The big change in Instagram!

Jeff Bezos as we all know, is always hungry for more. His brainchild Amazon is the runaway leader when it comes to online selling, and now he has set his eyes on the digital ad segment.

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Beware Google and Facebook, Amazon to foray into Digital Ad territory

After conquering the online market place, the world’s biggest E-seller Amazon has now set its eyes on the lucrative digital advertising market.

It is gearing up to challenge Google and Facebook for a share in a segment worth $129 Billion (Rs. 9 lakh crores).

How will it work?

Amazon will show ads which will be in the form of small video spots, whenever a customer will make a search

on its app.

Such ads are common on YouTube and in Facebook streams.

Video ad spots are similar to television commercials but are considered more effective by the advertisers and they are switching their spending towards them from the traditional promotional techniques.

Why is that so?

The reason for this is that people who are searching for products on a shopping app have a much higher chance of buying it on the app itself, compared⚖ to those scrolling through Facebook or watching videos on YouTube.

Brands are expected to spend $16 billion (more than Rs. 1.10 lakh crores) on mobile video advertising this year.

Online Dominance will help

Amazon is in a strong position to challenge existing players since it enjoys 50% share of all online sales in the US.

It has been beta testing the ads on Apple’s iOS platform for several months, while a similar product for Google’s Android platform is planned for later this year.