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Amazon puts numbers before advertisers about “the largest premium ad-supported streaming service in the world”

Amazon's debut at Upfronts, the traditional sessions presenting content to advertisers in New York to attract their television budgets, made its ambitions in streaming clear.

Its vice president of global sales Alan Moss pointed out that its ad-supported content already reaches 175 million viewers in the US each month, compared to 120 million in 2021. Prime Video specifically has 200 million users around the world, of which 115 million are in its domestic market.

These data make up a still incipient exploitation scenario for on-demand programming, since most of Amazon's advertising business is concentrated on promoting products in its e-commerce store. This operation has recently been called into question by the antitrust case presented by the US Federal Trade Commission (FTC) and more and more voices are accusing the company of having worsened the purchasing experience by misplacement of promotions in searches. .

But the 24% increase in that revenue in its latest accounts already reflects a positive impact from what Moss called “the largest premium ad-supported streaming service in the world,” referring to Prime Video.

The executive emphasized that this platform further increases the conversion possibilities that Amazon offers brands, based on “billions of consumer signals.” In October, up to three Wall Street firms agreed that the commercial turnover of that platform could contribute $7 billion more to Amazon each year.

In this strategy, sports broadcasts play an increasingly important role and the company has recently secured a National Football League (NFL) playoffs for Prime Video, as an addition to the regular matches of the Thursday Night Football package that it achieved in 2021. for about 1 billion dollars annually.

These passes have recently caused an internal debate in the industry in the US, to the extent that Nielsen reached an agreement with Amazon on the use of its internal audience data to complete its own and traditional television actors protested because they were not would offer the same deal.

Now it is foreseeable that this discussion about how to consolidate into a single figure what Nielsen offers as a traditional television meter with which streaming services generate internally will go further, since Netflix has also announced that it will begin to broadcast NFL games.

In addition, Warner Bros. Discovery, Disney and Fox have joined forces to soon offer an aggregate of sports broadcasts via streaming in the US, while YouTube and Apple TV+ also maintain championship rights waiting to see how those of the NBA are assigned after the negotiations. in progress.

All of this explains why Nielsen has launched The Media Distributor Gauge, a new multi-platform measurement that reflects the consumption time captured by each company across all of its traditional and on-demand television properties, if applicable. In its first study corresponding to April, it shows that Disney concentrated 11.5%, ahead of YouTube's 9.6% and NBCUniversal's 8.9%. This combination of data from different media for the first time aims to give advertisers a more informed perspective when planning.


https://dircomfidencial.com/marketing-digital/amazon-pone-cifras-ante-los-anunciantes-sobre-el-mayor-servicio-premium-de-streaming-con-publicidad-del-mundo-20240520-0400/

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