Advertising is the fastest growing business segment for Amazon and the e-commerce giant is reportedly looking into scaling up that side of its operations by sharing more of its data with brands and agencies.
Multiple agency sources, described as being familiar with Amazon’s plans, have revealed elements of its work with major holding companies, such as Dentsu Aegis, Omnicom and WPP, among others.
Speaking to Advertising Age, they said the possibilities are greater than anything Amazon has offered so far via its first-generation ad platform or basic audience matching.
“Amazon, for the first time ever, is starting to realise that monetising the data they have and making it available for purchase, not personally identifiable information, could open a revenue stream that wasn’t there before,” said one unnamed agency executive.
“Amazon is dealing with the most valuable data asset in the world, even more than Google’s search data,” said another executive at a leading marketing tech and analytics firm.
AdAge’s sources revealed that numerous trials are taking place as Amazon develops data and analytics tools, supported by machine learning and – especially important – its cloud computing platform, Amazon Web Services.
This, they said, is a key component in how Amazon will blend data and marketing and, to that end, the company has established a “clean room”, a generic name for a data-sharing platform that does what it can to prevent information from leaking.
“What Amazon is building will enable brands to craft a full-journey, attributable marketing experience,” said Chris Apostle, EVP and head of performance at Havas Media, who was able to discuss only part of Amazon’s ambitions.
“The digital data ‘clean room’ will provide [insights] into behaviour across consumers’ purchase paths,” he said. “This is very different than anything advertisers have been able to do with Amazon until now.”
Amazon declined to comment on the AdAge story, but it is reported that sophisticated data partnerships are forming already.
For example, agencies have been using Amazon Web Services to analyse data from Facebook ad campaigns, according to one of AdAge’s contacts.
Multiple agency sources, described as being familiar with Amazon’s plans, have revealed elements of its work with major holding companies, such as Dentsu Aegis, Omnicom and WPP, among others.
Speaking to Advertising Age, they said the possibilities are greater than anything Amazon has offered so far via its first-generation ad platform or basic audience matching.
“Amazon, for the first time ever, is starting to realise that monetising the data they have and making it available for purchase, not personally identifiable information, could open a revenue stream that wasn’t there before,” said one unnamed agency executive.
“Amazon is dealing with the most valuable data asset in the world, even more than Google’s search data,” said another executive at a leading marketing tech and analytics firm.
AdAge’s sources revealed that numerous trials are taking place as Amazon develops data and analytics tools, supported by machine learning and – especially important – its cloud computing platform, Amazon Web Services.
This, they said, is a key component in how Amazon will blend data and marketing and, to that end, the company has established a “clean room”, a generic name for a data-sharing platform that does what it can to prevent information from leaking.
“What Amazon is building will enable brands to craft a full-journey, attributable marketing experience,” said Chris Apostle, EVP and head of performance at Havas Media, who was able to discuss only part of Amazon’s ambitions.
“The digital data ‘clean room’ will provide [insights] into behaviour across consumers’ purchase paths,” he said. “This is very different than anything advertisers have been able to do with Amazon until now.”
Amazon declined to comment on the AdAge story, but it is reported that sophisticated data partnerships are forming already.
For example, agencies have been using Amazon Web Services to analyse data from Facebook ad campaigns, according to one of AdAge’s contacts.
Sourced from Advertising Age; additional content by WARC staff
