Amazon Prime Video Launches Advertising in Australia

Amazon Prime Video began running ads on its streaming platform today.

Movies and TV shows will feature a “limited” number of adverts that will air before and during playback in 10 countries including Australia, the UK and the US.

Paul Kent, managing director of Amazon Ads partner Deep Media, said the launch was a smart decision given that 30% of subscriber households had shopped on Amazon in the past month.

“By combining Prime Video’s premium content with Amazon’s powerful first-tier targeting capabilities and advertising technology, brands can now achieve significant reach and engagement,” he said.

“Also, where this could become particularly disruptive is the potential to tie into e-commerce/retail metrics in a traditionally hard-to-track space like streaming TV, which for so long was used largely similarly to TV with the primary goals of awareness and reach.”

In May, Amazon president and CEO Andy Jassy said Prime Video ads offer value to brands because tech companies can better link the impact of streaming TV ads to business outcomes like product sales or subscription signups, regardless of whether brands sell their products on Amazon or not.

“It’s still very early days for streaming TV advertising, but we’re pleased with the quick response,” he said.

Kent said Amazon can leverage past purchasing behavior and product searches to better convey visual experiences through highly relevant ads.

“As an Amazon Ads Verified Partner, we explain to many of our clients that the power of first-party data—from the car you drive to the telecommunications carrier you use—that Amazon has allows them to go far beyond e-commerce. Layering that data on top of Prime Video opens up the business to an even broader range of advertisers,” he said. AdvertisementsNews.

“Amazon approaches every decision backward from the customer and appears to be taking a less-is-more approach to ad volume. A positive side effect of this ‘customer obsession’ will be to ensure that advertisers can break through by strictly limiting frequency and monitoring repetitive ads.”

Bench Media Co-Founder and CEO Ori Gold said AdvertisementsNews back in May that Amazon could bundle Prime Video with its Prime Shopping offering and possibly “continue to bundle an additional pay-per-view service with a subscription to certain specific events and titles.”

Kent said the launch of Prime Video’s ad-supported offering will further intensify competition in the streaming TV market, where 81% of viewing time is on CTV.

“Additional advertising revenue will allow them to continue to invest in premium content such as Clarkson Farm, The Boys AND The Lord of the Rings: The Rings of Power,” he said,

“Combine that with access to some of the most valuable sports content in the world, including NFL Thursday Night Football, the English Premier League, the UEFA Champions League and T20, and you have a very compelling offering that will only get stronger.”

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