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Amazon is now the third largest online advertising platform behind Facebook and Google.
This is according to new estimates released Wednesday by research firm eMarketer. The firm said "Amazon's rapid rise" would continue "fueling speculation as to whether the powerful digital distribution center is a real rival to the world's biggest advertising companies."
US advertisers are expected to spend approximately $ 4.61 billion on Amazon's advertising platform in 2018, an increase of 144.5% over the previous year. The research firm said that although some of Amazon's revenue growth is due to an accounting change, the main reason is that companies are buying more and more ads on Amazon.
Due to its growth, Amazon has surpassed the Oath conglomerate of Microsoft and Verizon as the third largest digital advertising company in the United States.
According to eMarketer, one of Amazon's growth drivers is that advertisers know that people are doing it to shop. they do not just browse the web or read messages from families. It makes sense that an advertiser wants to run ads by peddling his product on a service exclusively dedicated to the purchase.
However, Amazon's online advertising activities are a baby compared to Facebook and Google, which together account for 58% of the online advertising market in the United States. The research firm has already said that US online advertising activities on Facebook would represent $ 21 billion in 2018, while Google would withdraw $ 39.92 billion.
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Amazon is not likely to impinge significantly on Facebook and the so-called duopoly of Google in the short term, said eMarketer.
"But Amazon has the ingredients of a true digital advertising business, whose key is to do more than sell advertising impressions," the firm said.
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