Warning, Amazon Shopper: Google wants to spend some of its expenses



[ad_1]

Google is adding new advertising and shopping products to try to dispel fears of a deceleration in the growth of its revenue.

Last month, Google's parent company, Alphabet, announced quarterly results below Wall Street's expectations, causing the stock price to fall. Analysts, for example, feared that ads on sites such as Google and YouTube will only increase by 39%, less than the 50% to 60% increases recorded in recent quarters.

Even though Amazon has become an online sales giant, it's only recently that advertising has woken up. Many analysts view advertising as a growing third pillar of business, with the company's retail sales and cloud services. Morgan Stanley estimates that Amazon's advertising activity amounts to $ 125 billion, more than Nike or Starbucks.

The company has developed new tools to allow brands to place advertisements on and off its website. She also added more space for ads when people search for products. Amazon's "other" sectors, primarily advertising, reported $ 10.8 billion in the last 12 months.

Internet users can turn to Google to search for their centers of interest, but "Amazon is buying real products," said Brian Wieser, who analyzes the media for GroupM, which generates more than $ 48 billion dollars of advertising each year on behalf of brands. "You actually do, not just intend to do, that's why it's considered to be a lot more useful."

Amazon's ad offerings consist primarily of "sponsored product" listings, which direct buyers to specific items based on the keywords searched for. The top part of most search pages also includes rectangular banners, called sponsored brands, that direct buyers to a company page or to specific items.

Amazon has also quietly created tools to help brands show videos and ads on other websites based on the rich data they have about their customers. For example, someone using a bank's credit card to pay for Amazon's purchases may see ads from another bank's cards when they read the information online.

[ad_2]

Source link