By: Adnan Arnautlija
eMarketer has released a report which points to the impeding shakes in Google and Facebook’s dominance in digital ad space, thanks to the rise of companies such as Amazon and Snapchat.
According to eMarketer, the reigning duo can expect to rake in a combined 56.8 percent of US digital ad investment in 2018, while year earlier their share stood at 58.5 percent. The main culprits for such forecast? The upstarts Amazon and Snapchat.
eMarketer further reports that Amazon is making strides in the digital ad market, projecting that their revenue in the U.S. alone will this year amount to $2.89 billion, which is a whopping 63.5 percent year-on-year increase.
Amazon thus stands to hold 2.7 percent share of the world’s healthiest digital ad market, and by 2020 their share will grow to 4.5 percent.
Monica Peart, eMarketer’s senior forecasting director wrote in a blog post that „Amazon finds itself in fifth place among the top digital ad sellers in the U.S., and it’s on track to be No. 3 by 2020—surpassing both Oath and Microsoft. So far, it’s been conservative in its ad load. It remains an open question as to when Amazon will take advantage of its significant reach and dominance in rich shopper data to ramp up the placement of ads in other areas.”
This report only goes to show how significantly the e-commerce giant is attacking markets on all fronts, armed with a wealth of data about customer purchases that enables them creating bespoke customer journeys with supreme targeting.
