Amazon's new ad platform, Amazon Sponsored Links, could have a huge impact on the pay-per-click (PPC) advertising world. What will this mean for marketers?
Many times sensational headlines are published defining the next "Google Killer," but for advertising, could Amazon be it?
By the end of the year Amazon plans to release a new ad platform called Amazon Sponsored Links. It is being designed as a direct competitor to Google AdWords.
How it will work: Amazon is building its own in-house platform to serve ads in search results and on websites, similar to AdWords. The targeting will be based on information about its own customers it has collected.
According to the Wall Street Journal, the new ad platform is currently being tested with select partners and has placed ads on a small number of websites.
What does this mean for pay-per-click (PPC) advertising? A new, powerful ad platform will impact competitive ad platforms and the way advertisers do business. Some of the possible implications for the current PPC landscape are:
The growth of online advertising and PPC will not be enough to allow for the revenues that Amazon would take - the revenue will be coming from some other PPC channel or marketing tactic in the plan. If a significant amount does come from AdWords' budgets, and Google relies on AdWords as its primary revenue-generating product, then could this be the "Google Killer" we've been predicting? Tell us in the comments or tweet @lisarockssem or @clickz if you think this is possible.
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Lisa Raehsler is the founder and principal strategist at Big Click Co., an online advertising company and Google AdWords Certified Partner, specializing in strategy and management of SEM and PPC for search engines, display, retargeting, and social media ad campaigns. Lisa has led strategy on dozens of PPC accounts and puts her experience into practice every day as a thought leader in integrating clients' search campaigns with ecommerce websites, behavioral targeting strategies, and web analytics. She has participated extensively in the local interactive community, as well as at national search engine marketing conferences. Lisa's recent speaking engagements include SES, OMS, MIMA, HeroConf, and SMX conferences, as well as numerous private and public training engagements. As a columnist for ClickZ and Search Engine Watch, she writes on the topic of paid search. Follow her on Twitter @LisaRocksSEM.
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