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Amazon Reintroduces Ad Arm as Amazon Advertising
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Amazon’s ad business is projected to generate nearly $3.4 billion in revenue this year, which would represent a 58% increase from last year, according to eMarketer research. It is clear that advertising is becoming a more central focus for the e-commerce leader, with many marketers viewing it as the third-largest media partner after Google and Facebook.
Recently, the company announced that they are streamlining their advertising products by combining the separate entities under one umbrella, known as Amazon Advertising. The rebrand includes Amazon Advertising Platform (AAP), Amazon Media Group (AMG), and Amazon Marketing Services (AMS), which will all still be seen in the immediate future, as the company will be phasing out the old naming conventions over the next few months.
Historically, Amazon Media Group managed display advertising and video services, Amazon Marketing Services focused on selling ads on the Amazon marketplace, and Amazon Advertising Platform supported and enabled programmatic ads on Amazon sites and apps and across the web. Under Amazon Advertising, AAP will now be called ‘Amazon DSP,’ referring to its demand-side platform that more effectively illustrates its programmatic ad buying tool capabilities. Through the DSP, advertisers can manage, optimize, and report on their programmatic display and video campaigns.
Headline Search Ads, the advertisements that are keyword-targeted and allow brands to promote custom headlines, their brand’s logo, and featured ASIN images, will be known as Sponsored Brands. Lastly, AMS will now be referred to as ‘Advertising Console,” and will be where sellers and brands log in to build Sponsored Products, Sponsored Brands, and brand Stores.
According to Amazon, the main goal of reintroducing their brand was simplification. On their blog, the Amazon advertising team stated, “We’ve created complexity around our advertising brands and product portfolio. So we’ve been thinking about how we can invent and simplify to provide a better experience for our advertising customers.” Moving forward, Amazon Advertising will house the entire advertising portfolio, from Sponsored Products and Brands to display ads and brand Stores.