link1029 link1030 link1031 link1032 link1033 link1034 link1035 link1036 link1037 link1038 link1039 link1040 link1041 link1042 link1043 link1044 link1045 link1046 link1047 link1048 link1049 link1050 link1051 link1052 link1053 link1054 link1055 link1056 link1057 link1058 link1059 link1060 link1061 link1062 link1063 link1064 link1065 link1066 link1067 link1068 link1069 link1070 link1071 link1072 link1073 link1074 link1075 link1076 link1077 link1078 link1079 link1080 link1081 link1082 link1083 link1084 link1085 link1086 link1087 link1088 link1089 link1090 link1091 link1092 link1093 link1094 link1095 link1096 link1097 link1098 link1099 link1100 link1101 link1102 link1103 link1104 link1105 link1106 link1107 link1108 link1109 link1110 link1111 link1112 link1113 link1114 link1115 link1116 link1117 link1118 link1119 link1120 link1121 link1122 link1123 link1124 link1125 link1126 link1127 link1128 link1129 link1130 link1131 link1132 link1133 link1134 link1135 link1136 link1137 link1138 link1139 link1140 link1141 link1142 link1143 link1144 link1145 link1146 link1147 link1148 link1149 link1150 link1151 link1152 link1153 link1154 link1155 link1156 link1157 link1158 link1159 link1160 link1161 link1162 link1163 link1164 link1165 link1166 link1167 link1168 link1169 link1170 link1171 link1172 link1173 link1174 link1175

Tag: amazon

Amazon will become an Advertising Giant

Michael K. Spencer

Blockchain Mark Consultant, tech Futurist, prolific writer. WeChat: mikekevinspencer.

Move over Google and Facebook, Amazon will dethrone you.

Just as Alibaba and Tencent compete for supremacy in the veritable tech dynasty that is emerging in China, in the U.S. Amazon and Google are increasingly becoming direct competitors.

Nowhere is this going to be more fun to watch than in advertising, smart speakers and the future of how tech companies become implicated in Health Care.

As Amazon ramps up expensive physical store expansion and logistics fulfillment with rising postal costs and higher minimum wages, it needs another “cash-cow” to fund its growth. The low-hanging fruit here is definitely digital Advertising.

Amazon is on track to generate $10 billion a year from its advertising business

Amazon’s trajectory in Advertising is also based on the growth of its Prime subscribers?—?well over 100 million at this point. With more consumers in the funnel comes more traffic and higher value for brands to advertise with Amazon, instead of outdated banner Ads with Google.

  • Amazon is quickly becoming the 3rd horseman of Western digital advertising.
  • Amazon’s growth in advertising and Alexa becoming ubiquitous is a major threat to Google and, to a lesser extent, Facebook.
  • Google has made progress with Google Home devices in 2018, but it’s hard to catch up to Alexa or AWS in the cloud.

Amazon reported $2.5 billion in sales in its “Other” category in Q3, guess what that means? It means brands are moving from Google to Amazon to do their ads. Some advertisers have already opted to move over half of their budgets from Google search to Amazon ads, according to CNBC.

Like Netflix or Tesla, Amazon is a favorite of Wall Street. Its aggressive pursuit of health care, grocery, AI and advertising means Amazon can scale over the next two decades in ways that will make Facebook and perhaps even Google look obsolete. This essentially means as an advertising platform Amazon can only go up.

Alphabet should be terrified even as they are in the smart home and some hardware initiatives, but nothing that can compare with Amazon’s dynamic approach. Alexa’s penetration of the smart home, robotics and consumer products is elevating the game, and few other companies will be able to keep up (outside of China).

EMarketer predicts Amazon will become the third largest digital ad seller in the U.S. by 2020, behind Google and Facebook. This is not news, but it may be the first time you are reading this. Even as Amazon’s stock had one of the worst weeks in recent memory, the bullish Amazon stock is the epitome of Wall Street’s recent tech bubble.

While Alphabet’s Waymo is going to be a big winner, Amazon will likely have several big winners in the decade ahead. The safest bet is digital advertising as formative companies such as Google and Facebook completely warped the internet due to their emphasis on Ads, and this led to a decline of innovation and startups in the U.S. Amazon is the last U.S. company that, in some sense, can compete on a global scale with China.

Amazon, not Google or Walmart, is the perennial “American Company”. I think the 2020s will demonstrate this.

Amazon has just a small sliver of the digital ads market in 2018, but fast forward to 2028, and just look at that chart.

Eventually Amazon Prime Video will be a massive place for digital Ads. And with Netflix’s level of debt and cash burn, it’s doubtful it will even be around in 2030. Facebook and Google have made some poor decisions that have impacted their reputations in 2018. Amazon here has the most to gain. There’s an important catch here: Amazon has demonstrated it is forconsumers, so an Amazon gain is generally a gain for consumers who value convenience, discounts and bundled services that finally have given subscriptions a good rep.

Facebook and Google were never truly on the side of consumers (nor was Microsoft), and that’s a sign of more evolved business models. Amazon’s trust levels are high and increasing the minimum wage and opening new stores should only augment it. The future of advertising is intimately connected with consumer and brand trust, and this is why Amazon as an underdog in advertising can truly disrupt the Ad-duopoly and change the face of advertising as we know it over the course of the next ten years.  https://medium.com/futuresin/amazon-will-become-an-advertising-giant-83809ac3e858

Amazon’s U.S. advertising business will generate $4.6 billion in revenues this year, giving it a 4.1% share of the market. For Amazon, its A-Z game plan?—?to dominate groceries, AI, the smart home, and ultimately advertising?—?is just beginning. Bottom line, if Amazon wins the consumer wins, and that’s the best equation for the global economy.

Jeff Bezos has googly eyes for taking on Google, and the tech wars have gotten quite serious for the future of artificial intelligence.

Alan Zibluk Markethive Founding Member