Amazon Advertising Fuels Another Growth Spurt, But Investors Only Have Eyes For AI
Amazon, the e-commerce giant, continues to experience significant growth in its advertising business. Despite this success, investors seem to be more focused on the company’s advancements in artificial intelligence (AI) technology.
In recent years, Amazon has made substantial investments in its advertising platform, allowing brands to reach millions of customers on its website and across various devices. The company’s advertising revenue has been steadily increasing, with a reported $21.5 billion in ad sales in 2020, a 52% growth compared to the previous year.
Amazon’s advertising success can be attributed to its vast customer base and the valuable data it possesses. With millions of users actively shopping on its platform, Amazon has access to valuable insights into consumer behavior and preferences. This data allows advertisers to target their campaigns more effectively, resulting in higher conversion rates and return on investment.
However, despite the impressive growth of Amazon’s advertising business, investors are primarily