Mobile advertising: Amazon to compete with Google and Facebook

Mobile advertising: Amazon to compete with Google and Facebook

The e-commerce giant is about to create a new format for video advertising within its mobile application.

Amazon has been testing on iOS platforms a new type of ads for brands selling on their  platform: video ads of 15 to 30 seconds that are displayed within search results. Implementation of this new format on Android platforms is planned later this year.

In the practice, the short video commercial  is based on a customer’s search query on the Amazon mobile app. This may be considered a valuable context: in the United States, consumers searching for products on that app have a higher propensity to buy than those scrolling through Facebook or on Google’s Youtube.

This ad type will be available through Amazon Marketing Service as opposed to its DSP that is used to manage programmatic display advertisements. Amazon is requiring a $35,000 ad budget to run the ads on a Cost per View of 5 cents to run the spots for 60 days, but prices may vary by category.

The video market, currently dominated by Google and Facebook, and estimated  $ 16 billion, is about to see Amazon come into force!

In a Facebook document published this January, we could read "We are competing with Amazon in online advertising ". For the first time Facebook named their rival, showing that competition is increasing.

There is for the moment, no date set for a release in Belgium. Hopefully, it will be available soon for our country.