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Amazon Retools PPC Ad Offerings

Posted on 8.11.2015

Amazon will be killing off its e-commerce-friendly pay-per-click advertising program, Product Ads, which allowed businesses (specifically online retailers) to send traffic directly to their own websites.

The company began notifying advertisers via email this week of the programs pending discontinuation, indicating the offering won't be available after Oct. 31, 2015 (performance reports will, however, be available until Dec. 31, 2015).

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The program was very well received by the digital advertising community as it allowed those that didn't sell directly on Amazon to get their products in front of shoppers on the popular network (or increase exposure if they did). A recent ChannelAdvisor survey indicated that 35 percent of respondents said that Amazon's Product Ads and Sponsored Links program were the best performing digital marketing channel in terms of return on investment.

Amazon is somewhat of a sleeping giant in the digital advertising space. An eMarketer report found that Amazon’s overall ad business could generate $1.26 billion in 2015 (worldwide) and grow to $1.83 billion by 2018.

Amazon is suggesting that advertisers in the program consider selling directly on its platform, but is also pushing those businesses to consider its Text Ads program (which is is currently in beta for a select group of advertisers). Amazon's Text Ads program is also a PPC-based advertising solution, but are text ads exclusively (which means no product image screenshots).


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