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Amazon Launches Retail Ad Service at CES

Company continues to enhance contextually relevant messaging
Lynn Petrak, Progressive Grocer
Amazon Ads
Amazon Ads, which recently introduced AI-powered image generation for advertisers, has added a new retail ad service.

Tis the season for technology rollouts, as tech industry leaders gather at the annual Consumer Electronics Show (CES) in Las Vegas. Among other innovations, Amazon is unveiling Amazon Retail Ad Service, a service built on Amazon Web Service (AWS) that allows retailers to provide cost-effective, relevant ads.

The service, currently in beta testing with select retailers, enables customers to click on an ad and complete their purchase in the retailer’s online store. Ads can be shown on search, browse and product pages and can incorporate item availability and price. Participating stores can also opt to make their advertising offerings available via the Amazon Ads console and application program interfaces (APIs). Advertisers, meanwhile, can see available retailers in their Amazon Ads console or API integrations and then create and manage campaigns for each retailer.

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Ultimately, the new solution helps retailers and advertisers meet shoppers where they are on their journey, which seems to be the current mantra among omnichannel stakeholders. "Amazon Retail Ad Service helps retailers enhance their shopping experience with highly relevant advertising that guides customers through the shopping journey, helping their shoppers with product discovery and making informed purchase decisions," said Paula Despins, VP of ads measurement at Amazon. "We’ve designed this to be a win for retailers, advertisers, and shoppers, and we look forward to seeing how it improves outcomes, drives sales, and enhances the shopping experience.”

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Also at CES, Amazon Ads announced that brands can now query up to five years of their Amazon store purchase signals within the Amazon Marketing Cloud (AMC) for measurement use cases. “Extending a brand’s available lookback window from 13 months of their Amazon purchase signals to five years enables advertisers to more deeply understand key customer journey metrics, such as customer lifetime value or the percentage of customers buying the brand for the first time, by analyzing a broader timeframe based on a product’s lifecycle or their customers’ engagement with their brand portfolio over time,” Despins explained. 

Seattle-based Amazon is No. 2 on The PG 100, Progressive Grocer’s 2024 list of the top food and consumables retailers in North America

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