AD TECH AND MARTECH

Amazon Exploring Ways to Streamline Ad ID Overload

Amazon | June 01, 2022

Amazon Exploring Ways
Amazon is developing the Connections Marketplace, a platform that could be a one-stop-shop for website publishers and their ad tech vendors to connect. This Marketplace connects new ad IDs with websites developed to adapt to the new data and privacy restrictions. In the wake of all these developments, Amazon is exploring ways to streamline the ad ID overload to anticipate the future of internet advertising.

Amazon’s recent partnerships with ad tech companies such as LiveRamp and ID5 allow publishers to test their new IDs. The Connections Marketplace was launched in 2021, but Amazon has yet to reveal all the ad tech vendors. Consequently, various ad tech companies and publishers are still unsure how the Marketplace fits into Amazon Publisher Services, the “supply side” platform in internet ad auctions.

Mathieu Roche, CEO of data company ID5, which is part of the Connections Marketplace, explained how it works: “Amazon is passing IDs in bid requests, so that buyers have more IDs and cookies to work with and they [sell] ads at higher prices; they can identify users basically, making advertising work more efficiently.”

Mathieu Roche, CEO of data company ID5, which is part of the Connections Marketplace, explained how it works: “Amazon is passing IDs in bid requests, so that buyers have more IDs and cookies to work with and they [sell] ads at higher prices; they can identify users basically, making advertising work more efficiently.”

Apple has enacted rules against using cookies on Safari web browsers and Google is also set to eliminate third-party cookies on Chrome by the end of 2023. Publishers, many of which don’t have logged-in audiences and don’t know enough about their audiences, are trying new ad IDs to connect consumers with advertisers.

Companies such as LiveRamp, Lotame, ID5 and others are in the process of developing new IDs. These IDs take data from anonymous activities on websites and match it with the data from the ad tech partners. This data is supposed to create an accurate persona for targeting that a publisher can send out to internet auctions to find buyers.

Publishers will have a lot of vendors to choose from in the Amazon Connections Marketplace. “Amazon is building one-click integration through that Connections Marketplace,” said Eric Hochberger, CEO of Mediavine, an ad management platform that works with publishers. “So that if you do want to launch a new ID, it’s just one click and you don’t have to install anything.”

“We want to make it easy for publishers to discover, trial, activate, and operate third-party ad tech solutions. They want to help drive their businesses.” an Amazon spokesperson said in an email about the program. “It’s still early, and we’ll continue expanding the selection of services and categories.”

Spotlight

With over 215 million gamers in the U.S. and with the average gamer being in their early 30s, the term “gamer” now encompasses a broad and diverse demographic spectrum. Two out of every three Americans play video games through various platforms, and gaming is third only to TV and social media in terms of how audiences spend their time—yet gaming captures less than 5% of advertiser budgets.


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Spotlight

With over 215 million gamers in the U.S. and with the average gamer being in their early 30s, the term “gamer” now encompasses a broad and diverse demographic spectrum. Two out of every three Americans play video games through various platforms, and gaming is third only to TV and social media in terms of how audiences spend their time—yet gaming captures less than 5% of advertiser budgets.

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