Amazon's ad revenues to grow 470% by 2023, study finds

Barry Levine | June 25, 2019

Amazon's ad revenues to grow 470% by 2023, study finds
Amazon's share of global digital ad spend will reach 8% by 2023, compared to 3% last year, according to a new report from Juniper Research titled "Future Digital Advertising: Artificial Intelligence & Advertising Fraud 2019-2023." The driver: the retail giant's immense store of consumer data. During this period, Amazon's ad revenues will grow 470% and reach a total of $40 billion by 2023. Although Juniper predicts Google's ad revenues will exceed $230 billion by 2023, the report indicates its share of global digital ad spend will drop by 1% over the next four years. The reason behind this is the growth of major competitors such as Amazon and Baidu. Digital ad spending worldwide is forecast to hit $520 billion by 2023; the report says. This compares to an estimated $294 billion this year, for an average growth rate of 15% annually for the next five years. A key driver, Juniper says, is the growth of programmatic ad platforms and related technologies that can delivery highly targeted ads.

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