Amazon Shook Up the Streaming Ad Market in 2024. Will It Do It Again Next Year?

Amazon Shook Up the Streaming Ad Market in 2024. Will It Do It Again Next Year?

As a seasoned gamer with years of experience navigating the ever-changing landscape of digital entertainment, I can’t help but feel a sense of excitement and anticipation when it comes to Amazon Prime Video’s strategic moves in 2025. The introduction of ads earlier this year was a game-changer, and now, with the promise of more inventory and innovative ad formats, it seems like the streaming giant is gearing up for an even bigger victory.


Earlier this year, Amazon‘s Prime Video shook up the world of advertising.

Amazon, often referred to as the streaming titan, has activated advertising across all its Prime Video platforms. While some Prime members have the option to pay an additional fee each month to watch ad-free content, it appears that most users are choosing not to do so.

With a swift change, Prime became the global leader in ad-supported subscription streaming services, leveraging this transition to secure over 1.8 billion dollars in advance agreements this year, according to The Information.

In the coming years, up to 2025, it seems Amazon will maintain its expansion trajectory, given several strategic decisions seem poised to align. (Pun intended)

Initially, it’s anticipated that Prime Video will expand its offerings on the platform. The specific details about this expansion are yet to be defined, but possibilities include offering more advertising spots or creating new marketing chances. With the growth of options like ads during pauses and various sponsorship types, the range of marketing formats is continuously expanding.

A high-ranking executive at Amazon Advertising, Kelly Day, revealed to the Financial Times that the volume of ads on Prime Video will slightly increase in the year 2025. However, it’s anticipated that Amazon will maintain a relatively low overall amount of advertising throughout this period.

A representative for Amazon stated to The Hollywood Reporter that “our strategy remains unchanged: we aim to show significantly less advertising compared to traditional TV and other streaming platforms, and we continuously assess ad volume to ensure we’re providing an excellent viewer experience.

Regardless, any action taken by Amazon to broaden its advertising sector is likely to cause discomfort for its competitors, as audiences gravitate towards content such as “Fallout” and sports like the NFL.

This year, when the company introduced ads on Prime Video, a surge of advertising space in the streaming video market occurred, causing two leading ad sales executives from competing streaming services to experience difficulty meeting their set objectives. However, despite this challenge, their streaming ad earnings still showed growth over the previous year.

A repeat in 2025 could pose similar issues.

Indeed, this point holds significant weight considering Amazon Prime Video’s notable edge not just in broad accessibility, but especially in the realm of live sports. For instance, Thursday Night Football is attracting close to 15 million viewers per match, as reported by Nielsen, marking a 25% increase compared to last year’s figures.

The debate over Prime Video’s capacity to attract a large audience has been conclusively silenced by those figures. Amazon reveals that over fifty new brands have agreed to become sponsors for Thursday Night Football this season, with Verizon, Subway, State Farm, AllState, and JCPenney reaffirming their roles as presenting sponsors for pre-game coverage, halftime, post-game coverage, and additional programming.

The business additionally unveiled advertisements that are both shoppable and interactive within games, broadening their strategic objectives and capitalizing on Amazon’s retail prowess.

In relation to the start of Thursday Night Football, Danielle Carney, head of live sports and video sales at Amazon Ads, stated that our sports content consistently boosts our audience size. We offer valuable marketing chances for businesses by merging a vast customer base with our exclusive data and advanced ad technology. It’s important to note that these opportunities are beneficial to all advertisers, not just those who sell products on Amazon.

Next year, Amazon’s Prime Video platform is set to significantly broaden its sports content with the addition of NBA games. This move provides an excellent platform for advertisers seeking more substantial involvement in the sports market.

As a gaming enthusiast, I can’t help but notice the surge in ads on Amazon lately. In the second quarter alone, they raked in an impressive $12.7 billion from advertising, marking a 20% increase compared to the same period last year.

The majority of its earnings continue to stem from its traditional retail operations, yet experts anticipate that its streaming service, Prime Video, will become a significant factor driving growth. This is expected to occur through various means such as sports broadcasting, new entertainment content, innovative advertising formats, and possibly an increase in ad frequency over the next year.

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2024-10-03 21:25