including:

  1. increase traffic to a website;
  2. increase sales of an online store;
  3. improve customer loyalty;
  4. strengthen the notoriety of a brand or a company.

No. 1 e-commerce site in France and present in all four corners of the world, Amazon is now essential for advertisers. More and more consumers are using this site to make their purchases for three main reasons:

  1. the extensive choice of products;
  2. prices deemed more attractive;
  3. ultra-fast delivery for customers benefiting from the Prime program.

To keep on drawing in brands and urge them to publicize its foundation, Amazon consistently grows new offers. The year 2024 is no particular case. Accordingly, a few new elements have previously been reported – including the appearance of a video publicizing on Amazon Prime – and uncovered on LinkedIn by Andréa Bensaid, organizer and President of Eskimoz. Here is the memorable data.

What Are The New Amazon Ads Offers?

To confront the contest and stay appealing to publicists, Amazon should reestablish its paid promoting advertising. This permits it to offer new administrations to brands and organizations and to exploit new advancements to enhance or extend its scope of publicizing arrangements. This is the situation with three new highlights, which we will make sense of for you. Right now, presented in the US, they ought to before long show up in France (specifically Prime Video Advertisements, which would be accessible in April 2024).

A Partnership With Facebook

The first new feature concerns targeting and retargeting of Amazon Ads campaigns. To improve its performance, Amazon chose to partner with Facebook, which belongs to Mark Zuckerberg’s Meta group, which is one of Google’s competitors. According to figures announced by Amazon Advertising Insights and shared by Andréa Bensaid, this partnership would result in the following:

  1. up to 20% higher conversion rate;
  2. an increase in engagement on advertisements of 35%;
  3. an increase in advertising performance of 25%;
  4. an improvement in ad reach by 30%.
  5. In other words, there are excellent opportunities for advertisers!

Likewise, this partnership between the two web giants will allow brands to target users who have viewed products on Amazon and retarget them on Meta (Facebook, Instagram, for example). Thus Amazon, which is a marketplace, will benefit from two options (more precise targeting and retargeting) reserved until now for e-commerce sites. And this also applies to advertisers who will create Amazon Ads campaigns.

Launch Of Video Advertising On Amazon Prime

In 2024, Amazon has an unexpected threat coming up for promoters: the coordination of video publicizing on Prime Video. As an update, this is a video-on-request (SVOD) administration that offers its clients the chance to watch movies, series, and TV programs and to lease and get them. 

A help coordinated into the Great program, which incorporates music (Amazon Music), admittance to books and magazines (Prime Perusing), and internet games (Prime Gaming). The appearance of video publicizing is, like this, new for Amazon, in spite of the fact that it, as of now, exists on other paid SVODs, like Disney and Netflix. We will give you nitty gritty data regarding this matter in a future section; however, recollect that this video promotion gets to the next level:

  1. the engagement rate: + 42%;
  2. sales: + 30% on average;
  3. impulse purchases: increase of 35%;
  4. the notoriety of a brand, of a company: + 55%.

(Amazon Advertising Blog provided these figures).

Once again, this new service is proving very interesting for advertisers, many of whom should test Prime Video Ads as soon as it becomes available in France!

Integration of the Display format for B to B

The latest addition to Amazon Ads is aimed at a particular target: B-to-B brands. The platform now offers them Display advertisements. A format combining:

  1. of text ;
  2. visuals;
  3. a call to action;
  4. a redirection to a landing page.

More attractive than other formats, Display is more profitable for brands. According to figures from Amazon Advertising Success Stories, it would allow B-to-B brands to increase:

  1. their organic traffic by 40%;
  2. their conversion rate of 25%;
  3. their visibility of 35%;
  4. their click-through rate on their ads of 18%.

With this new advertising offer, everyone wins: B to B brands, who benefit from highlighting their ads on the marketplace; Amazon, which monetizes its audience. Thus, gradually, Amazon intends to reshape the contours of online advertising on its platform and become a significant player in Ads for brands and advertisers. Proof of this is with its Prime Video Ads offer, which we previously mentioned and which should soon be available in France.

Prime Video Ads: What To Expect?

Prime Video is Amazon’s video-on-request administration. It’s free for Prime clients since it’s remembered for their membership. Yet, a massive change is declared: its adaptation with the appearance of publicizing recordings. Currently accessible in the US, these ads will before long show up in France (by and large in spring 2024).

Broadcast in movies and series in the Excellent Video list, they permit sponsors to reach a vast number of watchers all over the planet. Similarly, these promotions are remembered for the current Prime membership. To partake in a promotion-free encounter, endorsers can buy one more membership with next to no adverts. In the US, this equation builds the cost of membership by roughly €2.99 each month. The expense ought to be compared in France and Europe (for the occasion, Amazon has not given data regarding this matter).

The appearance of these promoting recordings brings up specific issues: how might French clients respond? Will they keep their ongoing membership or pick the promotion-free variant? Or, on the other hand, will they be fed up with this overabundance of promotion? With respect to promoters, will they be enticed by this new proposition? Assuming we actually need replies to the primary inquiries, we can demonstrate that Great Video Promotions present profound benefits for publicists, including a tremendous crowd.

Why Advertise On Amazon Prime?

To understand the main advantage of this new advertising offer, we must recall a few figures:

  1. Amazon has 17 million Prime subscribers, 12 million of whom use its SVOD  ;
  2. The primary users of Prime Video are between 18 and 49 years old, and connect to it from a television (a screen larger than that of a computer) on average 16 times per month.

In addition, unlike other SVODs that already offer advertising, advertisers using Prime Video Ads have access to Amazon data. Precious data for ad targeting. Thanks to this data, brands benefit from excellent visibility and can directly create a link between advertising and online sales. An effective way for Amazon to distinguish itself from Netflix and Disney, its competitors in the SVOD market.

What Advertising Formats Are Available?

On its official website, Amazon Ads details the ad formats offered to advertisers. There are 3 of them, and they were created to “guarantee customers the best possible experience”:

  1. The functionality rotator: a sort of carousel appearing on the upper part of the screen without needing to scroll the page (the most visible part in summary, which we call in English “above the fold”);
  2. Sponsored thumbnails: they are presented on one line, and when a user clicks on a thumbnail, the advertising content is displayed on the upper half of the screen;
  3. Sponsored channels: they appear in the “My subscriptions” section of Prime Video customers, who can discover new channels in a few clicks.

These three formats, therefore, integrate very well into the Prime Video interface. They do not hinder subscribers in their use of the platform, nor do they restrict their access to series, films, and shows. In addition, to avoid advertising clutter (and saturation of Prime subscribers), Amazon has planned not to broadcast more than 3:30 minutes of advertising per hour.

What Are The Strengths Of Prime Video Ads?

Amazon’s data and Prime’s large audience are two critical elements for advertisers. With Prime Video Ads, they will be able to reach more relevant and precise audiences and thus obtain better results. But these are not the only advantages. They also benefit from Amazon Prime’s engaged audiences since the platform allows its users to be entertained by watching films and series and purchasing at the same time. 

Amazon also provides figures that are pretty revealing about the engagement of its audiences in the United States: Amazon’s advertising video offering also stands out from those of Netflix and Disney through the marketplace experience. Advertising is not new to it; it constitutes an integral part of its economic model—a reassuring argument for advertisers.

  1. spending by households using Prime Video increases by 22% per month on Amazon;
  2. On average, 84% of households watching series, films and shows on Prime Video purchased from Amazon.

How Much Will A Prime Video Ads Campaign Cost?

Another fundamental question arises with the future launch of Prime Video Ads in France: how much will a campaign cost advertisers? To date, we do not know the official prices. But according to the Emarketer site, they would be “competitive” compared to those of its competitors Netflix and Disney. For example :

  1. the CPM of 30 seconds would be between €25 and €32;
  2. The entry ticket per campaign would range between €10,000 and €15,000, with a 15% discount for advertisers using a media agency.

To find out in detail the prices and features of Prime Video Ads, you will have to wait a few more weeks. However, we are sure of one point: this advertising offer from Amazon marks a new stage in the strategy of this web giant. But will it really change the French and global advertising landscape? Not necessarily. It is more of an additional service for advertisers, complementary to the advertising already offered by Amazon.

Read Also: Seven Tips To Improve Business Communication

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