Amazon Now 3rd Biggest Digital Ad Seller In US

According to the latest prediction from research firm eMarketer, Amazon is set to surpass Oath and Microsoft to becoming the third largest digital ad sell in the U.S., just behind Facebook and Google.  eMarketer is also predicting that Amazon’s ad growth is going to more than double this year.

The research firm notes that the change in projection (up 60 percent from March) is because of the combination of an accounting change and 10 to 12 percent increase in stronger-than-expected revenue growth.

eMarketer expects Amazon ad revenue to increase by over 50 percent per year through at least 2020.  Amazon’s share is expected to grow from 4.1 percent to 7.0 percent, while the duopoly’s share is pegged to shrink from 57.7 precent in 2018 to 55.9 percent in 2020.

  • Amazon is set to bring in $4.61 billion from digital advertising this year, according to a new estimate from eMarketer.
  • That only represents 4.1% of U.S. digital ad spending.
  • In surpassing Oath and Microsoft, Amazon is now the front-runner to challenge Facebook and Google.

Although there’s a long road ahead for Amazon to truly rival the ad earning of Google and Facebook, its ad business is still relatively young with a lot of runway ahead.  Amazon announced earlier this month that it is making it easier for advertisers to buy ads on and off its properties.  More video advertising formats are being introduced, and is providing advertising options both on and off its owned and operated properties.

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