Amazon’s net US digital ad revenues will rise by 41.0% this year as consumers shift dramatically to more ecommerce shopping and advertisers pay to get in front of shoppers at their leading destination.
Marketers hope consumer spending doesn’t come under too much pressure, but the offer of ad-supported content to assuage some consumer concerns will open the door to potential advertising inventory and greater reach. CTV Viewership Opens the Door for Sophisticated Ad Options. More CTV users doesn’t necessarily mean more ad inventory (but it kind of does).
Report: US Social Video Advertising 2022. Article: Amazon has a larger advertising business than YouTube. Article: Can TikTok triple its ad revenue this year?
The impact of Amazon on this share likely has a role to play, with ecommerce advertising spend becoming so important during the pandemic. We don’t yet have a UK forecast for Amazonad revenues, but our global figures indicated a huge 52.5% increase for the company in 2020, with steady gains set to continue.
We expect retail media advertising to be one of the fastest-growing segments of digital advertising in the US at over 31%. But this is just one of the five key trends that we predict will most shape the retail landscape in the year ahead.
In the US, Amazon is already the big story, and some refer to a triopoly there, where Amazon’s digital ad share is bigger than it is globally. Amazon will not reach triopoly status with Google and Facebook on a worldwide scale for quite some time, but we do forecast enormous growth for the next several years. By 2023, Amazon will claim 7.1% of the worldwide digital ad market.