Amazon's reach in the programmatic ad space is growing, evidenced by its latest earnings showing $17.3 billion in ad revenue, a 17% increase year-over-year. The Amazon Demand-Side Platform (DSP) is central to this growth, allowing targeted ad purchases using extensive data. As more advertisers leverage the DSP, its share in Prime Video ad spending rose notably from 26% to 36% last quarter. Companies like Tinuiti and Pacvue report significant increases in ad spending through this platform, indicating strong momentum heading into the next year, especially in Europe.
While advertisers don't have to use Amazon's DSP for these buys, many do. The share of Prime Video ad spending through the DSP jumped from 26% to 36%. "I would assume we'll see similar growth in spending on the Amazon DSP this year compared to last, especially in Europe where we're seeing interest from advertisers and agencies who are new to the tech."
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