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Amazon opens its homepage to display ads

WATCH OUT: Firm is in a race with Google and Facebook for ad spends this festive season.

, ET Bureau|
Updated: Sep 11, 2019, 01.46 PM IST
BENGALURU: Amazon is looking to go head-to-head with Google and Facebook for advertisers’ dollars this festive season, and is wooing brands to put up display ads on its India website and app. The company has been promoting its ‘Click-out’ campaign since June, media planners and digital advertising experts said.

This is the first time that Amazon is promoting external advertisers to place ads on its platform in India. It previously promoted only sellers and brands that sell products on its platform to advertise their listings.

Amazon has run campaigns with brands such as Citibank and Maruti Suzuki and is looking to acquire more large clients in the run up to the festive season. The ecommerce giant is pitching its large web and app traffic, and understanding of customer intent to drive high-quality leads for brands.

“It (click-out campaign) allows advertisers to use traditional targeting parameters such as demographic, customer purchase value and so on,” said Nihal Nambiar, the associate vice president, strategic solutions, at digital marketing firm iProspect. “These promotions will show up as regular display ads and when clicked, they go out to an external landing page.”

In terms of cost-per-click benchmarks, Amazon’s click-out campaign is a little more expensive than Google and Facebook’s digital ad products, but is cheaper than LinkedIn, analysts said. While Amazon’s web ads product has been available for years now, it hasn’t promoted it until now in India, while the option to show ads on its mobile app was introduced about 6 months ago.

Ecommerce platforms are being drawn to digital advertising largely because of “their scale, as well as their understanding of the commercial intent of a person, which Google and Facebook might not always have,” said Nambiar.

Amazon India isn’t the only Indian ecommerce player looking to make inroads into the large digital advertising market. Walmart-owned Flipkart has entered into a partnership with video-streaming platform Hotstar to help target consumers with more relevant ads on the latter’s platform.

Web analytics platform Similar Web ranks as the fifth most visited website in the country, after Google, Facebook, Youtube and porn website Xvideos. Flipkart takes the ninth spot on the list.

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